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Kyiv believes that Russia will suspend ​deliveries of gas​, including the transit gas to Russia’s European customers via Ukraine, on January 1, 2020, when the current contract for gas transit to Europe between Russia's Gazprom and Ukraine expires. More than a third of Europe's gas comes from Russia, and most of that goes through Ukraine's pipelines.
"The contract is expiring, and the talks [in a new contract] haven't started yet. Therefore, unfortunately, we need to continue preparations for the end of transit from January 1," Vitrenko wrote.
Meanwhile, Russian Energy Minister Alexander Novak told reporters following the meeting in Brussels that consultations between Russia, the EU and Ukraine were constructive, adding that Ukraine presented the regulatory framework for the operations of its gas transportation system in accordance with European regulations.
"Our position is that if the European system is implemented in Ukraine beginning on January 1, Russia is prepared to work with this," news agency Interfax quoted the minister as saying. "I am convinced that we will find all the solutions for gas shipments not to cease on January 1.
Novak added that Russia "is prepared to continue working under the old contract if Ukraine is unable to create an independent GTS operator".
2.3​ ​Naftogaz is “moderately optimistic” after Brussels talks with Gazprom
The leading managers at Naftogaz and Gazprom met in Brussels for talks on September 19 that drew moderately optimistic reviews from Ukrainian officials afterwards.
Arranged by the EU Commission, the discussions aimed to produce a new gas transit agreement through Ukraine since 2020. The existing 10-year deal between Naftogaz and Gazprom expires at the end of 2019, and Naftogaz wants to sign a new long-term agreement under EU rules.
Following the discussion, Naftogaz CEO Andriy Kobolyev highlighted a breakthrough in Gazprom’s position, which “for the first time accepted the possibility to work according to European rules” as of 2020, if such rules are fully implemented in Ukraine by the end of 2019. He stated that by the next round of talks, the Ukrainian side will have to amend its legislation accordingly. In its turn, Gazprom CEO Alexey Miller told Russian media that the Ukrainian side “may fail to adopt EU gas regulations” by the year’s end, in, which case it’s worth extending the current transit deal for the short term.
The next round of talks was agreed to be held in late October, EU energy commissioner Marosˇ Sˇefcˇovicˇ commented to the media.
“We are moderately optimistic,” Kobolyev commented about the results of talks, adding that Naftogaz is also “prepared for the worst-case scenario, better than ever.” Another Naftogaz top manager, Yuriy Vitrenko, was less optimistic in his comments, writing in his blog that the sides have not yet started the negotiations themselves. Vitrenko stated that Gazprom still sees Ukraine’s
8​ UKRAINE Country Report​ October 2019 ​ ​www.intellinews.com