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Arseniy Yatsenyuk presents in the Parliament bills which appear real steps towards energy independence of Ukraine
19.06.2014 | 11:44
Department of Information and Communication of the Secretariat of the CMU

On Thursday, June 19, the Prime Minister of Ukraine Yatsenyuk presented to the Verkhovna Radas consideration two draft laws On amendments to certain laws of Ukraine on reforming of the management system in a Single gas transportation system of Ukraine and On a special period in fuel and energy complex.

While presenting a bill on upgrade of the GTS management system the Head of Government reminded that nowadays gas transportation via the territory of Ukraine to ensure the needs of the European Union arent based upon a deal between Ukraine and the EU, but are carried according to the deal between Naftogaz and Gazprom: We consider this scheme should be changed and the point of pumping gas should be replaced from the western border of Ukraine to the eastern one.

Besides, Arseniy Yatsenyuk stressed the need to adopt a decision on upgrade and joint exploitation of Ukraines GTS. According to him, to stick to the obligations assumed by Ukraine, being a country-signatory to the Energy Charter Treaty and a participant of the European Energy Community and executing the Third Energy Package, the Government suggests to adopt a number of decisions called to create a new model of functioning the energy market.

In accordance with the Governmental bill the Ukrainian GTS remains the states property. Ukrainian gas storages will also remain in the states ownership. The Head of Government emphasized, pursuant to the requirements of the Third Energy Package there would be set up a company operator with a controlling stake belonging exceptionally to the Ukrainian state.

According to him, exceptionally gas transportation companies of the EU member countries can own 49 % of the abovementioned company, however, they must be participants of the European Energy Community, and the U.S.A. on conditions that such energy companies have relevant certification.

During the discussion the Head of Government suggests the decisions on attracting the investors to the company-operator should be agreed in the Parliament: We will come to the Verkhovna Rada following approval of the law, bring those companies from the EU and the U.S.A. winning public tenders, and vote for a decision in the Parliament. The investors are interested in guarantees. The process of voting in the Parliament for attraction investors is one more step for them to invest more, for us to have cheaper loans and to ensure stability and reliability of Ukrainian GTS.

Arseniy Yatsenyuk emphasized that backing this draft law would enable modernization and investing into Ukrainian gas transportation system, improvement of capitalization of Ukrainian GTS, which remains complete state property: It will give a chance to have new conditions of Russian natural gas transportation, to cease erection of the South Stream and direct all the amounts planned to send through the South Stream along the Ukrainian gas transportation system, as the EU member countries will be particularly interested in that.

The Head of Government accentuated that the bill is a real step in forming Ukrainian energy independency, in adaptation of Ukraine with the requirements of the European Union, drawing investors from the EU and the U.S.A. to Ukraine, and directed to making Ukraine a transit country which cannot be ignored, which guarantees flawless transit, which doesnt subsidize Russian Gazprom, but earns and provides an opportunity to supply Europe with gas and develop Ukrainian energy system.

In the course of the discussion in the Parliament Arseniy Yatsenyuk explained that capacity of Ukrainian GTS makes up 140 billion cubic meters per annum: We have used to pump 122, now we pump 80. In case the South Stream is constructed, and it will be constructed indeed, and in case the law isnt supported, at most we will swing 40-50 billion cubic meters of gas and consequently we will have to subsidize transportation of the Russian gas from the budget. The arithmetic is very simple and understandable.

The one who wishes to turn the Ukrainian pipeline into scrap metal, to facilitate Russia in construction of the South Stream, the one who opposes the fact that Ukraine is a key transit country, wont vote for the law. And the one who wishes that Ukrainian GTS be earning, supplying gas to Europe, be upgraded, and to be a player on the energy market, will support the document, he said.

Arseniy Yatsenyuk emphasized that the Governmental bill on a special period in fuel and energy complex is aimed at providing an opportunity for the executive authorities to manage the energy market under extreme conditions in order to ensure people and enterprises with minimal amounts, that will enable to keep the country afloat.

The draft law stipulates for an opportunity to introduce a special state on energy market in case there is the threat to flawless energy supplies of Ukraine or the country faces suspension of natural gas deliveries or any other energy products.

The PM informed in the emergency situation in energy sector the Government receives the authority to control over energy resources consumption and deliveries, including introducing special procedures such as purchase and selling, related to natural gas and other energy products, including adopting sanctions.

Moreover, he stressed the draft law contains that the entire gas extracted in Ukraine, on condition of introducing the state of emergency, must be spent exclusively to meet the needs of the population, on a Governmental decision.

These two laws appear the first real steps over the last 20 years leading to forming energy independence of the country. The steps capable to ensure that Ukrainian energy and gas transportation system could become a guarantor of flawless transit process and generating incomes in the Ukrainian state, Arseniy Yatsenyuk summed up.


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