Russia-Ukraine Gas Dispute Affects Europe Supply

by Jordan Yerman | January 5, 2009 at 10:44 am

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Five days after cutting off gas supplies to Ukraine, Russian state-controlled supplier Gazprom is rerouting supplies to Europe as evidence of regional shortages emerges.

Russian Prime Minister Vladimir Putin ordered cuts in deliveries of natural gas for transit through Ukraine to the European Union to account for quantities Moscow accuses Ukraine of stealing.

The move came as European diplomats were holding an emergency meeting in Brussels to discuss a dispute between Russia and Ukraine that prompted a drastic reduction in supplies intended for Ukraine but is also affecting gas supplies to Europe.

Gazprom was ordered to cut supplies by the same amount Ukraine has been accused of "stealing", and will be rerouting some of that fuel to the rest of Europe via Belarus. Meanwhile, Croatia, Greece and the Czech Republic report drops in natural gas supplies.

EU officials, however, deny this: