Volodymyr Zelenskyy has dominated out the potential of permitting Russian-made fuel to transit below the Azerbaijani label.
Ukraine will not permit the transit of Russian fuel via the nation’s territory after the tip of this yr, Volodymyr Zelenskyy introduced on Thursday after assembly with European Union leaders in Brussels.
The ban, he added, would apply to any stream of fuel “coming from Russia” to keep away from the danger of Russian fuel being bought to Europe below the guise of fuel produced by Azerbaijan.
“We won’t lengthen the transit of Russian fuel,” Zelensky informed reporters.
“We won’t permit them to earn additional billions with our blood. And any nation on the planet that may get one thing low cost from Russia will find yourself turning into depending on Russia, whether or not that occurs in a month or a yr. This is their politics”.
The assertion is certain to upset Robert Fico, the prime minister of Slovakia, a landlocked nation that continues to be closely depending on the Russian fuel pipeline.
Slovakia imports three billion cubic meters Gazpromthe Russian fuel monopoly covers most of its home demand yearly.
A significant transit deal between Ukraine and Gazprom, from which Kiev receives regular income, will expire on the finish of this yr. According to information, the settlement accounts for half of Russia’s fuel exports to the EU Bruegel.
Although Russia’s pipeline exports to the Union have plummeted for the reason that begin of the full-scale invasion, some provides proceed to maneuver unabated, freed from sanctions.
As the tip of the transit approaches, Slovakia has stepped up diplomatic efforts to make sure the nation’s power flows are usually not disrupted.
Alternatively, Bratislava may flip to Azerbaijan, a small nation within the Caucasus that has positioned itself as an economical possibility for Europe to exchange Russian fuel. The agreements with Azerbaijan are controversial as a result of poor human rights state of affairs within the nation.
According to Bruegel, below the scheme, Russia would provide fuel to Ukraine labeled “Azerbaijani fuel,” whereas Azerbaijan would buy fuel from Russia labeled “Russian fuel” utilizing the identical infrastructure.
“In easy phrases, there can be no change in fuel flows: EU merchants would purchase fuel from Azerbaijan, which in flip would purchase fuel from Russia,” Bruegel mentioned in an October examine.
But Zelensky made clear on Thursday that he wouldn’t tolerate such a misleading operation, arguing that the Kremlin would nonetheless earn money and, consequently, retain a key income to finance its expensive and brutal invasion. He didn’t point out Azerbaijan by identify, however the Financial Times journalist who requested the query did.
“We do not wish to play a sport the place this different nation receives fuel from Russia after which passes it via. That can be like persevering with to revenue from this battle and ship cash to Russia,” Zekenskyy mentioned in his response.
The Ukrainian chief provided a waiver to the ban: Ukraine would permit the transit of Russian fuel if the European purchaser agreed to not pay Russia till the battle ended. This, nonetheless, would most probably lead to a breach of contract and the suspension of Gazprom.
ANNOUNCEMENT“We’ll give it some thought,” he mentioned. “But we can’t give Russia any probability to earn extra billions to spend on battle.”
Slovakia’s major fuel purchaser, SPP, warned that the lack of japanese provides would price an extra 150 million euros in increased taxes. According to Zelensky, Ukraine additionally dangers shedding cash if it ends the transit of Russian fuel. (Bruegel estimates the determine at 0.5% of GDP.)
“To be sincere in the course of the battle it is a bit shameful to speak about cash as a result of we’re shedding folks,” Zelensky mentioned.
The information is anticipated to additional bitter ties between Kiev and Bratislava.
ANNOUNCEMENTZelensky and Fico have had strained relations for the reason that Slovakian populist returned to energy in October final yr. Fico has steadily aligned himself with Hungary’s Viktor Orbán to undertake a deeply skeptical stance in the direction of army assist for Ukraine.
“Ukraine won’t be invited to NATO. It will lose a 3rd of its territory. There can be overseas army forces there,” Fico he mentioned the day earlier than the Brussels summit.
Slovakia is in touch with each the Ukrainian authorities and the European Commission, which helps the whole elimination of Russian fuel, to discover a resolution earlier than the transit settlement between Ukraine and Gazprom expires.
“We are finishing up very intense talks internationally on fuel provides in 2025,” Fico mentioned final week. “There are many obstacles, reminiscent of political statements from the Ukrainian aspect, stress on the suspension of provides from East to West, proposals on way more costly fuel deliveries, together with transit duties, which we reject. We see no purpose to pay extra for fuel than needed for geopolitical causes.”
ANNOUNCEMENTThe blockade of Russian fuel transit via Ukraine may additionally have an effect on Austria and Hungary, albeit to a distinct extent. Earlier this month, Austrian agency OMV terminated its long-term contract with Gazprom after Russia reduce off provides, an incident that Chancellor Karl Nehammer denounced as “blackmail.”
