Q+A: EU options in Russia-Ukraine gas dispute
(Reuters) - Russian gas supplies via Ukraine to southeast Europe and Turkey were halted on Tuesday as a result of a pricing row between Moscow and Kiev, and Austria and the Czech Republic reported sharp falls in supplies.
The following is an overview of how the European Union, which receives about a quarter of its gas from Russia, and about a fifth of its gas via pipelines through Ukraine, is reacting and what options it has.
Q - What line is the EU taking on the dispute so far?
A - The Czech Republic, which took over the presidency of the 27-nation bloc from France on January 1, says the EU must not take sides in the dispute. It has turned down requests to mediate in the pricing row, arguing this is a commercial dispute that can be solved only by the two parties involved.
But, as signs of disruptions to EU supplies emerge, the EU is gradually adopting a more active approach, sending a mission to meet Ukrainian officials on Monday and one to meet representatives of Russia's Gazprom on Tuesday.
It has condemned cuts in supplies to EU states and promised to "intensify the dialogue" with both parties -- but insists it will not mediate. A three-way EU gas summit with Russia and Ukraine is considered an outside option if all else fails.
Q - What is the risk of European consumers running short of gas?
A - With freezing weather in much of Europe, officials are keen to play down the possible impact on domestic and business users. They stress gas stocks are relatively high after a mild start to the winter and because a recession has hit economic activity. Most large EU countries say they have access to other supply sources including Norway and Algeria. One Czech official estimated that, under the most favorable conditions, European reserves could last several weeks. Others say shortages could be felt within days in some countries if the cold snap persists.
Q - What can the EU do next? Continued...







