(Bloomberg) — European Union Energy Commissioner Kadri Simson warned the region’s gas companies that any new deals to flow gas from Russia through Ukraine would be a “dangerous” choice.
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“There are no excuses, the EU can live without this Russian gas,” Simson said at a press conference after a meeting of energy ministers. “This is a political choice, and a dangerous one.”
A key gas transit deal between Moscow and Kiev expires on December 31 and negotiations continue to try to keep flows flowing through the pipeline. However, with less than three months to go, a deal does not appear to have been completed yet. Both Kiev and Moscow have said they are willing to find a solution that could include Azerbaijan, although there are concerns that Russian supplies may be covertly mixed in.
Simson, who is nearing the end of her mandate as energy chief, said the European Commission was fully prepared for a zero-transit scenario thanks to alternative supply routes and strong storage levels. Commission President Ursula von der Leyen has said it is up to Ukraine to decide the future of the gas pipeline, while EU officials have said they will not enter into new talks.
The volume will need to be about 10 billion to 11 billion cubic meters to reach the level needed for smooth shipping through Ukraine’s vast pipeline system, about five billion cubic meters less than currently, according to people familiar with the matter.
“The costs of dealing with Russia are not just measured in the price of gas,” Simson said. “But the lives were lost.”
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