Naftogaz: Gazprom refuses to comply with Stockholm Court decision on gas supply and transit through Ukraine

Russia’s  Gazprom has refused to comply with the decisions of the Stockholm Arbitration Court regarding the supply and transit of gas through Ukraine, as reported by the press service of Naftogaz Ukraine following the results of talks held last week, Interfax-Ukraine reports.

 “Gazprom made clear that the Russian gas monopoly refuses to resume deliveries to Ukraine as ordered by the Arbitration Tribunal in the Gas Sales Case concluded in December last year, and refused to confirm that it will pay the 2.6 billion dollars which the Tribunal ordered it to pay in the Gas Transit Case award which was rendered in February”, noted the statement by Naftogaz.

Naftogaz recalled that both decisions of the Stockholm Arbitration Court are final and not subject to appeals.

According to Naftogaz, at the talks, Gazprom representatives wanted to introduce amendments into its contracts with Naftogaz that would contradict the decisions of the international arbitration court, or to terminate contracts with the Ukrainian company entirely. Naftogaz considers such a position unacceptable and has rejected these proposals by Gazprom, the Ukrainian company notes.

The parties agreed to hold another round of talks in April.

"Gazprom’s refusal to honor valid arbitration awards by an internationally valued and respected commercial arbitration tribunal puts into question Gazprom's trustworthiness as a partner of the European gas industry," summed up Yuriy Vitrenko, Chief Commercial Officer of Naftogaz.

Gazprom earlier appealed the decision by the Stockholm Arbitration Court on the supply gas to Ukraine. The Russian holding company believes that the arbitrators have "exceeded their authority."

  Gazprom, Stockholm Arbitration Court, Naftogaz, gas transit