You're reading: Lyovochkin: Talks continue with Russia on better gas deal

In a Sept. 1 press briefing, Serhiy Lyovochkin, head of President Viktor Yanukovych’s administration, identified the top priorities in the key natural gas sector between Ukraine and Russia.

The Ukrainian side is seeking discounts to a price agreement reached in April between the two governments.

“During the negotiations with Russia, Ukraine will try to minimize the price of imported gas,” Lyovochkin said.

He also said that Ukraine should ask Russia to pay more for transiting its gas through Ukraine’s gas pipeline network. About 75 percent of Russian-bound gas to Europe goes through Ukraine. Lyovochkin also said Ukraine should seek a guaranteed increase in gas volume from the Russian side also.

“Ukraine’s priority is to fully employ the gas transporting system, guarantee steady supply of gas to Europe and meet Ukraine’s needs for gas,” Lyovochkin said. “The talks continue. I believe that mutually beneficial solution will be found but it won’t conflict with Ukraine’s best interests.”

He also noted that Ukraine needs a transitional period of low prices for gas, since Ukraine’s industry and homes are energy-inefficient and requires modernization.

Lyovochkin also said that negotiations are continuing with Russia involving a potential consortium to jointly operate and modernize Ukraine’s vast pipeline network.