You're reading: Ukraine works to reduce consumption of Russian gas

Moscow, June 21 (Interfax-Ukraine) - Ukraine is working to reduce the amount of Russian gas consumed by Ukrainian businesses, Naftogaz Ukrainy chief Yevhen Bakulin said at the Petroleum and Gas Congress in Moscow on Tuesday.

"Our government is undertaking measures to reduce natural gas consumption. As a result, we have been able to reduce annual purchases. A priority for us is introduction of energy-saving technologies and development of alternative energy sources on a nationwide level," he said at the congress, which is held alongside the MIOGE oil and gas exhibition.

Ukraine might reduce imports of Russian gas to 33 bcm a year, Valeriy Muntiyan, the Ukrainian government representative for cooperation with Russia and the CIS, said previously.

Ukraine is considering construction of an LNG regasification plant at the port of Yuzhny, he said.

Naftogaz would like to see a lower price for Russian gas exports to Ukraine.

"Work is currently being conducted by our two governments to further lower the cost of imported energy resources.

Ukraine’s position is unequivocal: application of the formula set down in the contract produces a gas price that is too high, not just from the standpoint of the Ukrainian economy, but in comparison with the prices for Gazprom’s partners in Europe," he said.

Russia and Ukraine have formed a working group to hammer out possible amendments to long-term contracts in order to lower the price Ukraine pays.