The National Commission for Energy, Housing and Utilities Services Regulation of Ukraine (NCER) has permitted national joint-stock company Naftogaz Ukrainy and public joint-stock company Ukrtransgaz to transit natural gas under existing contracts with OJSC Gazprom until March 1, 2016 to avoid interruption of gas transit across Ukraine.
An Interfax-Ukraine correspondent has reported that the decision was made by the commission on Thursday under a request of the companies.
The commission obliged Naftogaz Ukrainy to bring the contract relations with Gazprom in part of natural gas transit across Ukraine in line with Ukrainian law in the shortest terms.
“I want to say that according to the decision of December 29, 2015, the tariffs are in effect from January 1, 2016 and the difference between the tariffs must be taken into account during the contract changing campaign for the period when the temporary provisions are in effect,” NCER Head Dmytro Vovk said.
As reported, in 2015 Ukraine passed the law on the natural gas market that introduces the requirements of EU legislation.
Before 2016 the rate of transit tariff is determined under the long-term (in force from 2009 to 2019) contract between Naftogaz Ukrainy and Gazprom. The rate is calculated based on a formula linked to the fuel cost factor and inflation rate in Europe.
On December 29, 2015, the NCER set new rules for the formation of the transit rate.
