President calls for review of gas transit rate formula between Naftogaz, Gazprom

President of Ukraine Viktor Yushchenko (L) and Serbian President Boris Tadic

Ukrainian President Viktor Yushchenko has called for a review of the gas transit rate formula between Naftogaz of Ukraine and Gazprom of Russia.

"The introduction of the normal European gas transit rate is what is needed to be done within a review of the contracts signed in January this year," he said.

Yushchenko said that the agreements on the transit of Russian gas via Ukraine at such a low rate were not strengthening the reliability of gas transit to European countries.

He said that Ukraine would lose USD 2.5 billion in 2009, because it failed to insist on an average European gas transit rate in its talks with Russia.

The overall amount of natural gas transited via Ukraine in May 2009 fell by 21.74% or 2.15 billion cubic meters compared to May 2008, to 7.74 billion cubic meters.

In 2008, Ukraine transited 119.6 billion cubic meters of gas across its territory, which is 3.8% up than in 2007.

UKRINFORM