Russian gas giant Gazprom may re-introduce a system of advanced payments due to Ukraine’s mounting debt, Vedomosti business daily reported Monday, citing a company official.
“Gazprom has the right to set a pre-payment condition, but before doing that it is necessary to understand to what extent Ukraine is unable to pay,” the official said.
Ukraine’s debt for the gas supplied in 2013 amounts to U.S. $2.7 billion, which means that the country failed to pay for about half of all gas imported last year. Kiev has promised to repay the debt on January 25 but then asked for a postponement.
“We already see that Naftogaz Ukrainy will not pay for January supplies either,” spokesman for Russian president Dmitry Peskov said.
Naftogaz Ukrainy declined to comment on any further debt repayment.
SOURCE: PRIME, 2014