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Navigation Primary Navigation Home Singapore Asia Pacific World Business Entertainment Sports Technology Top Stories Most Popular Secondary Navigation Search Search: Russia, Ukraine agree to end gas crisis AFP - Tuesday, January 20 MOSCOW (AFP) - - Russia and Ukraine on Monday announced they had resolved the gas dispute that had cut supplies to a swathe of European countries, saying gas deliveries would resume immediately. The two sides signed a 10-year agreement on providing Russian gas for the Ukrainian market and said all disagreements on transit to the European Union had been resolved. "I expect supplies of all Russian gas to Europe to be fully restored soon," Russian Prime Minister Vladimir Putin said at a signing ceremony in Moscow. Russian energy giant Gazprom "has received an order to start supplies of gas on all routes proposed by our Ukrainian partners and in full volume. The company is ready to fulfil the daily requests of its European consumers," Putin said. Tymoshenko said: "We will allow the transit as soon as the gas enters Ukraine's gas pipelines. There won't be any delay." The two sides did not specify what price Ukraine would pay this year for Russian gas, the point at the heart of the two countries' dispute, although Putin confirmed a 20 percent discount on what Russia regards as "market prices." Tymoshenko called Monday's agreement "historic" and said it would prevent future year-end gas crises over the price of gas paid by Ukraine. The agreement came after the EU had grown increasingly exasperated at the shut-down of the main transit route for Russian supplies to the bloc, which had led to heating cuts and factory shut-downs across a swathe of countries. "We understand that Russia and Ukraine need to finalise their agreement.... In any event let me be clear, the proof of the pudding is in the eating and the proof of the gas is in the flowing," European Commission spokesman Johannes Laitenberger said earlier in Brussels. Czech Industry Minister Martin Riman, whose country holds the EU's presidency, had said he was only "slightly optimistic" about the deal. "If the deliveries don't resume despite such strong declarations by the Russian and Ukrainian prime ministers, there will be a total crash in the confidence of EU consumers, citizens and the enterprise," he added. The crisis in supplies from Europe's main foreign supplier has forced a reconsideration in the 27-nation bloc of its dependence on Russia and some quick fixes to reorient pipeline routes to keep European industries working. The outlines of an accord had been reached in marathon overnight talks between Putin and Tymoshenko in Moscow at the weekend. Russia's President Dmitry Medvedev earlier voiced confidence that the agreement would receive the approval of Ukrainian President Viktor Yushchenko, who has been sharply at odds with Tymoshenko over the issue. Russian newspapers on Monday had expressed doubts, with the Kommersant daily referring to fighting between Tymoshenko and Yushchenko: "The risk of an escalation of the conflict cannot be ruled out until the new scheme is approved by... Yushchenko." The crisis broke out January 1 when Russia cut off supplies to Ukraine in a dispute over unpaid debts and the price Kiev would pay for gas this year. It escalated a week later when all gas shipments to Europe via Ukraine -- around a fifth of the EU's gas supplies -- were halted, with Russia accusing Ukraine of stealing gas. Kiev vehemently denied the allegation and blamed Moscow for stoking the crisis. Email Story IM Story Printable View Blog This Recommend this article Average (0 votes) Sign in to recommend this article » Most Recommended Stories » Enlarge Photo Employees at the gas-compressor station Orlovka in the Izmail region. Russia and Ukraine announced they had resolved the gas dispute that had cut supplies to a swathe of European countries, saying gas deliveries would resume immediately. Most Popular – Top Stories Viewed 'Overwhelming emotion' at star-studded inaugural concert Zimbabwe unveils $100 trillion banknote 'Dogs don't wear condoms,' says Baywatch star Anderson Faulty gene condemns millions in India to heart disease: study Hamas announces one-week truce after Israel ceasefire View Complete List » Search: Home Singapore Asia Pacific World Business Entertainment Sports Technology Top Stories Most Popular

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