The Kremlin expressed concern on Wednesday about Kyiv's decision to allow its contract with Gazprom for Russian gas supply to Europe to expire. Ukrainian President Volodymyr Zelensky announced on Tuesday that the country would not renew the transit agreement beyond December 31, stating, "It's over." Despite the ongoing conflict, Russia managed to deliver over 14 billion cubic meters of gas to Europe through Ukraine in 2023, though this fell short of the 40 billion cubic meters stipulated in the contract. Austria, Hungary, and Slovakia among EU members continue to receive Russian gas this way, despite the EU's commitment to end its reliance on Russian gas by 2027 after Moscow's invasion of Ukraine in February 2022.
Kremlin spokesman Dmitry Peskov warned that Ukraine's decision would severely impact the interests of European consumers still wishing to purchase Russian gas. "They will have to pay significantly more, which will reduce the competitiveness of their industries," he added. The five-year contract between Ukrainian companies and Gazprom was signed at the end of 2019. Last month, Zelensky hinted at negotiations with Azerbaijan, a significant natural gas producer, to substitute Russian gas transiting through Ukraine. However, since Ukraine does not border Azerbaijan, any Azerbaijani gas would still need to be piped through Russia.
Azerbaijani President Ilham Aliyev revealed in late July that the EU and Kyiv had sought his assistance in facilitating talks with Moscow to reach an agreement. Since August 6, Ukraine has conducted a significant cross-border counter-offensive into Russia's Kursk region, capturing numerous settlements including the town of Sudzha. This town, with a population of about 5,000, houses the Sudzha metering station, the final major transit point for Russian pipeline gas destined for Europe via Ukraine.
