Kiev Must Pay 'Reasonable' Prices for Gas to Reach Deal With Moscow - German Lawmaker

BERLIN (Pakistan Point News / Sputnik - 04th December, 2019) Klaus Ernst, the head of German Bundestag's economy and energy committee, told Sputnik he believes Kiev will have to pay a "reasonable" price for Russian gas and renovate Ukraine's gas infrastructure in order to reach a deal with Russia on gas transit.

Existing gas and gas transit contracts between Russia and Ukraine expire at the end of this year, and both sides have yet to reach an agreement on a future contract.

"[Germany] takes the position that Russia and Ukraine should reach an agreement on gas transit. However for this to happen, Ukraine will need to pay reasonable prices for [Russian] gas and renovate its gas infrastructure. This is a precondition for the deal to work," Ernst said.

Since last week's phone conversation between the leaders of Russia and Ukraine, bilateral contacts on the future gas contract have intensified. In late November, negotiations on the matter were held in Vienna with the participation of ministers and heads of companies from both sides.

Russian Energy Minister Alexander Novak said the following day that the meeting was constructive, but that a number of technical issues still needed to be finalized, which Gazprom and Ukrainian companies were now working on.

On Tuesday, Novak said that Russia was prepared to participate in potential talks on the matter with Ukraine and the European Commission on Thursday, if the companies involved would be ready by then to talk on the matter.