Europeans left freezing and in the dark saw their hopes for an end to the Russia-Ukraine gas dispute sink after officials failed to reach a deal which would restore power to millions of homes.
European Union representatives started work yesterday in Ukraine’s capital Kiev to monitor the flow of gas, offering an independent assessment that was critical to sealing a bargain.
But Russia said it would only restart pumping gas to Europe via Ukraine after a written deal was signed.
Russia wants monitors in place to prevent what it described as Ukraine’s theft of supplies meant for Europe – a claim Kiev hotly denies.
“Our goal is to show who is to blame for stealing gas,” Russian president Dmitry Medvedev said.
But Ukraine’s president, Viktor Yushchenko, said angrily: “Ukraine is not stealing gas.”
Gazprom halted all natural gas shipments through Ukraine on Wednesday, ending or reducing gas supplies to more than a dozen European nations amid a pricing dispute with Kiev.
Russia has in the past sold gas to Ukraine and some other ex-Soviet neighbours at prices significantly less than European prices.
But Mr Medvedev said yesterday that Ukraine should pay a European price for the Russian gas. Last year, Russia charged Ukraine £119.50 per 1,000 cubic metres, about half what it charged its European customers.
Russia’s last offer before talks broke down was £166.50, but Gazprom said the offer no longer stood, after Ukraine rejected it and it would charge Ukraine £300.
EU governments have criticised both nations for the gas crisis, saying it was unacceptable to see homes unheated, businesses closed and schools shut in the middle of winter.
Russia, Ukraine and the EU said the agreement could be finalised soon, but officials remained coy about what prevented the deal from being completed yesterday.
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