Russian gas row may cost UK customers

Gas row dashes hopes of cut in heating bills

Hopes of deep cuts in heating bills for British homes before the winter is out were evaporating yesterday after Russia turned off the gas supply to neighbouring Ukraine over alleged payment arrears, raising concern about the security of supplies throughout Europe.

Pipelines that cross Ukraine carry about a fifth of the European Union’s gas needs and politicians across the continent yesterday urged the two sides to resolve their dispute as quickly as possible.

“We urge both parties to treat this as a commercial matter and seek agreement through negotiation,” said Britain’s Department of Energy. “All existing commitments to supply and transit must be honoured,” said the Czech deputy prime minister, Alexandr Vondra, hours after the republic took over the EU presidency.

Ukraine has said it would not block Russian gas getting through to other countries, and energy firms in Germany, France, Romania and Austria said yesterday they had not experienced any drop in supply.

A similar dispute two years ago resulted in a fall in supply to other countries for a short period but Russian export monopoly Gazprom said it had increased output to European customers beyond Ukraine to ensure this does not happen again.

Guardian