×
×
Project Insights

Russia and Belarus at odds over debt and pricing

Belarus and Russia are on course for a summer of discord over the pricing and debt associated with their bilateral gas supply agreement Belarus and Russia are on course for a summer of discord over the pricing and debt associated with their bilateral gas supply agreement.
By Alexey Novikov, Anna Gorshkova, Joshua Posaner and Yulia Yulina 24 May 2016 Europe & Russia / Global Markets 0 20416
Gas infrastructure in Belarus. Moscow says the country owes it $125 million for gas. (Gazprom)

A new continental battleground over the pricing methodology used for Russian gas supplies has emerged this year, with netback rates and alleged unpaid import fees causing rancour in the relationship between Russia and Belarus.

Russia’s Energy Minister Alexander Novak said on the Rossiya 24 TV channel on Friday that Minsk is seeking to use the decline in European market gas prices over recent quarters to secure netback parity prices for its own imports of Russian gas.

"The price formula has been in operation for many years. It...