Wednesday 27 April 2022

Gazprom cuts off Polish and Bulgarian gas exports after rouble refusal

Gazprom cuts off Polish and Bulgarian gas exports after rouble refusal

Bulgaria and Poland have refused to pay for Russian gas in roubles, leading to Gazprom halting exports.

Last month, Russian President Vladimir Putin declared that ‘unfriendly’ countries would only be able to pay for Russian gas with Russian currency, to hit back at sanctions imposed on the country.

Gazprom released a statement this morning stating that neither of the countries would receive their orders until payment was made in roubles.

Polish Deputy Foreign Minister Marcin Przydacz, however, revealed that the country does not need Russian supply to stay stable, stating: “Now there are options to get the gas from other partners.”

Bulgaria reportedly relies on Russia for 90% of its gas supply but has also claimed it is now looking elsewhere for an ongoing supply.

Bulgarian Energy Minister Temenuzhka Petkova stated that Gazprom’s decision to only take roubles was a breach of contract and that it would only pay for supplies in euros.

Poland’s state gas company PGNiG has disclosed that 80% of its underground storage was full, which provides enough supply to tide the country over with summer approaching.

“I'm pretty sure that we will manage to handle this,” Mr Przydacz said.

From next month, Poland is set to gain access to Lithuanian liquefied natural gas (LNG) through the opening of a new terminal.

Written by

Bruna Pinhoni

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