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Ukraine PM defends gas deal with Russia
Published in Saudi Press Agency on 21 - 01 - 2009


Prime Minister Yulia Tymoshenko on
Wednesday defended as a "true victory" the accord she negotiated
with Russia to restore the flow of gas to Europe, hitting back
at criticism from her ally turned rival, Ukraine's president, according to Reuters.
Poland and Romania, Ukraine's western neighbours, became the
latest central European countries to report the resumption of
gas supplies from Russia interrupted when the two ex-Soviet
states argued over payment arrears and price.
The fresh hostilities between Tymoshenko and President
Viktor Yushchenko made it virtually certain there would be no
let-up in the political turmoil that has gripped Ukraine since
the 2004 "Orange Revolution" brought pro-Western leaders to
power.
Tymoshenko clinched the deal in long talks at the weekend in
Moscow. It provided for Ukraine to pay market prices for gas
less a 20 percent discount -- $360 in the first quarter --
likely to decline later in the year as markets fluctuate.
It also provided for the elimination of intermediaries in
gas trading, as the prime minister had long demanded.
"Ukraine has won a special price," Tymoshenko told a cabinet
meeting. "For Ukraine this is a true victory. I would like
Ukraine to learn to celebrate victories rather than sling mud."
Yushchenko, at odds with the premier since she took office
for a second time in late 2007, decried the deal on Tuesday as a
"defeat". He said the price for Russian gas was too high with no
increase in Ukraine's transit fees to offset costs.
But Tymoshenko said the deal was the best that could have
been achieved for Ukraine, where industrial production is in a
slump as the world financial crisis hits the economy.
"I am surprised that people who are aware of things have the
gall to say that Ukraine's interests have been damaged," she
told ministers.


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