Naftogaz Insists Household Gas Prices Must Rise By 25%.
15 June 2008
Naftogaz? CEO Oleksiy Ivchenko said yesterday natural gas is being sold to the population at below cost and that a 25% price increase would bring its gas business to a break-even level. Currently, gas prices are set at USD 22 per 1,000 cm, while in Russia they are USD 38, USD 42 in Belarus and USD 120 in Moldova, per 1,000 cm. Concorde Capital: A gas price increase for the general population has long been anticipated and would benefit Ukrnafta, as the company currently has to sell most of its gas to Naftogaz at below-market prices with a subsequent resale to the population. On the other hand, it is not likely that the government will allow the price increase on the eve of Ukraine?s Parliamentary elections.
