POLITICS AND GAS PRICES

(The New York Times-1/2/06) Analysts and some government officials in Moscow acknowledge a correlation between gas prices and political ties in the former Soviet Union, through Russia’s state-owned natural gas monopoly disputes that its pricing policy is politically motivates. Countries in the table below have signed contracts with set prices for fuel, but Ukraine did not sign for the price offered and delivery of fuel has stopped:

Minimum Gas Price per 1,000 Cubic Meters, 2006

Ukraine – $220
Moldova – 160
Estonia – 120
Latvia – 120
Lithuania – 120
Armenia – 110
Azerbaijan – 110
Georgina – 110
Belarus – 47