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GAZPROM

January 12, 2009

Terms of reference for the monitoring of the transit of natural gas through Ukraine

With a view to facilitating the transit of natural gas supplied by Gazprom to its customers in the European Union, the European Commission, the Government of Russia and the Government of Ukraine agree to establish, with immediate effect, a monitoring mechanism to immediately start to observe the transit of gas through Ukraine.

The function of monitoring mechanism shall be conducted by the International Commission with the following composition: European Commission and its experts, Ministry of Energy of the Russian Federation, Ministry of Fuel and Energy of Ukraine, JSC Gazprom, NJSC Naftogaz Ukrainy and the European companies, consumers of the Russian natural gas, including: GdF Suez S.A (France), E.ON Ruhrgas AG, WINGAS GmbH (Germany), RWE Transgas a.s. (Czech Republic), SPP a.s. (Slovakia), EconGas GmbH (Austria), ENI SpA (Italy), FGSZ Ltd. (Hungary), EAO Sofiagaz (Bulgaria), Public Gas Corporation of Greece (Greece), JSC Moldovagas (Moldova), and also Statoil Hydro (Norway) and Societe General de Surveillance.

The European Commission, the Government of the Russian Federation and the Government of Ukraine, together with their relevant companies, shall designate their expert monitors, no more than 25 each and shall inform each other of their designations.

The monitors shall collect data on the flow of gas at the below mentioned locations in Ukraine and Russia and the members states of the European Union, shall make this data available for official purposes to the European Commission, to the Government of Ukraine and to the Government of the Russian Federation.

The parties guarantee complete and unrestricted access of monitors to all relevant institutions, including:

- on the territory of Ukraine: the underground storages of gas and the following metering stations: Orlovka, Tekovo, Beregovo, Uzhgorod, Drozdovichi;

- on the territory of the Russian Federation the following metering stations: Sokhranovka, Sudja, Pisarevka, Valujki, Platovo;

- on the territory of the EU countries bordering Ukraine and to the information needed to ascertain the flow of gas from Russia through Ukraine to the countries of European Union, for as long as needed. A certified copy of these Terms of Reference shall be sufficient proof for granting access.

Information gathered by the monitors, received at the metering stations, shall be transmitted in real time to competent bodies in Brussels, Moscow and Kiev.

The Ukrainian and Russian authorities shall facilitate, and in no way hinder, the work of the monitors throughout their stay in Ukraine and the Russian Federation and on the territory of the European Union member states.

All financial expenditures connected with the activities of the monitors shall be covered by the sending sides.

The Parties agreed to establish a Protocol setting out the more detailed terms of reference for an "International Expert Commission" on transit of natural gas through the territory of Ukraine as soon as possible. These agreed Terms of Reference shall at least cover:

- contral of performance of transit obligations for natural gas through the territory of Ukraine;

- monitoring of the technical state of the gas transport system, including underground gas storage located in Ukraine, where relevant to the transit of gas to the European Union; and

- other Issues, such as the elaboration of recommendations and proposals on optimization of transit of natural gas through the territory of Ukraine,

- monitoring on gas metering stations on the territory of Russia, located at the entry points to the GTS of Ukraine and control of the metering stations on the territory of European Union member states bordering Ukraine.

 

 

 

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