Russia's Gazprom appeals Stockholm arbitration court ruling on Ukraine's claim
The Russian company Gazprom has filed an appeal against the ruling of the Arbitration Institute of the Stockholm Chamber of Commerce (SCC) in the gas dispute with Naftogaz Ukraine.
This was announced by Gazprom on Twitter.
The Russian company promises to appeal the ruling by the end of March 2018.
Earlier Gazprom notified Naftogaz Ukraine that it was beginning the procedures to annul all of its active contracts with Naftogaz to supply and transit gas.
In the gas dispute with Ukraine, Gazprom attempted to recover from Naftogaz its overdue debt for gas supplied between 2013 and 2014, as well as a $56 billion fine for the gas shortfall according to the “take or pay” rule. In December, the SCC Arbitration Institute ordered the Ukrainian company to pay Gazprom only $2 billion for the already supplied gas, as well as interest at a rate of 0.03% per day after December 22, 2017.
In addition, the arbitrators released Naftogaz from the obligation to buy 52 billion cubic meters per year from Gazprom according to the “take or pay” rule, reducing the obligatory amount to 5 billion cubic meters.
On February 28, the Arbitration Institute published its ruling on the gas dispute. It ruled that Gazprom must pay Naftogaz $4.63 billion for under-delivering gas according to the transit agreement.
Thus according to both verdicts, Gazprom owes Naftogaz Ukraine a balance of roughly $2.6 billion.
On March 1, Gazprom refused to renew its gas supply to Ukraine. On March 2 it announced the start of procedures to nullify its contracts to transit gas through Ukraine and supply Ukraine with gas.