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Home » News » World

Wednesday, January 7, 2009

Pipelines empty as Moscow, Kiev dispute

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Halt in shipments hits bitter cold Europe

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delta1464

Ukraine should learn a lesson here that if it wants to live in Capitalism, then it should not expect any free lunch. Ukraine should stop stealing gas sent to Western Europe and should start taking responsibility for its debt and purchases like every responsible adult. Ukraine should not expect any big discounts from Russia if Ukraine’s behavior towards Russia is not friendly. Russia wants Ukraine to pay like everyone else… what a surprise! It’s called Capitalism, baby! Ukraine should pay the same price for Russian gas as everyone else, and if it doesn’t like the price then it can always go and fish or shut up and pay. True Capitalism! Nothing to criticize here. Ukraine wants to spit to Russian face first, and then expects a big discount from Russia. Who are you people kidding? Do you think that we are all blind idiots here? Have respect for your readers, some of them may be even as smart as you are. Ever considered this possibility?
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CountCash

delta1464 You are right on many points, this dispute sould be settled according to the free market. The EU and US should insist on this, insisting that all contracts are honoured. At present on preliminary analysis, Russia is probably entitled to claim Force majure, however a competent court needs to decide this. Now to the price. Like all bargains, Ukraine and Russia have their bargaining positions, Ukraine can expect a reward fro having a control point on the route to market. Russia can expect to have some premium as they are the only supplier in town for Ukraine (otherwise they freeze and their industry stops). So now it comes down to simple business pressure. How long can one last out against the other. Ukraine will tend to freeze and politically fall apart as it tries to hold out. Russia will lose valuable foreign revenue as it tries to hold out. This is simple business and law! The way it should be! So let it be decided that way!
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