Ukrainian government decides to divide Naftogaz

June 5, 2014

Ukraine’s government has approved a decision to create a gas transportation system company, the parliament-appointed Minister of Energy and Coal Industry Yuriy Prodan has said, ITAR-TASS reported on June 4.

A company to store gas underground will be also set up, Prodan said. “These will be the state-controlled companies. One of the companies will work as an independent operator (gas transportation system) under European rules and the other will have underground storage facilities,” he said.

This decision should be approved by the parliament. It should adopt several laws that the government will submit shortly, Prodan said.

The split of Naftogaz into three separate businesses complies with European Union rules regulating competition in the energy sector, he said.

Copyright: ITAR-TASS, 2014