Ukraine halts transit of Russian gas to Europe after a prewar deal expired

The border release and compressor station of the gas pipeline from Ukraine to eastern Slovakia. (AFP/File)
The border release and compressor station of the gas pipeline from Ukraine to eastern Slovakia. (AFP/File)
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Updated 01 January 2025
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Ukraine halts transit of Russian gas to Europe after a prewar deal expired

Ukraine halts transit of Russian gas to Europe after a prewar deal expired
  • Ukraine’s energy minister said Kyiv had stopped the transit “in the interest of national security”
  • Until now, Russian natural gas kept flowing through Ukraine’s pipeline network after the 2022 invasion

KYIV, Ukraine: Ukraine on Wednesday halted Russian gas supplies to European customers through its pipeline network after a prewar transit deal expired at the end of last year.
Ukraine’s energy minister, Herman Halushchenko, confirmed on Wednesday morning that Kyiv had stopped the transit “in the interest of national security.”
“This is a historic event. Russia is losing markets and will incur financial losses. Europe has already decided to phase out Russian gas, and (this) aligns with what Ukraine has done today,” Halushchenko said in an update on the Telegram messaging app.
At a summit in Brussels last month, Ukrainian President Volodymyr Zelensky vowed that Kyiv would not allow Moscow to use the transits to earn “additional billions ... on our blood, on the lives of our citizens.” But he had briefly held open the possibility of the gas flows continuing if payments to Russia were withheld until the war ends.
Russia’s Gazprom said in a statement on Wednesday morning that it “has no technical and legal possibility” of sending gas through Ukraine, due to Kyiv’s refusal to extend the deal.
Even as Russian troops and tanks moved into Ukraine in 2022, Russian natural gas kept flowing through the country’s pipeline network — set up when Ukraine and Russia were both part of the Soviet Union — to Europe, under a five-year agreement. Gazprom earned money from the gas and Ukraine collected transit fees.
Before the war, Russia supplied nearly 40 percent of the European Union’s pipeline natural gas. Gas flowed through four pipeline systems, one under the Baltic Sea, one through Belarus and Poland, one through Ukraine and one under the Black Sea through Turkiye to Bulgaria.
After the war started, Russia cut off most supplies through the Baltic and Belarus-Poland pipelines, citing disputes over a demand for payment in rubles. The Baltic pipeline was blown up in an act of sabotage, but details of the attack remain murky.
The Russian cutoff caused an energy crisis in Europe. Germany had to shell out billions of euros to set up floating terminals to import liquefied natural gas that comes by ship, not by pipeline. Users cut back as prices soared. Norway and the US filled the gap, becoming the two largest suppliers.
Europe viewed the Russian cutoff as energy blackmail and has outlined plans to completely eliminate Russian gas imports by 2027.
Russia’s share of the EU pipeline natural gas market dropped sharply to about 8 percent in 2023, according to data from the EU Commission. The Ukrainian transit route served EU members Austria and Slovakia, which long got the bulk of their natural gas from Russia but have recently scrambled to diversify supplies.
Gazprom halted supplies to Austria’s OMV in mid-November over a contractual dispute, but gas flows through Ukraine’s pipelines continued as other customers stepped in. Slovakia this year inked deals to begin buying natural gas from Azerbaijan, and also to import US liquefied natural gas through a pipeline from Poland.
Among the hardest-hit will be EU candidate country Moldova, which was receiving Russian gas via Ukraine and has brought in emergency measures as residents brace for a harsh winter and looming power cuts.
Separately from Kyiv’s decision to let the transit deal expire, Gazprom said last month it will halt gas supplies to Moldova starting on Jan. 1, citing unpaid debt. Gazprom has said Moldova owes close to $709 million for past gas supplies, a figure the country has fiercely disputed, citing international audits.
Heating and hot water supplies were abruptly cut off on Wednesday to households in Transnistria, Moldova’s breakaway region that has for decades hosted Russian troops, as Russian natural gas stopped flowing to the territory, local transit operator Tiraspoltransgaz-Transnistria said.
In an online statement, the company urged residents to gather household members together in a single room, hang blankets over windows and balcony doors, and use electric heaters. It said some key facilities including hospitals were exempt from the cuts.
On Dec. 13, Moldova’s parliament voted in favor of imposing a state of emergency in the energy sector, as fears mounted that the gas shortages could trigger a humanitarian crisis in Transnistria, for decades dependent on Russian energy supplies.
Many observers have predicted that the looming energy shortage could force people in the separatist territory to travel to Moldova proper, seeking basic amenities to get through the harsh winter and placing further strain on resources.
Moldova, Ukraine and EU politicians have repeatedly accused Moscow of weaponizing energy supplies.
On Wednesday, Polish Foreign Minister Radek Sikorski called Ukraine’s move to halt supplies a “victory” for those opposed to the Kremlin’s policies. In a post on X, Sikorski accused Moscow of systematic attempts to “blackmail Eastern Europe with the threat of cutting off gas supplies,” including through a Baltic pipeline bypassing Ukraine and Poland and running directly to Germany.
Slovakian PM Robert Fico Slovakia’s Prime claimed Wednesday that the end of gas flows via Ukraine “will drastically affect us all in the EU but not Russia.”
Fico, whose views on Russia have sharply differed from the European mainstream, has previously hit out at Kyiv’s refusal to extend the transit deal, and threatened to end electricity supplies to Ukraine in response.
Moscow can still send gas to Hungary, as well as non-EU states Turkiye and Serbia, through the TurkStream pipeline across the Black Sea.
The steady reduction of Russian gas supplies to European countries has also spurred them to hasten the integration of Ukraine’s energy grids with its neighbors to the west.
Last week, private Ukrainian energy utility DTEK said it had received its first shipment of liquefied natural gas from the US, to be delivered through a newly expanded network spanning six countries from Greece to Ukraine – and marking a significant step in reducing regional dependence on Russian energy.
Separately, overnight into New Year’s Day, Russia launched a drone strike on Kyiv that left two people dead under the rubble of a damaged building, according to the city administration. At least six people were wounded across the Ukrainian capital, according to Mayor Vitali Klitschko.
Russian shelling also killed a man and wounded two women in Ukraine’s southern city of Kherson, regional authorities reported.


US investigating ‘threat’ to Trump by ex-FBI chief Comey

US investigating ‘threat’ to Trump by ex-FBI chief Comey
Updated 8 sec ago
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US investigating ‘threat’ to Trump by ex-FBI chief Comey

US investigating ‘threat’ to Trump by ex-FBI chief Comey

WASHINGTON: US law enforcement agencies are investigating an alleged assassination threat against President Donald Trump by former FBI director James Comey, Homeland Security Secretary Kristi Noem said Thursday.
The announcement by Noem came after Comey made a now-deleted post on Instagram that showed an image of “86 47” spelled out in sea shells, with “86” being slang for kill and Trump the 47th president.
“Disgraced former FBI Director James Comey just called for the assassination of @POTUS Trump,” Noem posted on X.
“DHS and Secret Service is investigating this threat and will respond appropriately,” she said.
Comey later said on Instagram that he posted “a picture of some shells I saw today on a beach walk, which I assumed were a political message.”
“I didn’t realize some folks associate those numbers with violence. It never occurred to me but I oppose violence of any kind so I took the post down,” he said.
Trump was wounded in the ear during an assassination attempt that took place while he was holding a rally in Butler, Pennsylvania in July, and has faced other threats.

 


Putin ‘must pay the price for avoiding peace’ in Ukraine: Britain’s Starmer

Putin ‘must pay the price for avoiding peace’ in Ukraine: Britain’s Starmer
Updated 15 min 22 sec ago
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Putin ‘must pay the price for avoiding peace’ in Ukraine: Britain’s Starmer

Putin ‘must pay the price for avoiding peace’ in Ukraine: Britain’s Starmer

LONDON: British Prime Minister Keir Starmer said Russian President Vladimir Putin “must pay the price for avoiding peace” ahead of a European Political Community meeting in Albania on Friday.
“Putin’s tactics to dither and delay, while continuing to kill and cause bloodshed across Ukraine,  intolerable,” Starmer said in a statement ahead of the summit, taking place the same day talks are expected between Ukraine and Russia in Turkiye.


Nose cone glitch wipes Australian rocket launch

Nose cone glitch wipes Australian rocket launch
Updated 29 min 32 sec ago
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Nose cone glitch wipes Australian rocket launch

Nose cone glitch wipes Australian rocket launch
  • The mishap happened before fueling of the vehicle at the company’s spaceport near the east coast township of Bowen

SYDNEY: An Australian aerospace firm said Friday it has scrubbed a historic attempt to send a locally developed rocket into orbit, citing a glitch in the nose cone protecting its payload — a jar of Vegemite.
An electrical fault erroneously deployed the opening mechanism of the carbon-fiber nose cone during pre-flight testing, Gilmour Space Technologies said.
The nose cone is designed to shield the payload during the rocket’s ascent through the Earth’s atmosphere before reaching space.
The mishap happened before fueling of the vehicle at the company’s spaceport near the east coast township of Bowen, about 1,000 kilometers  up from the Queensland capital Brisbane.
“The good news is the rocket and the team are both fine. While we’re disappointed by the delay, we’re already working through a resolution and expect to be back on the pad soon,” said chief executive Adam Gilmour.
“As always, safety is our highest priority.”
Gilmour said the team would now work to identify the problem on its 23-meter, three-stage Eris rocket, which is designed to send satellites into low-Earth orbit.
A replacement nose cone would be transported to the launch site in the coming days, he said.
Weighing 30 tons fully fueled, the rocket has a hybrid propulsion system, using a solid inert fuel and a liquid oxidiser, which provides the oxygen for it to burn.
If successful, it would be the first Australian-made rocket to be sent into orbit from Australian soil.
“We have all worked really hard so, yes, the team is disappointed. But on the other hand, we do rockets — they are used to setbacks,” said communications chief Michelle Gilmour.
“We are talking about at least a few weeks, so it is not going to happen now,” she told AFP.
The payload for the initial test — a jar of Vegemite — remained intact.
“It’s hardy, resilient, like Aussies,” she said.
Gilmour Space Technologies had to delay a launch attempt the previous day, too, because of a bug in the external power system it relies on for system checks.
The company, which has 230 employees, hopes to start commercial launches in late 2026 or early 2027.
It has worked on rocket development for a decade, and is backed by investors including venture capital group Blackbird and pension fund HESTA.


Coinbase warns of up to $400 million hit from cyberattack

Coinbase warns of up to $400 million hit from cyberattack
Updated 16 May 2025
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Coinbase warns of up to $400 million hit from cyberattack

Coinbase warns of up to $400 million hit from cyberattack
  • Hackers bribed staff overseas
  • Company rejected $20 million ransom demand

Coinbase forecast a hit of $180 million to $400 million from a cyberattack that breached account data of a “small subset” of its customers, the crypto exchange said in a regulatory filing on Thursday.
The company received an email from an unknown threat actor on May 11, claiming to have information about certain customer accounts as well as internal documents.
While some data — including names, addresses and emails — was stolen, the hackers did not get access to login credentials or passwords, Coinbase said. It would, however, reimburse customers who were tricked into sending funds to the attackers.
Hackers had paid multiple contractors and employees working in support roles outside the US to collect information. The company had fired those involved, it said.
Separately, the US Securities and Exchange Commission had begun scrutinizing whether Coinbase had misstated its user figures, two sources familiar with the matter told Reuters.
The agency had also been interested in whether any inaccurate user data could indicate the company had inadequate know-your-customer compliance that is required of firms registered with the SEC, the sources said.
A Coinbase spokesperson denied the SEC was probing the company’s compliance with know-your-customer and Bank Secrecy Act rules.
Another source familiar with the matter said that the SEC did not directly ask questions about such compliance and that it would not be a relevant topic since the SEC
dropped a separate case
against Coinbase alleging the firm failed to register with the SEC.
The inquiry into Coinbase’s “verified user” metric had continued even after the SEC abandoned its other lawsuit, the source said. The New York Times first reported the investigation into user data from past disclosures.
Coinbase shares extended losses after the report and were last down 6.5 percent.
“This is a hold-over investigation from the prior administration about a metric we stopped reporting two and a half years ago, which was fully disclosed to the public,” Coinbase’s chief legal officer, Paul Grewal, said.
“While we strongly believe this investigation should not continue, we remain committed to working with the SEC to bring this matter to a close.”
The SEC declined to comment.

Cracks in crypto
The latest developments come days before the company is set to join the benchmark S&P 500 index, casting a shadow over what was expected to be a landmark moment for the crypto industry.
Security remains a challenge for the crypto industry despite its growing mainstream acceptance. In February, Bybit disclosed a hack in which around $1.5 billion of digital tokens were stolen — widely dubbed the biggest crypto heist of all time.
“The cyberattack may push the industry to adopt stricter employee vetting and introduce some reputational risks,” said Bo Pei, analyst at US Tiger Securities.
Funds stolen by hacking crypto platforms totaled $2.2 billion in 2024, according to a report from Chainalysis.
“As our nascent industry grows rapidly, it draws the eye of bad actors, who are becoming increasingly sophisticated in the scope of their attacks,” said Nick Jones, founder of crypto firm Zumo.
The firm now also faces a lawsuit, filed in the Southern District of New York, alleging the world’s largest crypto exchange failed to secure and safeguard personally identifiable information of millions of former and current customers, the filing showed.
Coinbase has refused to pay a ransom demand of $20 million from the attackers and is working with law enforcement agencies. It has instead established a $20 million reward for information on the hackers.
The company is also opening a new support hub in the US and taking other measures to prevent such cyberattacks, it said.


Republican House bill would jack up cost of US solar home systems, PV panel makers warn

Republican House bill would jack up cost of US solar home systems, PV panel makers warn
Updated 16 May 2025
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Republican House bill would jack up cost of US solar home systems, PV panel makers warn

Republican House bill would jack up cost of US solar home systems, PV panel makers warn
  • Proposed measure would scrap 30 percent tax credit for homeowners with solar panels
  • Bill aligned with Trump move to undo Biden-era clean energy program

Companies that put solar panels on US homes say a Republican budget bill advanced in Congress this week would deal a massive blow to the industry by eliminating a generous subsidy for homeowners that had buttressed the industry’s growth.
The bill would scrap a 30 percent federal credit for taxpayers who put up rooftop systems, stifling an industry that has grown ten-fold over the last decade and which now employs more than 100,000 workers, industry players said.
“It certainly is a giant setback,” said Charlie Hadlow, president of EnergySage, an online solar marketplace. “I have solar installers in our large network passing around the contact information for bankruptcy attorneys. That’s not alarmist, that’s happening.”
Many of the biggest residential solar markets are in states that voted for President Donald Trump, including Texas, Florida and Arizona, according to the Solar Energy Industries Association trade group.
The House of Representatives Ways and Means Committee voted this week to allow the 25D tax credit to expire at the end of this year, nine years earlier than planned, as part of a Republican effort to roll back subsidies from former President Joe Biden’s signature climate law, the Inflation Reduction Act.
A spokesperson for Republicans on the committee did not immediately respond to a request for comment.
The bill still has several hurdles to clear before getting a broad package of tax cuts, spending hikes and safety-net reductions through Congress.
The White House did not immediately respond to a request for comment. Trump wants to undo federal regulations and programs introduced by Biden that are aimed at expanding clean energy and combating climate change.
More than half of residential installations qualify for the 25D tax credit, according to EnergySage, which estimates that rooftop systems will be about $8,000 or $9,000 more expensive without it.
The subsidy has been critical for small installers whose customers pay cash or take out loans and then claim the credit on their tax returns.
For panels that are owned by a third party, such as a bank, and leased to homeowners, system owners are able to claim a separate tax credit that the House bill would leave in place until 2032 but start to phase out in 2029.
That market is dominated by large players like Sunrun.
“You want to just place a larger burden on the regular Joe who pays taxes? It doesn’t seem fair,” said Jack Ramsey, CEO of Altsys Solar in Tulare, California.
Ramsey anticipates cutting his nine-person staff to four or five people if the credit is eliminated.
At the end of 2024, the US boasted 36 gigawatts of residential solar capacity, up from 3 GW in 2014 and a level equivalent to a third of the nation’s nuclear power capacity.
Rooftop solar accounts for more than a third of solar industry jobs, according to the Interstate Renewable Energy Council.
Rob Kaercher, CEO of Absolute Solar in Lansing, Michigan, has 24 employees and wants to hire more, but will not if the credit goes away.
“I strongly urge the credits to be maintained, because it would do a tremendous amount for local businesses just like ours to be able to continue to hire and grow,” Kaercher told reporters.
The move to eliminate the credit caught many in the industry off guard.
Thomas Clark, the director of marketing and communications of Northstone Solar in Whitefish, Montana, met with staff from his state’s Congressional delegation in Washington earlier this year and came away from the meeting feeling the credit was safe.
“Obviously this happening so quickly after those meetings really hurts as a constituent,” Clark said.