Ukraine and Russia try again to forge gas deal at Brussels talk

(Reuters) —  Ukraine and Russia begin new gas crisis talks on Wednesday, but wrangling over Ukraine’s upfront cash payments threatens to push a deal out of reach, even as temperatures have fallen below zero in Kiev.
Russian state utility Gazprom halted supplies to Kiev in June because of Ukraine’s unpaid gas bill, which Moscow says is around $4.5 billion.
For months, the cut-off has had little impact. But pressure is mounting for a deal as peak winter demand looms and European Energy Commissioner Guenther Oettinger, who has been mediating the talks, prepares to leave office at the end of the week.
The two sides came close in September, but then differences gaped wide last week over Kiev’s ability to pay.
Oettinger told German television on Wednesday there was a 50 percent chance of a breakthrough in the talks, which begin in the afternoon in Brussels. If he cannot broker a solution, it will be down to his successor, who takes office on Nov. 1.
Weekend elections returned a pro-Western parliament in Kiev, potentially stoking tensions with Moscow, although Russia’s EU envoy, Vladimir Chizhov, said the mood could be more relaxed now the vote has taken place.
«During the last rounds of talks, let’s not conceal it, the pre-election situation had its influence on Ukrainian side,» Chizhov told Russian agency RIA Novosti. The only unresolved problem, he said, was where to get the money from for winter supplies.

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