Serbia: Mystery friendship, Serbia pay Russian gas at the most expensive price in Europe

25. August 2014. / News Serbia Energy

Gas is imported from Russia for 720 dollars per m3, which is 20 percent more than the price in the region, but also in the European Union. Illogical … even Macedonians, Croats and Slovenes pay gas cheaper than Serbia. During the last year Serbia imported gas from Russia at an average price of 720 dollars per ton, this is 20 percent more than the average price of Russian gas supplies to other European countries.

There is no justification

Even Macedonia, Croatia and Slovenia pay Russian gas cheaper than Serbia, while in 2013th, only Bosnia and Herzegovina had a higher purchase price of the gas from the country, according to data from the site trademap.org, which is a worldwide database of Foreign Trade.

Why Serbia, despite the “deep spiritual and friendly” relations between the two countries has been paying for years the most expensive gas imports from Russia, is also a real enigma for financial consultant Dragovan Milicevic. He points out that there is no economic justification for such price list, since our country is among the ten largest customers of Russian liquefied petroleum gas.

Closer and more expensive

– Serbia inexplicably pays the highest price for the Russian gas delivery. The most important factors are import prices and transport costs, which are directly related to the distance. However, in the case of Serbia, this parameter does not play a decisive role. So Greece, which is farther away from Russia than we are and it has transportation about 2,350 kilometers in length, delivery, and pays delivery for 603 dollars per ton.

Even Macedonia has a lower gas price from Serbia – said Milicevic.

He reminds that gas prices in 2012th and 2013th were increased in line with the rise in oil prices on the world market, but that in 2013th the average price of Russian deliveries was 574 dollars per ton, which is almost lower for a third than the delivery cost to Serbia.

Kazakhstan the most favorable

– The gas definitely is not only a fuel or raw material in the petrochemical industry, but primarily geostrategic concept – said Milicevic and pointed out that in 2013th Serbia imported gas from Kazakhstan, but at the price of 460 dollars per ton, which is considerably lower than the Russian pricing.

On the occasion of pepper price of Russian gas, Kurir was unable to obtain comment from the Ministry of Energy and Mining, and why he failed to agree on more favorable gas price for Serbia, even Dusan Bajatovic, Managing Director of “Srbijagas” explained to us.

Unanswered Questions

1.Why does Serbia pay the highest price of gas than its traditional friend Russia?
2. What should happen that the price of gas imports from Russia be lowered?
3. What factors determine the price of Russian gas supplies?
4. Why is gas from Kazakhstan cheaper than the Russian?
5. Why Serbia does not increase gas imports from Kazakhstan?
* We have been waiting more than a week for responses from
Ministry of Energy and “Srbijagas”

FACTS

How much do we waste?

– 728 783 tons of gas Serbia imported last year from Russia at a price of 720 dollars per ton
– 473 103 tons of gas Serbia imported from Kazakhstan in 2013th at a price of 457 dollars per ton
– 431 MEUR was “Srbijagas” loss in 2013

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