27 Aug 2010 20:05

Gazprom-Naftogaz merger would mean low gas prices for Ukrainian households - Miller

MOSCOW. Aug 27 (Interfax) - A combination between Russia's Gazprom and Ukraine's Naftogaz would enable Ukrainian households to receive gas at low Russian prices in time, Alexei Miller, the Russian gas giant's chief executive, told the Vesti 24 TV news channel.

A combination between the two companies would have an important social effect. "Because in that event gas could be supplied to Ukrainian households, we think, at the prices at which gas is supplied to Russian households. The state regulates gas prices for households in Russia, not the market - this is 1,880 rubles or just over $60 per thousand cubic meters today," Miller said.

A joint venture would be appealing to both sides because it would create "a common Russian-Ukrainian resource base," Miller said. "That would be a very important factor in the predictability, reliability and stability of gas supplies for Ukrainian consumers," he said.