27 April 2022, 12:32 PM

Gazprom cuts gas supplies to Bulgaria, Poland

Russia's state-owned Gazprom announced on April 27 that it had suspended gas supplies to Bulgaria and Poland, according to a statement published on the company’s website.

Gazprom claims that gas supplies to Bulgaria's Bulgargaz and Poland's PGNIG energy companies are suspended in full due to the two countries’ refusal to pay in rubles, which Russia has said that countries will be obliged to do, following a decree signed by Russian dictator Vladimir Putin in late March. 

"Gas supplies to Bulgargaz and PGNIG have been suspended until they are paid for in accordance with the new procedure, in rubles," the Russian company said.

PGNiG announced that it had received a demand to pay for gas in rubles on April 26, but refused to do so - calling it a breach of contract on the part of Gazprom.

Later that day, Bulgaria's energy ministry also announced that Gazprom would cut off gas supplies to the country on April 27 for refusing to pay in Russian rubles.

The European Commission has stated that they consider the directive to pay for Russian gas in rubles a circumvention of sanctions imposed on Russia for its aggressive war against Ukraine. Payments under contracts that pay in euros or dollars must be made in these currencies, the EC noted.

Most European countries, except Hungary, have refused to pay for Russian gas in rubles.

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