Poland’s dominant gas company, PGNiG, said its biggest supplier, Russia’s Gazprom, has proposed increasing prices for its gas in an existing long-term delivery deal, at a time of heightened tensions between Moscow and Warsaw.

PGNiG, which has said it will not renew the deal (which runs until 2022), said that the proposal to renegotiate the price was “groundless”.

Gazprom’s exporting arm, Gazprom Export, confirmed it had sent a proposal to PGNiG to review the gas price upwards starting from November 2020.

PGNiG, which asked Gazprom to lower the delivery price, imports most of the gas it resells from Gazprom based on the existing long-term deal. Gazprom and PGNiG have had a long-running dispute over gas prices.

PGNiG has repeatedly said it pays more than its European peers for Gazprom’s gas. In a flare up of a wider political row, Poland fined Gazprom more than 29 bn zlotys ($7.6 bn) for building the Nord Stream 2 gas pipeline without Warsaw’s approval.

For more information visit pgnig.pl

6th January 2021