End of an Era: Russia Halts Gas Exports via Ukraine Pipelines

Russian gas exports through Ukraine's pipelines halted on New Year's Day as Ukraine refused to renew a transit agreement. The stoppage is part of Europe's move away from Russian energy dependence. The EU has prepared alternative supplies, though regions like Transdniestria face challenges due to reliance on gas transit.

In a historic shift, Russian gas exports through Soviet-era pipelines running through Ukraine ended on New Year's Day. This brings to a close Moscow's long-standing influence over Europe's energy markets. The cessation came as Ukraine opted not to renew a transit agreement, prompting Gazprom, Russia's gas giant, to halt the flow at 0500 GMT.

Despite widespread anticipation of the stoppage, the European Union assured that it will not impact gas prices for consumers. Previously, in 2022, similar disruptions led to record-high prices that worsened the cost-of-living crisis. The EU has since secured alternative supplies, with countries like Slovakia and Austria making arrangements, and Hungary receiving gas via the TurkStream pipeline.

The halt has nonetheless affected regions like Transdniestria, a pro-Russian enclave in Moldova, which cut off essential services due to the stoppage. Ukraine's decision signals Europe's reduction of dependency on Russian energy, having shifted focus to sources like Norway and LNG imports. Ukraine anticipates financial losses but views the move as part of a broader strategic divorce from Russian energy.

(With inputs from agencies.)