Uzbekistan cuts natural gas supply to the south of Kyrgyzstan due to debts

In the night of September 24 of 2009 Uzbekistan shut natural gas supply to the southern region of Kyrgyzstan, 24.kg information agency reports. This happened due to the debt of the consumers in the city of Osh.

According to Vice-Mayor of "the southern capital" Alimzhan Baigazakov, the city administration is currently negotiating with Uzbek representatives. "The city executive board is going to establish special committee and its major task today is the continuation of gas supply", the official noted.

Mr. Baigazakov admitted that the cut of supply is reasoned by debt. "First of all, we need to pay back the debt to our neighbors", the Vice-Mayor informed.

Osh city executive board is going to pay serious attention to the resolution of issue, related to internal debt. Baygazakov says that today’s debt of Osh city is $2 million.

Ferghana.Ru reported in August that Kyrgyz debt, payable to Uzbekistan, was $18 million. It has to be mentioned that since the beginning of 2009 Kyrgyzstan has been purchasing Uzbek gas at the price of 240 US dollars per 1000 cubic meters while in 2008 and 2007 the price was $145 and $55 respectively.

Kyrgyzstan also has decent natural gas resources; its recoverable reserves are estimated at 6 billion cubic meters. However, the development of gas fields is aggravated by geologic peculiarities and weak infrastructure. The domestic natural gas production in the republic reaches 30 million cubic meters per year while the domestic consumption equals to 750 million cubic meters per year.

Source:
Ferghana.ru