Baroque From Australia, joined Apr 2006, 15380 posts, RR: 59
Reply 1, posted (8 years 5 months 6 days 20 hours ago) and read 1684 times:
Do you remember Russia being lectured about the value of the free market and the paramount nature of market prices? I don't know if those lectures included the phrase "make sure you are screwing the customer".
Whether they did, or they did not, what sort of double standard is it to criticise the Russians for charging market rates? If they charged less, there would be complaints about subsidies and inefficient allocation of resources, so what is the beef when the DO charge close to market rates. Get over it.
Note the suggestion that some part of the gas was coming in (stage right) at about $50 a thousand M3 and exiting (stage left) at European prices of close to $200 with someone in Ukraine taking the difference. Snagglepuss would have been proud.
Hard as it may be, free market sympathies should lie with the Russians. Subsidizing their neighbours to undercut their own industries is a part of Capitalism 101 that I have yet to find as an approved strategy,
MD-90 From United States of America, joined Jan 2000, 8511 posts, RR: 11
Reply 4, posted (8 years 5 months 6 days 19 hours ago) and read 1669 times:
Gazprom (Russia's gas monopoly) wanted to stop subsidizing the former Soviet outliers' gas prices. And Ukraine uses a lot of natural gas. Their rates still aren't at actual market prices, although they've doubled (so far), because they still have about 250% higher to go before reaching market prices. Nothing wrong with that, comrades.
The whole "Ukraine is more pro-US, pro-NATO than Russia so Putin is misbehaving" spin put on this by politicians is a bunch of crap intended to influence people who watch too much TV.