Russia cut gas supplies to Ukraine yesterday as a payment deadline passed and negotiators failed to reach a deal.
Gazprom spokesman Sergei Kupriyanov said that since Ukraine had paid nothing for gas, from now on the company would demand that Ukraine pays in advance.
“Gazprom supplies to Ukraine only the amount that has been paid for and the amount that has been paid for is zero,” Mr Kupriyanov said. Gazprom offered previous president Viktor Yanukovych a discounted price of £158.24 per thousand cubic metres in December. That price was cancelled on April 1 and raised to £286.
Russia has now offered £227, the price Ukraine was paying before the December discount, but Kiev has demanded a lower sum.
Gazprom says Ukraine owes a total of £2.63billion for gas from last year and this year.
The company said it is suing Ukraine’s state energy company Naftogaz in an international court for the outstanding amount.