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April 4, 2014

Putin’s Gas, Again

He raises prices for the second time.

As we wrote earlier this week, Vladimir Putin hasn’t been the least bit deterred by Barack Obama’s empty rhetoric and weak sanctions. Just days after raising natural gas prices 40% on Ukraine markets, he did it again, nearly doubling the price in less than a week. “There is no reason why Russia would raise the gas price for Ukraine … other than one – politics,” said Ukrainian Prime Minister Arseny Yatseniuk. “We expect Russia to go further in terms of pressure on the gas front, including limiting gas supplies to Ukraine.” Indeed, the 80% hike is the latest sign that Putin isn’t done with the former Soviet satellite, as is the fact that Russia troops remain amassed on the border. The rest of Europe is again on notice.

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