You're reading: New Eastern Europe: Ukraine faces gas dilemma

Ukraine is finally taking serious strides towards energy independence, its biggest geopolitical headache. New deals should boost production from unconventional energy resources, alternative sources are being explored and local consumption is being reduced.

Yet
Russian Gazprom’s single biggest client is not out of the woods just
yet. A recent $7 billion bill for unpurchased gas in 2012
suggests Moscow will try to keep pressure on Ukraine high, while a
rising campaign against shale gas could cause additional problems at
home. Moreover, government policy does not always seem to have the
nation’s best interests at heart.

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