Ukraine has reinforced its cooperation with the European Union on aviation, science and culture at an Oct. 12 summit in Kyiv.
President Volodymyr Zelensky met with top European officials to discuss crucial issues for the country, including political and economic integration with the EU, progress on the association agreement, joint efforts in fighting COVID-19, the visa-free regime, as well as foreign and security policy.
The meeting led to one significant breakthrough — both sides agreed to unite their airspace and sign Open Skies Treaty, completing 15 years of negotiations. The deal is expected to boost social, economic and tourism cooperation between the EU and Ukraine.
During the summit, the European Commission also pledged to give Ukraine a second tranche of macroeconomic assistance of 600 million euros ($692 million). Ukraine received the first tranche in December 2020 to help offset the economic damage of the COVID-19 pandemic.
The leaders of the bloc, which is rolling out a further investment package of up to 6.5 billion euros ($7.5 billion) for Ukraine, also affirmed their commitment to support the country’s efforts at large-scale reforms and access to natural gas.
Gas crisis
European Council leader Charles Michel and European Commission leader Ursula von der Leyen arrived at the Ukrainian capital as Europe faces a gas crisis after a rise in prices and a drop in reserves. Ukraine believes that the shortage was caused by a Russian attempt to blackmail Europe into granting final approval for the Nord Stream 2 pipeline, which was completed earlier this year.
Ukraine’s energy concerns increased when Hungary signed a 15-year gas deal with Russia in September that sidelined Ukraine as a transit country. Kyiv stands to lose millions of dollars in transit payments as a result of the agreement. This led to a diplomatic spat, with Hungary and Ukraine summoning each others’ ambassadors to explain their country’s positions.
Russia used to ship natural gas primarily through Ukrainian pipelines, which provided Ukraine with transit fees and leverage. In recent years, Russia has been trying to diversify its export routes to go around Ukraine. In total, Ukraine stands to lose over $1.5 billion per year.
EU officials said they are looking at different ways to ensure Kyiv has a steady supply of natural gas this winter and is not exposed to a reduction in Moscow’s output.
“The EU and Ukraine stressed the importance of working together against any potential efforts by third parties to use energy as a weapon,” the joint statement after the summit reads.
According to von der Leyen, reverse flows could come from Slovakia, which has been connected to Ukraine’s pipelines since September 2014.
“We will also work closely with you … to increase gas supply capacity coming from member states of the European Union. And this also includes the option of working on arrangements to reverse the flow of an additional gas pipeline from Slovakia,” von der Leyen said while standing next to Zelensky.
She stressed that “Ukraine remains, and must remain, a reliable transit country” for gas supplies to Europe.
Fight with oligarchs
The EU officials welcomed Ukraine’s attempts to curtail oligarchs’ influence after the Ukrainian parliament passed the second reading of Zelensky’s deoligarchization bill on Sept. 23.
The bill legally defines the word “oligarch” and imposes restrictions on anyone who meets this definition. The National Security and Defense Council, headed by Zelensky, will have its powers expanded and will draw an official oligarch registry. Those on the list will be banned from donating directly or indirectly to political parties and participating in the privatization of state assets.
Wealthy businessmen Rinat Akhmetov, Ihor Kolomoisky, Ihor Palytsa, Serhiy Lyovochkin, Dmytro Firtash and Victor Pinchuk are the primary losers of the passed legislation. Former President Petro Poroshenko also falls under the voted criteria.
“The EU welcomed Ukraine’s efforts to close the space for corrupt practices and its commitment to fight the influence of vested interests (‘de-oligarchisation’),” the statement reads.
War with Russia
The EU maintained its position on Russia’s war in Donbas and illegal annexation of Crimea and will continue to support Ukrainian sovereignty and territorial integrity.
“We reiterated our strong condemnation of the clear violation of Ukrainian sovereignty and territorial integrity by acts of aggression by the Russian armed forces since February 2014,” Michel and von der Leyen said.
On Oct.11, the European Council has sanctioned eight more people who “actively… undermine or threaten the territorial integrity, sovereignty and independence of Ukraine.”
A total of 185 people and 48 entities have now been sanctioned for violating Ukraine’s territorial integrity. They are subject to an asset freeze and a travel ban to or through the EU.
“Together with the EU, we share the opinion that the responsibility for the lack of progress in the peace settlement in Donbas lies entirely with Russia, which is undoubtedly a party to the conflict, which is recorded in the Joint Statement today,” said Zelensky.
Supporting reforms
Since 2014, when Russia invaded Ukraine, the EU has allocated 17 billion in loans and grants to assist with reforms in Ukraine, according to EU leaders.
Michel and von der Leyen said that this aid will continue: “We underline the importance of continuing to pursue the related reforms.”
The EU officials also said they recognize Ukraine’s progress in reforming the country in the past year, mentioning “the historic opening of the agricultural land market in Ukraine.”
As part of the first phase of the land market reforms, only individual Ukrainian citizens will be able to buy or sell up to 100 hectares of land. Starting from January 2024, companies registered in Ukraine will gain the right to buy land too. The limit of the land will also increase, up to 10,000 hectares. Foreigners won’t have the right to buy land until the country holds a nationwide referendum.
European leaders underlined the importance of the comprehensive and consistent implementation of judicial reforms, saying it’s vital for strengthening Ukraine’s resilience and its future success.
