President Putin about G8 summit. The most notable quotes.

Posted in Other | 08-Jul-06

"The nuclear energy alternative must be accessible to other countries too."
"The nuclear energy alternative must be accessible to other countries too."
I must say at once that the G8 presidency in 2006 represents one of Russia's foreign policy priorities.

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It is clear that the situation in the world energy sector is a real challenge for us all, a challenge that we must respond to.

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In practice the well-being of millions of people directly depends on it, on energy security. We consider that the G8 will be able to develop a coordinated strategy in this sphere, a strategy that allows us to ensure that the world's population and global economy have access to energy resources at affordable prices and with minimal damage to the environment.

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Forming a favourable investment climate and stable transparent rules in the global energy sector has a serious role to play in energy security. In Russia we are already working on such rules and are ready to discuss them with our partners.

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Another fundamental direction is developing a constructive dialogue between basic producers and consumers of energy resources. In our opinion, that dialogue must be supported by developing coordinated collective measures aimed at stabilizing markets, especially in crisis situations. Therefore when we speak about collective measures we must not forget that market mechanisms play the key role. And the task of the G8 and other international forums is to create the conditions for them to be able to work in an uninterrupted way.

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Above all, these tasks are to guarantee supplies of traditional energy sources for the world economy on conditions that are acceptable for both producer and consumer countries, and to combat energy poverty.

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To achieve this we must develop the corresponding instruments, in particular, long-term contracts between producers and consumers. First, this practice adequately takes into account the specific nature of investment in energy projects and the lengthy time frame before projects start to pay themselves off. Second, this practice puts in place the conditions for coordinating efforts to explore and develop new deposits, introduce new technology and means of delivering energy supplies to the consumers, and gives the consumers the confidence that they will receive the necessary quantity at the required time.

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I think that mutually beneficial exchanges of assets between energy companies could play an important part in distributing the risks more evenly. This is one of the instruments that can help us ensure sustained optimisation of global energy supplies. We are already taking the first steps in this direction and are working in this area with our German partners. We are open to similar projects with energy companies from other countries.

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It is important to achieve compatibility of the standards of work for foreign companies on the markets of countries linked by energy flows in order to improve the investment climate. We need to ensure equal access to information on consumers and energy consumption and on plans and forecasts in this area. Open and predictable supply of energy resources should be matched by open and predictable energy resource demand. This formula creates a responsible interdependence that is in everyone’s interests.

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The nuclear energy alternative must be accessible to other countries too, and this includes, of course, the developing countries.

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We believe that our initiative to create a network of international uranium enrichment centres has good prospects ahead. Realising this initiative would not only help us to make progress in addressing the problem of energy poverty, but would also strengthen the nuclear technology non-proliferation regime, which we see as being of immense importance for international security. But in this respect it is just as important to also establish a system that would provide equal and non-discriminatory access to nuclear technology.

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Ensuring that developing countries have reliable and affordable access to energy services should be an important part of our work together. The G8 is constantly addressing the problems of the developing countries and in this respect we must also address development problems regarding energy security and energy policy.

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And finally, Russia supports improving the quality of protection for the major components of the world’s energy infrastructure. This implies protecting them both from technical threats and the threat of international terrorism.

Speech at Meeting with the G8 Energy Ministers
March 16, 2006,
The Kremlin, Moscow

On Russian energy export to Europe and situation with Ukraine

Russia has been delivering energy to Europe for 40 years. There was never a day or any hour that witnessed a failure. And at the beginning of this year Russia provided full, and I want to stress it, the full amount of deliveries to our western European partners and European consumers. To understand why Ukraine, a transit country, illegally siphoned off a significant part of European resources you must not ask us you must ask Ukraine. And let’s not complicate things unnecessarily. Let’s talk directly and honestly about this problem.

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Our western friends supported the ‘orange events’ in Ukraine in a very active way. We see perfectly well what is happening there the whole time. The country has been faced with a great deal of problems. But if you want to support what happens there in the future, then you will have to pay for it. Why should we pay for that?

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Everyone is well aware that over the last 15 years Russia subsidized the Ukrainian economy by a sum that amounted to three to five billion USD each year. I want to emphasize that we did this every year. And each year we raised the issue of whether we should change to the European regime for determining prices.

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Let’s work out uniform rules together. You, for example, represent a German news agency. Why should German consumers pay 250 USD for a 1000 cubic metres and Ukrainians 50? If you want to give Ukraine such a gift why don’t you pay for it? Why do you want us to give such presents? Take these three to five billion USD, take them from the pockets of German taxpayers, and explain to them why you are doing so. We have nothing against this. Pay up.

Meeting with the Leaders of the News Agencies of G8 Member Countries – July 02, 2006

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