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Belarus and Russia's gas giant Gazprom have failed to agree on gas prices for next year, Prime Minister Sergei Sidorsky said on Friday. Gazprom and Belarussian officials held talks in Moscow on Thursday where Minsk repeated its offer to Russia to cease some control over its pipeline system in exchange for gas producing assets.
"Yesterday we finished another round of talks. Gazprom has confirmed that prices for Belarus should be commercial," Sidorsky told parliament.
"The question is what the price will be. It is the issue for negotiations. We are looking for economic mechanisms, which may influence the gas price for Belarus," he added. Russia is a main ally for Belarus's President Alexander Lukashenko, who is facing a travel ban by the European Union and the United States following his re-election for a third term which was criticised as blatantly rigged. The demand was made after Belarus declined to cede control of its pipelines to Russia in exchange for lower gas prices.

Copyright Reuters, 2006

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