Official website of the President of Russia

Moscow

May 29, 2002

Taking note of the report presented by the two sole interlocutors on the progress in Russia-EU energy dialogue we note with satisfaction that it has preserved its dynamism and its pragmatic approach. Work is progressing on the agreed areas of the energy dialogue, including preparations for establishing the EU-Russian Energy Technology Center in either Moscow or St.Petersburg, continual examination of long-term EU and Russian energy policies and relevant energy standards, evaluation of pilot energy saving projects in the Archangelsk and Astrakhan Oblasts, which could then serve as a basis for other regional projects, in particular in the Kaliningrad Oblast, and the facilitating of investment projects in Russian energy sector would help to progress the achievement of the strategic goal of an energy partnership — enhancing the energy security of the European continent.

We recognise that the EU energy market is now becoming the world's largest and most integrated, and that Russia deserves to gain access to it. We note the importance of enhancing trade in primary energy between the EU and Russia, and therefore will jointly examine those areas which should strengthen our energy relations.

We underline the importance of long-term contracts for natural gas, in particular to guarantee the financing of identified ”projects of common interest“. The limited question of destination clauses is moving towards a mutually acceptable agreed solution. Technical assistance to ensure the swift joint examination of the projects of ”common interest“ will facilitate their realisation by bringing together all interested parties.

With respect to electricity, recognising that, for certain issues to be resolved, a timetable needs to be established, namely reciprocity in market access and environmental and nuclear standards, the first steps toward the facilitation of trade through a sound legal base have been taken and a dialogue has been initiated. A sound legal base is necessary so that market operators can achieve a technically possible interconnection which, whilst bringing gains in trade to both sides, retains the high level of system reliability demanded by European consumers.

The existing situation with respect to the import of nuclear materials to the EU member-states is a matter of concern for the Russian side. We agreed in accordance with Article 22 of the PCA and in the context of EU enlargement, to reach a mutually acceptable solution.