Uzbekistan: Tashkent Orders Tajikistan and Kyrgyzstan to Pay Gas Debts

Uzbekistan is threatening to cut off all gas exports to Tajikistan if outstanding debts are not settled by June 15. Tajiktransgaz owes Uztransgaz $18 million, reports say.

According to the Avetsa news agency, the Tajik company received a telegram on June 10 demanding full and immediate repayment of the debt. Tajiktransgaz complains that its domestic consumers have amassed outstanding bills of $21.7 million, causing a cash-flow crisis that is preventing the Tajik company from honoring Tashkent's demand.

Uzbekistan almost doubled the cost of gas from $154 per thousand cubic meters to $240 at the beginning of 2009.

Earlier, Uztransgaz reduced the flow of gas to the Kyrgyz city of Osh because of unpaid debts totaling $19 million. On June 8, the AKIpress news agency reported that a deal was reached to pay off the debt in monthly installments of $5 million. But until the first installment is received next week, Osh is getting 20 percent less gas than normal.