Russia warns Armenia: Choose EU and lose favourable energy terms

Russia has warned Armenia that it may suspend or terminate a bilateral agreement governing natural gas, petroleum products, and uncut diamonds if Armenia continues to deepen ties with the European Union. The 2013 agreement outlines terms under which Russia indefinitely eliminated export duties on shipments of petroleum products, natural gas, and diamonds to Armenia.

On Monday (25 May), Russian Energy Minister Sergei Tsivilev issued a threat to Armenia’s Ministry of Territorial Administration and Infrastructure, the Russian business daily Kommersant reported, citing a copy of the letter it reviewed.

"The Russian Embassy has officially forwarded a letter...stating that if the process of accession to the EU continues, the Russian side will suspend or unilaterally terminate the Agreement on Cooperation in the Supply of Natural Gas, Petroleum Products and Rough Diamonds," Maria Zakharova, Russian Foreign Ministry spokeswoman, told the RIA news agency.

If the agreement is eliminated, Armenia would face supply chain challenges, according to analysts, as the country is heavily dependent on Russian commodities. Russia supplies 85% of Armenia’s gas, at least 62% of its petroleum products, and 50% of its imported diamonds.

Moscow is attempting to influence Yerevan ahead of the 7 June parliamentary elections. In addition to social media campaigns against Prime Minister Nikol Pashinyan, Russia has imposed trade restrictions against Armenia. 

Ties with Moscow have frayed in recent years as Yerevan has sought to deepen its ties to Brussels and Washington. Moscow earlier this month accused Armenia of being drawn into what it described as the EU's "anti‑Russian orbit".

Source: commonspace.eu with Reuters and Meduza

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