Modernization of the Ukrainian gas transportation system will cost 4.5 billion euro, Prime Minister of Ukraine Mykola Azarov told German newspaper "Frankfurter Allgemeine Zeitung," the press service of the Cabinet reported.

"The Ukrainian gas transportation system needs major upgrading. That is why the government of Ukraine proposes to transfer control of the GTS to the international consortium consisting of Ukraine, Russia and the EU to ensure its transparent and fair administration and conduct its modernization, which will cost 4.5 billion euro," he said.

Azarov reminded that extreme cold in the beginning of 2012 showed that neither "North Stream" nor "South Stream" can have reliable gas storages and reserves which could be activated during cold temperatures. He stressed that Ukraine has such storages.

The Prime Minister added that the so-called gas conflicts between Ukraine and Russia in recent years have demonstrated that two countries need to establish a gas transportation consortium.


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