Fuel war with Ukraine

President of Ukraine Viktor Yanukovych demands to probe into oil business of Belarusian oligarchs in Ukraine.

In March 2013, Ukrainian Prime Minister Mykola Azarov, deputy PM Yuriy Boyko, the Ministry of Energy and Coal Mining and the Ministry of Economic Development were instructed to launch an anti-subsidiary probe into oil products import that causes damage to domestic producers, Interfax news agency reports.

The appropriate task was included in the National Action Plan for 2013 to introduce the economic reforms programme titled “Prosperous Society, Competitive Economy, and Effective State” approved by Ukrainian President Viktor Yanukovych's decree No. 128/2013 of March 12, 2013, Interfax news agency reports.

“The indicator of implementation [of the task – Interfax] is carrying out an anti-subsidiary investigation over causing damage to domestic motor fuel producers and taking a necessary decision on the results of the investigation,” the document reads.

The action plan notes that introducing these measures will give economic impetus to modernisation of Ukrainian oil refineries.

It should be reminded that in the middle of March, the Ministry of Economic Development of Ukraine registered an appeal from four Ukrainian oil refineries asking to launch an anti-subsidiary probe into oil products import from Belarus.

The appeal was filed on behalf of the Kremenchug oil refinery (Ukrtatnafta, Poltava region) and was supported by the Nadvirna and Drohobych refineries (controlled by Privat group) and the Shebelinsky Gas Processing Plant  (owned by Ukrgasvydobuvannya company).

The Interdepartmental Commission on International Trade may start an anti-subsidiary probe into import of oil products from Belarus. The process may take about a year.

As a result, some duties worth $180.84 per tonne may be imposed on Belarusian oil products for five years.

Triple and Univest-M groups of companies owned by Belarusian oligarchs Yuri Chizh and Anatoly Ternovski export oil products to Ukraine.