Ukraine has officially halted the transit of Russian gas to Europe through its territory after a five-year transit deal expired on January 1, 2024.
The decision, described as a “historic event” by Ukraine’s energy ministry, highlights Kyiv’s focus on national security and energy independence amid its ongoing conflict with Russia. 
“We have stopped the transit of Russian gas.
This is a historic event,” the ministry stated, adding that its infrastructure had been prepared in advance to handle the transition without any form of disruptions.
The closure ends one of Russia’s oldest gas routes to the European Union, marking another shift in Europe’s energy landscape as Moscow’s war in Ukraine nears its fourth year.
Since Russia’s invasion in February 2022, the European Union has worked aggressively to reduce its dependence on Russian energy supplies.
According to the European Council, Russian pipeline gas imports dropped sharply, falling from over 40% in 2021 to about 8% by 2023.
Meanwhile, alternative energy routes and sources, including liquefied natural gas (LNG) and renewable energy, have been secured to meet demand in countries like Slovakia and Austria.
Russia’s state-owned gas giant Gazprom, which signed the transit deal with Ukraine’s Naftogaz in 2019, reported a $6.9 billion loss in 2023—its first in more than 20 years.
The decline in gas sales has been attributed to dwindling exports to Europe and mounting global competition.
While Ukraine faces an $800 million annual loss in transit fees, Gazprom stands to lose as much as $5 billion in potential revenue, raising concerns about Russia’s economic stability.
However, with only the TurkStream pipeline through Turkey remaining operational, the future of Russia’s energy exports to Europe appears increasingly uncertain.
Experts predict that Russia may now shift focus toward Asia, particularly China, to sustain its gas exports while Europe continues to diversify its energy mix.
