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Ukraine’s Donetsk Republic sets up company to integrate local gas pipelines

June 15, 2015, 13:16 UTC+3 MOSCOW

The Donbasstransgas company will own main gas pipelines and related facilities that belonged to the Ukrainian gas transportation operator Ukrtransgaz

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© Dmitry Rogulin/TASS

MOSCOW, June 15. /TASS/. The government of the self-proclaimed Donetsk People’s Republic (DPR) made a decision on Monday to establish state enterprise Donbasstransgaz to integrate local gas pipelines.

The DPR government will assign all trunk gas pipelines on the republic’s territory and related facilities to the newly established company.

"For the purpose of implementing the republican policy of gas supply to consumers, providing for the reliable and safe operation of trunk gas pipelines for the stable transportation of natural gas and the development of the gas transportation system, the Council of Ministers has resolved to establish Donbasstransgaz state gas transportation enterprise," the Donetsk News Agency quoted the government’s resolution as saying.

Under the DPR government’s resolution, Donbasstransgaz will register on its balance sheet the trunk gas pipelines, related movable and immovable property and other assets and resources that belonged to the Ukrainian gas transportation operator Ukrtransgaz.

The decision was made as part of the DPR government’s resolution "On Transferring the Property of the State of Ukraine to the DPR’s Ownership."

The Donbasstransgaz administration for trunk gas pipeline operation was set up in Soviet Ukraine in May 1959 on the basis of the existing Aksai-Taganrog, Taganrog-Mariupol, Taganrog-Amvrosiyevka and Amvrosiyevka-Donetsk-Makeyevka gas pipelines with five gas distribution stations and the Amvrosiyevka-Slavyansk gas pipeline with stretches to the seven largest cities in the Donetsk Region.

In 1998, the Donbasstransgaz administration was part of the Ukrtransgaz gas transportation system. In March 2015, Ukrtransgaz obliged Donbasstransgaz to transfer the entire workforce on the territory uncontrolled by Kiev to other divisions.

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