Russia 111130 Basic Political Developments

Moscow slams NATO power games in Kosovo

Russia is concerned with the exacerbation of the situation in northern Kosovo, where NATO forces are pursuing their power politics targeted against Serbs, Russian envoy to the UN Vitaly Churkin is convinced.

Violence could have been prevented, the diplomat said during a Security Council meeting devoted to the Kosovo settlement, if “KFOR focused on providing security of the region’s residents, as stipulated in their mandate, rather than on eliminating Serbian barricades, which are a response to Pristina’s attempts to take under control the administrative border with Serbia.”

The Russian diplomat also said that Moscow has supported Serbian government’s appeal to the UN secretary-general to thoroughly investigate an incident on September 27, when KFOR resorted to force, leading to a number of civilian casualties. Russia also insists on full and objective probe into cases of human organ trafficking revealed by member of the Parliamentary Assembly of the Council of Europe Dick Marty.

The process of the return to Kosovo of displaced people, most of whom are Serbs, is unsatisfactory, Vitaly Churkin went on to say. And one of the main reasons for this is that those people are not confident of their security. In addition, “incidents of looting and theft of Kosovo Serbs’ property remain unpunished.”

He also demanded that all necessary measures be taken for the defense of Orthodox shrines and believers.

On November 29, at least two Kosovan Serbs and two NATO peacekeepers were injured in a fresh wave of violence near the town of Zubin Potok in the north of Kosovo. Serbs were protesting NATO’s attempts to remove a barricade made of buses and trucks that was blocking a main road in the region. NATO responded by firing rubber bullets, tear gas and water cannons at the demonstrators. Churkin called the incident “outrageous.”

http://www.bne.eu/dispatch_text18068

bne
November 30, 2011

Russia to sign agreeement on gas pipeline to South Korea transiting North Korea spring 2012.

According to business daily Kommersant, the signing of an agreement on a 700km gas pipeline transiting North Korea to supply natural gas from Russia to South Korea is slated for spring 2012. No gas will be supplied to North Korea under the agreement.

Russian Ministry of Foreign Affairs envoy Aleksandr Timonin, representing Russia at the trilateral talks, told Kommersant that working groups would meet before the end of this year, the agreement would be signed in spring 2012, and the gas would start flowing by 2017, with 10-12bn cubic meters delivered annually.

According to Timonin, the three sides have clarified the last remaining major issues: North Korea will not receive gas from the pipeline, which will be built by Gazprom but on the territory of North Korea using North Korean labour. North Korea has no demand for natural gas, according to Kommersant sources. Gazprom will hold a long-term lease for the land under the gas pipeline, the same format as used in Europe.

But according to analysts, one key issue is not yet clear: will South Korea pay for gas at the Russian-Korean border or at the Korean-Korean border. In the latter case, Russia would bear the risk of transit stoppage a la Ukraine.

According to the Korean side, natural gas piped from Russia will be cheaper than liquefied natural gas (LNG). The cost of the pipeline construction is put at 7 bn euros, the same cost as the Baltic seabed pipeline Nordstream.

Experts note that the payment of transit fees to the breadbasket economy of North Korea will give Russia important leverage over the strategically important rogue state, and a thus a Russian bargaining chip in dealings with Western and Asian partners.

Russian presidential envoy to the Far Eastern Federal District Victor Ishayev said on November 17 that North Korea could earn around $100m in transit fees annually from the pileline. "For a country that produces overall barely $10bn worth of gross product per year, that is a lot of money,” Ishaev said,

‘Implementing the project could potentially help Gazprom to diversify its natural gas exports,’ write VTB Capital analysts. “However, in addition to capex surging, the issue contains significant political risks for the company, despite the guarantees provided by the North Korean government.”

In an interview with Kommersant, Timonin said the project could contribute to stabilization of relations between North and South Korea. He added that Russia is pursing the idea of constructing a Transkorean railway link and also supplying electric power to South Korea via North Korea.

Газета "Коммерсантъ", №224 (4765), 30.11.2011

http://www.kommersant.ru/doc/1826896?isSearch=True

"The guarantee will be Pyongyang and Seoul’s interest in the success of the project"

On the implementation of trilateral projects of Russia, DPRK and South Korea, the Russian Foreign Ministry Ambassador at Large Alexander Timonin, who oversees this area, told the correspondent of the "b" Alexander told GABUEV.

November 30, 2011 11:44