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    Gazprom takes Poland to court over gas price

Summary

The filing marks the latest turn in a long-standing dispute between the two companies over the gas price in their long-term contract.

by: Joseph Murphy

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Gazprom takes Poland to court over gas price

Russia's Gazprom said on January 14 it had filed an arbitration claim against its Polish gas customer PGNiG, seeking a retroactive increase in the price the latter pays.

The filing marks the latest turn in a long-standing dispute between the two companies over the gas price set under their long-term supply deal, known as the Yamal contract.

Gazprom Export said it had requested the price increase for supplies from November 1, 2017, and repeated its request three years later. It has now resorted to arbitration after failing to reach an agreement.

PGNiG confirmed it had received a summons to appear at the Stockholm court, and said Gazprom's efforts were a response to its own requests for price revisions in 2017 and 2020. 

"The demand for an increase in the contract price included in Gazprom's tender offer is completely unfounded," PGNiG's president Pawel Majewski said in a statement. "We are prepared to prove it before the arbitration tribunal."

PGNiG secured a price cut from Gazprom and a $1.5bn refund for past overpayments in March 2020 after winning a case at the Stockholm arbitration tribunal. Gazprom agreed to adjust the gas price to better reflect European hub prices, but in light of record high spot prices, PGNiG sought a further revision in October last year.