Kazakhstan not signing gas supply contract with Kyrgyzstan because of debts

Kazakhstan is not signing gas supply contract with Kyrgyzstan because of the gas debts of Kyrgyzstan, Tengrinews.kz reports citing the press-service of KyrgyzGas. The company’s debts to the suppliers - UzTransGas (Uzbekistan) and KazTransGas (Kazakhstan) - have reached $4.9 million. Kyrgyzstan owes $715 thousand to UzTransGas and $4.1 million to KazTransGas. As of January 1, 2013, the debt to Kazakhstan made $1.2 million, while the prepayment was made to Uzbekistan before year 2013. This huge debt of almost $5 million was accumulated in the 20 days of January. The main debtors of KyrgyzGas include the country’s state companies: Bishkek TeploKommunEnergo, KyrgyzZhilKommunSoyuz, Kant Cement and Asbestos Sheeting Plant, Electrical Stations. Management of these companies says that the debt appeared because of financial difficulties of the country’s budget. Meanwhile, Uzbekistan has already sent a notification to Kyrgyzstan stating that the gas supplies will be limited if the debt is not covered within three days. Earlier Kyrgyz party agreed with Kazakhstan on gas supplies in the first quarter of 2013 at $244 for 1,000 cubic meters.