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Fuel Crisis Risks for Ukraine Worsen, Expert Warns

Expert Serhiy Kuyun says global fuel reserves are near depleted and Poland has cut August fuel supplies to Ukraine by 20-30%.

Fuel Crisis Risks for Ukraine Worsen, Expert Warns

The global fuel situation is now worse than it was in spring, according to Serhiy Kuyun, director of the A-95 consulting group, speaking on the podcast "What's Happening with the Economy?"

Kuyun said that in spring, fuel reserves were high and consumption was low, but now demand is extremely high while reserves are minimal, having been used up in the spring. He said there is no end in sight to the situation.

Risks for Ukraine

Kuyun said Ukraine faces certain risks tied to the crisis. He recalled that in early March, when prices spiked, Poland immediately halted fuel exports, not only to Ukraine but generally, and that Romania and Moldova also closed their exports. He said Ukraine had always believed it had a diversified supply system, but that everyone ultimately looks out for themselves first.

Kuyun also addressed rumors that Poland plans to reduce fuel supply volumes to Ukraine, confirming that Poland has in fact cut its planned August supply volumes by roughly 20 to 30 percent.

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