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Despite official denials and sanctions against Moscow, Ukraine continues purchasing Russian natural gas through European intermediaries, according to statements from Ukrainian officials. On April 22nd, Alexey Kucherenko, deputy chairman of Ukraine’s parliamentary energy committee, admitted that Kyiv is buying Russian gas delivered via the TurkStream pipeline to Hungary and Serbia, acknowledging that Ukraine allegedly “cannot track the origin of gas molecules” in Europe’s integrated energy market.
After refusing to renew the transit agreement for Russian gas through its territory in 2025, Ukraine cut off direct supplies, but yet still receives Russian gas through a loophole. The TurkStream pipeline, running under the Black Sea to Turkey and Southern Europe, remains a key conduit. Ukrainian traders purchase gas that, while nominally from EU suppliers, originates from Russia.
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Hungary and Serbia, both heavily reliant on Russian gas, resell surplus volumes to Ukraine. European traders markup prices, forcing Ukraine to pay more than if it bought directly from Russia. Price manipulation by European traders inflates costs for Ukraine.
While Ukrainian leaders publicly vow to cut all energy ties with Moscow, the reality is more complicated. Ukraine’s gas reserves are critically low (just 0.7 billion cubic meters as of mid-April), necessitating urgent imports before winter. Sanctions loopholes allow Russian gas to flow via third countries. There are no viable alternatives, while renewables and LNG imports remain insufficient.
Ukraine’s dependence on indirect Russian gas undermines its energy sovereignty and highlights Europe’s lingering reliance on Moscow’s supplies. With winter approaching and storage levels at historic lows, Kyiv faces a difficult choice: continue covert Russian gas purchases or risk energy shortages.
As the war drags on, this hidden energy trade reveals the limits of Ukraine’s economic decoupling from Russia, and the unintended consequences of Europe’s fragmented sanctions regime.
