Polish PGNiG requires Gazprom and Gazprom Export to pay interest on a $1.5 billion overpayment for supplies in 2014-2020. This is reported by Interfax-Ukraine.
It is noted that on March 31, 2022, PGNiG SA sent Gazprom a request about violation of arbitration proceedings in connection with its claim for payment of interest on the amount overpaid by PGNiG SA for natural gas supplied between November 2014 and February 2020. PGNiG awaits Gazprom's response to the appeal to arbitration.
Context. The company initiated arbitration proceedings against Gazprom in 2015 demanding a revision of the price of natural gas supplied under the contract since 1996. It provided for the shipment of about 10 billion cubic meters of gas per year, the minimum annual contract amount was 8.7 billion cubic meters per year.
On March 30, 2020, the Stockholm Arbitration Court decided to adjust the price formula under the contract for the supply of gas to Poland via the Yamal-Europe gas pipeline retroactively from November 1, 2014. In 2020, Gazprom paid out $1.606 billion (including interest) awarded by the court. At the same time, the court’s decision to retroactively change the oil-pegged price formula to the exchange index played in favor of Gazprom when, at the end of 2020 and 2021, prices at hubs began to rise to unprecedented levels.