Serbia leader calls Gazprom pipeline vital

Gazprom's South Stream pipeline, which will bypass Ukraine to transport Russian natural gas to Europe, is vital for Serbia because it will provide jobs and boost the Balkan country's regional position, the prime minister said today, insisting that traditionally close ties with Russia will not affect his nation's bid to join the European Union.
In an interview with the Associated Press at the formal start of the pipeline construction work in Serbia today, Ivica Dacic said that Russia, which has supported Serbia politically in a dispute with the West over Kosovo, does not object to the country's effort at EU membership. He also suggested that Western powers have in fact pushed Serbia closer to Russia.

"Those (in the West) who criticize Serbia for its closeness to Russia and for our partnership with Russia, should ask themselves why they haven't offered such relations to Serbia?" Dacic said. "I keep telling the West: Serbia needs a strategic partner in the West too ... But, they are not interested at all."
Dacic also dismissed allegations by Serbia's pro-Western opposition parties that the 2008 energy deal, under which Serbia sold 51 per cent of its oil and gas monopoly to Gazprom as part of the South Stream agreement, paved the way for Russian economic and political dominance of the country. He said that critics "are afraid of Russia's presence in this part of the world."

The trans-European pipeline is expected to start operating in December 2015. It is expected to ship up to 63 billion cubic meters of gas annually to Bulgaria, Serbia, Hungary, Slovenia, Austria and Italy in one leg and Croatia, Macedonia, Greece and Turkey in a second.
The pipeline's route bypasses transit nation Ukraine. Pricing disputes between Russian and Ukraine have caused major disruptions in recent years, cutting gas for millions of customers.
Serbia's state television today aired live the pipeline inauguration ceremony, attended by top officials and Gazprom chief Alexey Miller. President Tomislav Nikolic formally gave the go-ahead in a video broadcast from the capital, Belgrade.