Ukraine Halts Russian Gas Transit to Europe, Ending Longstanding Pipeline Deal

The closure marks a significant shift in Europe's energy landscape as countries seek alternatives to Russian gas.

Ukraine has ended its decades-old gas transit agreement with Russia, halting the flow of Russian gas to Europe via its territory as of January 1, 2025.
The pipeline closure impacts Hungary, Slovakia, and Austria, which have relied on Russian gas, though alternative supply routes are in place for most European nations.
Natural gas prices in Europe have risen to €50 per megawatt-hour, the highest since April 2023, but remain far below the spikes seen in 2022 following Russia's invasion of Ukraine.
The UK is unlikely to see immediate effects on energy prices due to its diversified gas sources, though analysts suggest potential price increases later in the year.
European leaders emphasize the importance of reducing reliance on Russian energy, with the EU aiming to phase out Russian gas entirely by 2027.