2004 Russia–Belarus energy dispute

Close relations between the two countries and willingness for political integration had made it possible for Belarus to purchase gas from Russia at heavily discounted prices.

In the late 1990s, Russian foreign policy shifted away from geopolitics and became more pragmatic and economical, especially after the inauguration of President Vladimir Putin.

Belarus is an important transit route of Russian gas to Europe, with around 20–25% of Gazprom's European exports passing through Belarusian territory.

The Belarusian leadership chose to build close relations with Russia, with the ultimate aim of formal unification.

This development accelerated during Vladimir Putin's presidency, when Russian foreign policy became more pragmatic and economised.

[1] In an intergovernmental agreement signed in April 2002, Belarus promised to sell 50% of Beltransgaz, the company owning the Belarusian transit network, to Gazprom.

Since Belarus was dependent on gas for most of its heat and electricity production, the situation in the country during cold winter started to become critical.

After deliveries stopped, Belarus started to siphon gas meant for transit to Europe from the Yamal-Europe pipeline, without Gazprom's approval.

Germany experienced only minor shortfalls in deliveries because of extensive storages of gas and due to most of imports coming through Ukraine; however, Poland reported more severe disruption.

Belarus managed to sign a new short-term contract with TransNafta at the price of $46.68 per 1,000 cubic meters, which resulted in Gazprom resuming supplies before midnight of 19 February.