January 02, 2025 [Reuters]- Slovakia will not risk a gas shortage if Ukraine stops the transit of Russian supplies via its territory, but it will have to pay an extra 177 million euros ($183.96 million) in fees for alternative routes, the country’s Economy Ministry said.

The expected expiry of a transit deal between Ukraine and Russia at midnight on Tuesday will also end flows to Slovakia, which has a long-term contract with Russia’s Gazprom, but the Slovak Economy Ministry said the country had enough gas storage and alternative supplies for 2025.

Slovakia has sought to retain gas flows through Ukraine, while Kyiv has refused to extend the transit deal with Moscow because of the ongoing Ukraine war.

Slovak Prime Minister Robert Fico and other government officials have called Kyiv’s stance irrational. The government has also told the European Union it will face a high cost due to rising energy prices.

Slovakia’s Economy Minister Denisa Sakova said on Tuesday Kyiv was taking a “unilateral step that will also harm Slovakia” but that the country was prepared.

“Currently there is no threat of a shortage of gas,” she said in a statement.

The ministry said state-owned gas firm SPP had gas supply contracts with large international suppliers BP, ExxonMobil, Shell, Eni and RWE. Gas supplier ZSE also had liquefied natural gas (LNG) contracts, the ministry added.

Slovakia has pipelines with each of its neighbours, and SPP has said supplies from German pipelines that head through the Czech Republic were preferred if flows from Ukraine stopped.

German lawmakers this month agreed to exempt countries transiting gas from a domestic gas levy from Jan. 1. The costly levy had caused traders to seek out cheaper supplies from the east in recent months.

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