The European Union and Ukraine signed a deal paving the way for European financing of oil and gas meters on pipelines across Ukraine's borders, the EU's external relations commissioner said.
Benita Ferrero-Waldner announced the signing of the memorandum of understanding after talks in Brussels with Ukrainian Prime Minister Viktor Yanukovich.
'This is a very concrete cooperation scheme to increase transparency, reliability and safety of supplies to Ukraine, but also transit to the European Union,' she told a news briefing.
The flow of Russian gas through Ukraine to Western Europe was disrupted last January when Moscow cut off supplies to the former Soviet republic in a dispute over pricing. Russia blamed Ukraine for the incident.
Ukraine won the promise of discussions early next year on broader ties with the European Union, that could include a free trade deal, dependent on Ukraine's World Trade Organisation accession.
The talks will include the energy sector.
An EU spokeswoman said the meter project would be financed with grants and loans from the European Investment Bank and the European Bank for Reconstruction and Deve-lopment.

