Gazprom to control Serbia’s oil

Serbia is being offered a secure gas supply in return for its oil monopoly

Russia and Serbia have signed a controversial energy deal that will hand Russian gas giant Gazprom control of NIS, Serbia’s oil monopoly.

Under the deal, Gazprom is to build a gas pipeline through Serbia and an underground gas storage facility there.

Russia’s President Dmitry Medvedev and his Serbian counterpart Boris Tadic signed the agreement in Moscow.

The plan is for Serbia to host part of a new pipeline called South Stream, to deliver Russian gas to southern Europe.

Gazprom is taking a 51% stake in NIS for 400m euros (£380m; $560m), officials say.

Diplomatic tensions

Both countries signed an energy co-operation agreement in January, but the details have only just been finalised. Belgrade had delayed signing because a small party in Serbia’s ruling coalition had argued that the terms on offer to Gazprom were too generous.

Critics say Russia’s pledges to build South Stream by 2015 are not firm enough, given the current economic downturn.

South Stream is designed to take Russian gas under the Black Sea to Bulgaria and then to Serbia for transit towards the lucrative markets of southern Europe.

Washington and the European Union are backing a rival pipeline project called Nabucco, to bring gas from Central Asia, which would bypass Russia.

Correspondents say the planned pipeline could undermine the European efforts, which aim to reduce European dependency on Russian gas.

Serbia’s energy diplomacy is complicated by the fact that Nabucco has EU backing – yet Serbia wants to join the EU.

Political tensions over Kosovo are also a complicating factor, with the EU supporting Kosovo’s independence, while Belgrade and Moscow insist the territory remains part of Serbia.

Serbian MPs endorse key EU deal

Serbian President Boris Tadic is pushing for EU membership

Serbia’s parliament has ratified a key EU document, in a major step on the path to joining the bloc.

The Stabilization and Association Agreement (SAA) was backed by 139 deputies, with 26 voting against.

However, it still has to be backed by all 27 EU countries, some of whom are still not fully satisfied with Serbia’s co-operation on war crimes issues.

The EU has been a divisive issue in Serbia, partly causing the collapse of the last government.

In subsequent elections, however, pro-EU parties were voted in with a substantial majority.

The issue has also caused a split in the opposition Serbian Radical Party (SRS), leading to the resignation of its leader Tomislav Nikolic.

Last week, in a historic U-turn, he committed the nationalist party to backing the SAA.

But that provoked a backlash by many members, forcing him to step down and form his own breakaway faction, while hardliner Dragan Todorovic took charge of the main SRS parliamentary group.

Radovan Karadzic extradited to The Hague

BELGRADE, Serbia – Authorities extradited ex-Bosnian Serb leader Radovan Karadzic to the Netherlands to face genocide charges before the U.N. war crimes tribunal on Wednesday, hours after a violence-tinged protest by thousands of his supporters in downtown Belgrade .

U.N. spokesman Liam McDowall confirmed Karadzic was transferred to the U.N. detention center near The Hague, where he will stand trial.

A jet with Serbian government markings landed at the Rotterdam airport Wednesday morning, AP Television News footage showed. The plane with Serbian government markings taxied into a hangar, out of view of reporters and television cameras before anyone disembarked.

Less than an hour later, a helicopter landed behind the high wall of the detention center while another helicopter hovered overhead. Two black minivans drove through the prison gates moments earlier.

The Serbian government said in a statement issued early Wednesday that its justice ministry had issued a decree that allowed his handover to the U.N. court, despite a violence-tinged protest hours before by thousands of his supporters.

Karadzic is accused by the tribunal of masterminding the 1995 slaughter of 8,000 Muslim men and boys in the Bosnian city of Srebrenica, Europe’s worst massacre since World War II. He is also charged with spearheading the three-year siege of Sarajevo that left 10,000 people dead.

Karadzic spent nearly 13 years on the run before being arrested last week in Belgrade, where he lived under the assumed identity of a health guru — sporting a long white beard and hair, and large glasses.

He is expected to be summoned before a judge within a day or two and will be asked to plea to each of the 11 charges he faces, including genocide and conspiracy to commit genocide. He may postpone his plea for up to 30 days.

Karadzic’s lawyer, Svetozar Vujacic, said his client will not enter a plea but will instead ask for the full 30-day period.

Vujacic also acknowledged Wednesday that he has never filed an appeal against Karadzic’s extradition. Vujacic had claimed he sent the appeal by registered mail from Bosnia before a midnight Friday deadline.

The days-long uncertainty over the appeal helped stall Karadzic’s handover, Vujacic said.

Despite the war crimes allegations, Karadjic is still revered by many as a wartime hero for helping to create the Bosnian Serb mini-state.

Hours earlier, a demonstration against Karadzic’s extradition turned violent on its fringes as stone-throwing extremists clashed with police, who responded with tear gas and rubber bullets.

While most of the 15,000 demonstrators sang nationalist songs and waved posters of their “Serb Hero,” a few hundred hard-liners broke away from the gathering and threw rocks and burning flares at police in downtown Belgrade.

Later, police fired tear gas at large groups of protesters while pushing them from the square after the rally. Police blocked off several neighborhoods, stopping traffic and the passage of the demonstrators.

Belgrade’s emergency clinic reported 46 people injured, including 25 policemen and 21 civilians. Most were lightly injured, doctors said, adding that only one civilian and one policeman were hospitalized.

Streets looked like battlefields, with smashed shop windows and overturned garbage cans. Ambulance sirens blared through downtown. Police Chief Milorad Veljovic said the area was “under control” by midnight.

Riot police had taken up positions across the capital and heavily armed anti-terrorist troops guarded the U.S. Embassy as busloads of ultranationalists arrived from all over Serbia and Bosnia for the anti-government rally dubbed “Freedom for Serbia.”

Many protesters carried banners and wore badges with Karadzic’s name and picture. Some chanted slogans against President Boris Tadic and called for his death.

“Thank you for showing that Serbia is not dead, although it is being killed by Boris Tadic,” said Aleksandar Vucic, leader of the Serbian Radical Party, which organized the rally. “Thieves and bandits are ruling Serbia.”

“We will fight for Serbia and Serbia will be free,” he added, setting off thunderous applause and chants of “Uprising! Uprising!”

Still, police estimated the turnout at only 15,000 people — far fewer than expected. The last major nationalist rally, in February after Kosovo’s declaration of independence, drew 150,000 people and led to an attack on the U.S. Embassy amid a violent looting spree.

Tuesday’s protest was seen a test for Tadic’s government, which is much more pro-Western than its predecessor. The president warned the right-wing extremists to remain peaceful.

“Everyone has the right to demonstrate, but they should know that law and order will be respected,” Tadic said.

The U.S. Embassy had predicted that up to 100,000 protesters could show up and advised Americans to avoid downtown Belgrade. The embassy was heavily guarded during the rally by special troops armed with machine guns wearing masks.

After February’s mass rally, the U.S. Embassy was partly burned and protesters went on a looting spree, smashing shops and McDonald’s restaurants. McDonald’s was targeted again Tuesday night, and three people were arrested for smashing windows at one of its hamburger shops, police said.

Serbia’s new, pro-Western government hopes Karadzic’s arrest will strengthen the country’s bid for membership in the European Union. Serbia had been accused of not searching for war crimes fugitives sought by the U.N. tribunal.