Author: By Christina Tashkevich

The Georgian president Mikheil Saakashvili said Thursday the Shah Deniz gas field will be the main gas supplier of Georgia, however adds the country should still ensure other sources of supply.

"I am optimistic about the results of the talks here, but here are many technical issues. But the most important thing we should understand is that Georgia should never again depend on a single supplier. We should do everything to avoid dependence on a single supplier, " the president told journalists on Thursday in Turkey.

The price of the gas Turkey can offer Georgia from the Shah-Deniz field is still unknown. The Georgian president said Thursday that the Georgian government is working to find the best possible options.

"The price on gas on the world market is increasing. Our goal is to make the price increase less painful for our families, because I know very well how much each family in Georgia suffers. The government has been instructed over this issue as well to find the best options in order to make the transition less painful," he said.

Gazprom has sent a letter to the Georgian authorities this week proposing Georgia decide as soon as possible the amount of gas Georgia needs in order to sign the appropriate contracts. The Russian energy giant has set the gas price for Georgia at USD 235 for 1000 cubic metres.

"Only a few days are left before the New Year, we have no contracts, and we need to determine the balance of gas starting from January 1," Gazprom spokesman Sergey Kupriyanov told journalists.

However, Minister of Economic Development Giorgi Arveladze responded Thursday saying the Georgian government doesn't intend to pay the "political price" for gas imports from Russia.

Energy Minister Nika Gilauri declined to comment on the proposal of the Russian side. "The talks with Gazprom are held only by private companies, it is a matter of their concern. We shall see what the results will be," Gilauri said.

Earlier in the week the board of directors of Gazprom ratified the gas pricing policy for the former Soviet countries.

"At present, Gazprom is implementing are phasing in a policy to raise gas prices for the CIS countries up to an equal level with the gas prices for European customers. The move will ensure equal returns on natural gas exports from Russia. This strategy has led to a considerable (two/three fold) increase in the value of gas for all of the former Soviet Union consumers (except Belarus) in 2005," the company's press service says.