Behind the political struggles of the Ukraine : a Big utility Bill

Hide LegendCossacks stand guard at the entrance to the Crimean Parliament from Friday in Simferopol, Ukraine. The Russian Cossacks, some heavily armed, took over the duties at road checkpoints, borders and other major facilities that were previously held by militants, pro-Russian in all of Crimea in recent days. 

Sean Gallup/Getty Images Cossacks stand guard at the entrance to the Crimean Parliament from Friday in Simferopol, Ukraine. The Russian Cossacks, some heavily armed, took over the duties at road checkpoints, borders and other major facilities that were previously held by militants, pro-Russian in all of Crimea in recent days. 

Sean Gallup/Getty Images 

A way of understanding the situation between the Ukraine and Russia now : Watch a regular Ukrainian gas bill. 

Valentina Olachenka, for example, pays $19 per month for gas heat his home and run his stove. The average American that uses natural gas, on the other hand, spent more than $100 per month. 

Gas is cheap for the Ukrainians, because the Government pays more than the Bill - 87 cents of each dollar, according to the IMF. 

The grant is used to be relatively affordable for the Government, at the time where the Russia gave to the Ukraine a very good deal on its gas. At the time, the Russia got a cheap access to Ukranian pipelines. 

But as the Governments of both countries have changed, relationships are strained. About eight years, the Russia has increased the price it support Ukraine for gas. And rather than pass this cost on his people, the Ukraine Government has chosen to pay the difference. That created a big hole in the budget of the Ukraine.  

Ukraine now spends 7. 5% of its gross domestic product on the grant of gas, according to a recent estimate of the IMF. Background : in the United States, defence spending more reductions in discretionary spending adds up to 7. 5% of GDP 

This brings us to the eve of the crisis, when then-President Viktor Yanukovych tried to alleviate the financial difficulties of the Ukraine by cutting a deal with Russia for around 15 billion $ and a break on gas imports. This agreement does not cross and precipitated the ousting of the President. 

In the current conflict, the Russia threatened to cut off the supply of gas to the Ukraine and said Ukraine needs billions in unpaid gas bills. 

If the Ukraine gets ally in the European Union and to take orders on the part of the IMF, many changes will come to its economy. Subsidies must end. And gas for people like Valentina Olachenka bills will increase.