Russia will reduce its gas export that was pumped through pipelines stretching over Ukraine to Western Europe countries, Prime Minister Vladimir Putin said in Moscow on Monday amid gas disputes with the neighbor.

Russian gas monopoly Gazprom's Chief Executive Officer Alexei Miller raised the proposal to cut 65.3 million cubic meters of gas export that was allegedly stolen by Ukraine during a meeting with Putin who nodded, Itar-Tass and Interfax reported.

Miller also suggested the gas supplies be reduced each day by an amount that may be diverted that day, pledging to compensate its clients by increasing gas pumped to the West Europe via Belarus, Poland and Turkey or buying gas in the market.

"Okay, I agree. Start such reductions today and inform our European partners as well as the European Commission about the situation," Putin was quoted as saying.

Russia and Ukraine failed to reach compromise over a new price and gas transit fees for a 2009 contract.

The talks were hampered by strained ties between Moscow and Kiev thanks to the latter's bid for NATO membership and its support for Georgia during the Caucasus state's five-day war with Russia in August.

Gazprom accused Ukraine of "stealing" gas in transit last Friday, one day after it cut off gas export to Ukraine. Ukrainian officials denied the accusation, saying that Russia is not delivering the due quantities to European clients.

Around a quarter of the gas used in the European Union -- more than 40 percent of the bloc's imports -- comes from Russia, and Ukraine sits on the main transit route for gas exports, accounting for 80 percent of the continent's gas supply from Russia.

A dispute over gas prices between Kiev and Moscow in 2006 sent jitters among European customers after Gazprom cut all gas supplies to Ukraine.

(Xinhua News Agency January 6, 2009)