Germany's second-biggest power supplier said on Tuesday it will start gas deliveries to Ukraine as Russia threatens to cut off the country's supplies. RWE -- via its trading subsidiary RWE Supply & Trading -- is the first European supplier to commence gas deliveries to the Ukraine in 2014," the German group said in a statement. The deliveries are part of an existing five-year framework agreement -- signed in May 2012 -- that allows RWE to ship up 10 billion cubic meters of natural gas a year to Ukraine, but the gas supplies must be agreed on annually. Last year, RWE supplied about one billion cubic meters of gas to Ukraine. Earlier this month Russian Gazprom announced that they will raise the gas prices to Ukraine with more than a third. But Director of Gazprom told Reuters on Tuesday that they will continue to be a reliable supplier to Europe. Russia supplies 32 percent of the EU`s oil imports and about 30 percent of gas imports. The deliveries from Germany, to be transported to Ukraine via Poland, thus go the opposite way than what the gas stream usually does.