Economic

The Republic of Moldova could resume natural gas purchases directly from Gazprom. Minister Victor Parlicov announces under what conditions

The Republic of Moldova could resume direct purchases of natural gas from Gazprom, if the Russian concern offers an advantageous price. This was announced by the Minister of Energy, Victor Parlicov, during a show on TV8.

"I was criticized because we go back to Gazprom. We are not going back to Gazprom supplies, but we can buy from Gazprom, if it will be a better price than what we can get on the market, from another supplier. There is no purpose to return to Gazprom or not or to procure from Gazprom or not. It is simply a matter of saving. I'm trying to reduce the level of politics and questions regarding gas deliveries".

The minister said that Chisinau has already sent a request to Gazprom regarding possible natural gas delivery routes for the Transnistrian region, starting from January 2025, when the current agreement between Ukraine and Gazprom expires. So far, no official response has been received. Parlicov assured that the authorities of the Republic of Moldova do not intend to obstruct deliveries to the left bank of the Nistru, but are prepared for "any scenario".

"We do our part of our work. We are trying to get this clarity from Gazprom as soon as possible, what we do if the traditional route does not work, what are the conditions of delivery on an alternative route. (…) There is quite a lot of gas in the region. The problem is not buying gas. The problem is that Gazprom has so far agreed to deliver this gas for free to the Transnistrian region. If Gazprom decides to stop doing it, there will be gas, but there, in the Transnistrian region, will someone be able to pay for it?".

Parlicov also pointed out that, if Ukraine does not renew the transit contract on its territory, gas transport could be redirected to alternative routes, such as the one through Turkey. Asked how much consumers in the Transnistrian region could end up paying if they resorted to this route, Parlicov replied: "I am afraid to think about it. Probably, the same price as on the right bank".

We remind you that, despite the war, Russian gas continues to transit through Ukraine to Europe under the current five-year contract signed at the end of 2019. Ukraine has already announced that it will not start talks with Russia to extend this agreement, which expires at the end of 2024. For its part, the European Union said that it does not see why the extension of the agreement would be needed.

However, the Russian gas transiting through Ukraine also reaches the Republic of Moldova. More precisely - in the Transnistrian region. Though our country does not depend on Russian gas, the right bank depends almost entirely on the electricity produced on the left side of the Nistru. Currently, Chisinau provides almost 90 percent of its electricity needs from the Cuciurgan Power Plant. The purchase contract, extended in the fall of 2023, will expire at the end of 2024. The cost of energy procured from the Transnistrian region is currently $66 per MWh.

Ecaterina Arvintii

Ecaterina Arvintii

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