Moldova could buy Russian gas if conditions are right -officials -October 03, 2023 at 07:18 pm EDT

CHISINAU, Oct 3 (Reuters) – Moldova has not used Russian
gas since late last year, but it is keeping open the option of
buying supply from Gazprom if conditions are right,
the head of the Russian gas giant’s local subsidiary said on
Tuesday.

Since last December, Gazprom’s daily supply of 5.7 million
cubic metres (mcm) has been channelled to the pro-Russian
separatist Transdniestria region, which broke away from Moldova
as the Soviet Union was collapsing in 1990.

Moldova, one of Europe’s poorest countries, has denounced
Russia’s war in neighbouring Ukraine and has been beset by years
of disputes that pre-date the war over payment for Russian gas.

The Russian gas is used by a power station in Transdniestria
that produces 80% of Moldova’s electricity at low rates, so
Moldova is keen to keep the arrangement in place. The rest of
Moldova has been using gas from European suppliers bought
through the state-owned gas and power company Energocom.

Vadim Ceban, head of Gazprom subsidiary Moldovagaz, said
purchases of Russian gas for the bulk of Moldova’s territory are
possible if the right conditions are met.

“Theoretically, we can buy Russian gas, but this is subject
to two key conditions – the price of gas must be lower than that
proposed by Energocom and there must be appropriate volumes as
needed by Moldova,” Ceban told Reuters.

The current contract between Moldovagaz and Gazprom provides
for prices higher than those offered through Energocom by
European suppliers.

“The situation on gas purchases will become clear once the
conditions on supplying gas from Energocom are proposed in the
first quarter of 2024,” Ceban said.

Moldovan Energy Minister Victor Parlicov told a conference
in Bucharest on Monday that Moldova had secured sufficient
quantities of European gas and had no plans to buy gas from
Gazprom for use in areas under the government’s control.

But on Tuesday, he acknowledged that purchases of Russian
gas were possible, subject to strict conditions.

“It’s possible, if Gazprom proposes a favourable price and
if Russia does not impose political conditions,” Parlicov told
the news outlet newsmaker.md.

“I do not rule out Gazprom looking for ways to supply (the
government-controlled part of) Moldova west of the Dniestr River
and at the best prices. And we will have the opportunity to
choose,” Parlicov was cited as saying.

Purchases of Western European gas were made possible last
winter by a financing facility of 300 million euros ($314
million) from the European Bank for Reconstruction and
Development.

Moldova uses 1.1 billion cubic metres (bcm) of gas annually,
while Transdniestria consumes 2.2 bcm.

Transdniestria, long supported financially and politically
by Moscow, has not made payments for Russian gas for some time,
and Gazprom has not sought to collect the arrears.

Transdniestria fought a brief war with newly independent
Moldova in 1992, and 1,500 Russian troops remain there as
peacekeepers as part of a ceasefire negotiated that year.
(Reporting by Alexander Tanas; Editing by Ron Popeski and Tom
Hogue)