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Moldova's government has its back to the wall

2021-10-29T05:56:26.575Z


Things are getting really tight for the Republic of Moldova. In the negotiations with the Russian gas company Gazprom, no agreement is in sight - and alternatives are hardly foreseeable.


Enlarge image

Gazprom stand at the Neftegaz industrial fair: open bills

Photo: Sergei Ilnitsky / dpa / EPA

In the gas dispute with Russia, the impoverished Republic of Moldova warns against taking advantage of its difficult situation.

"This abnormal situation on the gas market should not be used to wrest obligations in the face of a lack of alternatives," said Moldova's Prime Minister Natalia Gavrilita on Thursday evening after a meeting with EU representatives in Brussels.

The ex-Soviet republic, which recently declared a state of emergency in view of the severe energy crisis, has so far not been able to agree on terms for a new supply contract with the Russian gas giant Gazprom.

It is feared that people in the crisis-ridden country, which is dependent on Russian gas, could sit in the cold in winter.

Cessation of deliveries in December?

Moldova is striving for a "normal, predictable relationship with Gazprom that is based on commercial principles," stressed Gavrilita.

"If we cannot achieve that, we will have no other option than to diversify our sources more broadly." The small republic, which borders on EU member Romania and has been following a pro-Western course since a change of power, had on Wednesday from the EU additional aid amounting to 60 million euros was guaranteed to alleviate the consequences of the gas crisis.

Gavrilita said that it was not about a choice between East and West, but about the best solution for Moldova.

According to the media, President Maia Sandu also said that every effort would be made to solve the problems with Moscow.

Russia last threatened Moldova with suspending deliveries in December if the contract with Gazprom was not extended by then. One of the main points of contention between the two countries is that the current price of 790 US dollars per 1000 cubic meters of gas is too high from Moldova's point of view. In the past year, Chisinau had paid significantly less under what was then a Moscow-friendly government. However, the price level was also considerably lower at that time. In addition, Russia is demanding settlement of unpaid bills totaling 709 million US dollars. Moldova does not recognize the debt in this way.

Moscow sees itself repeatedly criticized for rewarding the Kremlin's well-meaning countries - such as Belarus - with cheap gas prices.

Gazprom critics also suspect that the Russian side has political intentions in view of the plight of Moldova.

The Kremlin denies this. Moscow recently referred to the current high demand for Russian gas and the strong international rise in gas prices.

Source: spiegel

All business articles on 2021-10-29

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