Monday, November 25, 2024

Moldova and Russia hold talks about Transdniestria Gas Supply amid Ukraine Transit Uncertainty

November 25, 2024

Moldova reported that the energy minister of Moldova met with the head Russian gas giant Gazprom to discuss alternative routes for supplying Russian gas to Transdniestria, Moldova's breakaway region. If transit through Ukraine is stopped, Moldova will look at other options.

Ukraine has stated that it will not prolong the gas transit agreement. Transdniestria, a region backed by Russia, relies heavily on Russian gas delivered via Ukraine.

After the St Petersburg talks, the Moldovan energy ministry released a statement saying that the two men (energy minister Victor Parlicov, and CEO Alexei Miller), focused on finding alternative routes to supply gas to the Transdniestrian Region of Moldova if the transit through Ukraine was disrupted.

Transdniestria has a large power plant fueled by Russian gas that supplies the unrecognised breakaway region and most of the government-controlled part of the country with electricity. Transdniestria relies on this revenue to run its economy.

Since 2022, under the pro-European presidency of Maia Sandu Moldova has reduced its dependence on Russian Gas, and has turned to European Suppliers, while Gazprom continues to supply Transdniestria free.

The meeting was a rare opportunity for Russia and Moldova to meet. The relationship between the two countries has deteriorated since Russia invaded Ukraine in 2022, a move that Moldova strongly condemned.

Parlicov said that the talks are crucial for ensuring stability in Moldova as well as the surrounding region.

"We don't wait until the last moment to deal with these challenges, and we are taking calculated measures to manage any risk." "Dialogue with Gazprom will help us assess the current situation and identify workable solutions," said he.

"As part this effort, I met with Gazprom in the near future as the deadline to reserve capacity on alternative routes approaches."

If Ukraine follows through on its plan to stop Russian transit next Year, a alternative route for gas supply to Transdniestria may pass through TurkStream to Turkey and then Bulgaria and Romania.

Gazprom said in a statement that the two parties "agreed" to continue discussions on options to organise deliveries of Russian gas to Moldova starting Jan. 1, 2025.

Parlicov stated that Moldovagaz, a Gazprom-owned subsidiary, which organizes gas distribution in Moldova had actively contacted Gazprom about exploring options for alternative routes.

Parlicov stated that "while we haven't yet received a reply, we are fully committed to exploring all viable alternatives for safeguarding Moldova's needs in energy."

He said: "The destabilisation in Transdniestria, Moldova, serves no-one's interest -- not Moldova, not Ukraine, and definitely not that of the European Union."

The energy ministry also said that the issue of what Gazprom called Moldova's past deliveries debts and the composition board of Moldovagaz were discussed. Reporting by Tom Balmforth, Alexander Tanas and Jonathan Oatis

(source: Reuters)

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