Moldova Saves $553Mln by Buying Gas From Russia's Gazprom - Moldovagaz CEO

KISHINEV (Sputnik) - Moldova has saved $553 million by buying gas from Russian gas giant Gazprom between November 2021 and November 2022, Vadim Ceban, the head of Moldovan gas company Moldovagaz, said on Tuesday.

The director of Moldovagaz said in January that Gazprom could again become the sole supplier of gas to the republic from May if it offers a favorable price. Moldovan Energy Minister Victor Parlicov said Moldovan authorities were ready to buy gas from Gazprom if the Russian company offered a better price.

"For all those interested in the details of signing the contract for natural gas supply between Moldovagaz JSC and PJSC Gazprom in October 2021, once again, using figures, I will clearly explain the advantages of this deal. It is not a higher mathematics — you can simply compare the indicators of the exchange price with the price provided by Gazprom. Due to this difference, the savings for the period from November 2021 to November 2022 amounted to $553 million," Ceban said on Telegram.

The CEO added that the contract had been approved by Moldova's National Agency for Energy Regulation, agreed upon by the company's supervisory board and approved by the general meeting of Moldovagaz's shareholders.

"The company can provide documentary evidence at any moment," he said.

Since December 2022, Moldovagaz has been receiving gas from state company Energocom and Gazprom. Russian gas is sent to Transnistria, Moldova's breakaway region, while the rest of Moldova uses gas from accumulated reserves.

Moldova has been experiencing an energy crisis due to rising energy prices. In 2022, the country saw a sevenfold increase in gas tariffs and a fourfold increase in electricity tariffs. In 2022, inflation in Moldova reached a record 30.2%. In 2023, inflation in the country hovered around 13.4%.