Some of the activities, processes, procedures and transactions planned and performed by SA Moldovagaz and the persons responsible for governance haven’t fully met the compliance criteria that govern this holding. The value of losses in the gas distribution process accepted for being added to the gas charge is of only 919.3 million lei, while the value of supernormal losses was 1.022,8 billion lei, show the results of the audit of SA Moldovagaz conducted by the Court of Auditors, IPN reports.

Of all the capital investments made by the company in the natural gas system in the reference period only investments totaling 2.772,1 billion lei or 77.3% were accepted by the National Agency for Energy Regulation (NAER) for being recovered through the gas charge, while investments of 815.8 million lei were classed as unplanned, unsubstantiated and unjustified, being made not in accordance with the assessment criteria.

Of the total technological consumption and losses of natural gas of 446.9 million cubic meters to the value of 1.940,1 billion lei reported by Distribution System Operators in 2011-2021, the NAER accepted only 215.6 million cubic meters of gas to the value of 917.4 million lei as technological consumption and normative technical losses of natural gas in distribution networks, which is only 48.2% of those that were sustained effectively.

The audit shows that even if the costs and investments of SA Moldovagaz were optimized the past three years, these cannot eliminate the effects of noncompliant and inefficient management of the company’s property in 1999-2018.

The external public audit mission was carried out in the initiative of Moldova’s Parliament.