Energy experts anticipate the implementation of the Third Energy Package will be put off after the Republic of Moldova promised to Gazprom to repay the historical debts as a result of an independent audit. According to experts, the Russian gas giant made sure that Moldovagaz will not be reorganized until the debts are settled and this will hamper the coming of new natural gas suppliers to the Moldovan market, IPN reports.
Under the protocol of the negotiations that was published by the Ministry of Infrastructure and Regional Development, Moldovagaz cannot be reorganized until the debts owed to Gazprom are fully cleared. Also, the debt repayment agreement will be signed for a five-year period. Therefore, the implementation of the Third Energy Package will be delayed, said energy experts.
“With the appearance of important gas suppliers in the region, the recovery of these debts was in question and this represented a risk for Gazprom. That’s why this condition was imposed. On the one hand, it is regrettable that the implementation of the Third Energy Package is delayed. But I do not see how other suppliers can come now. On the other hand, there are no suppliers at regional level that cannot compete with Gazprom, while the regional projects under implementation also depend on the natural gas of the Russian Federation. I don’t think that in three-four years, conditions will be created for ensuring a veritable market in the Republic of Moldova. This five-year period offers time to the Republic of Moldova to solve the debt issue,” energy expert Ion Muntean stated in the program “Emphasis on Today” on TVR Moldova channel.
According to specialists, by preventing the reorganization of Moldovagaz, the Russian company made sure that the Republic of Moldova will not ignore its debts. If the Third Energy Package is implemented, Gazprom would lose its monopoly on Moldova’s market.
“The Russian side wants to make sure that the debts are settled. It’s clear that if conditions are created and we find alternative gas suppliers with a sufficient amount of natural gas that can be brought from other places than the Russian Federation, if the regional situation changes, these provisions of the contract can be modified. It’s now clear that this is a security measure of Gazprom as it needed the Republic of Moldova to officially recognize these debts. Hypothetically, Russia wouldn’t have recovered the debts if there had been two-three sources of natural gas,” said energy expert Sergiu Ungureanu.
Under the contract signed by Moldovagaz and Gazprom, the two entities until May 1, 2022 will sign a debt settlement agreement for a five-year period. An audit will be conducted to determine how the historical debts formed and who is to blame for their accumulation.
