● MONDAY, December Details about supply of gas and electricity
SA Energocom signed a contract for the supply of electricity with MGRES (Kuchurgan power plant) for December. SA Moldovagaz will supply 5.7 million cubic meters of natural gas a day to the left side of the Nistru, including MGRES, said Deputy Prime Minister Andrei Spînu, Minister of Infrastructure and Regional Development. He noted that the left side will pay for the daily amount of 5.7 million cubic meters of gas supplied by Gazprom, while the right side will not pay anything for this and will pay only the price of electricity.
Moldovagaz owes about 855m lei to Gazprom
SA Moldovagaz currently owes 854.9 million lei to Gazprom for the natural gas supplied by now. Of this sum, 781.0 million lei represents the debt for November, while 73.9 million lei represents the consumption for December so far, said Vadim Ceban, the president of the Administration Board of Moldovagaz. He noted that the sums must be transferred to Gazprom by December 20.
Interest rates on overnight loans and deposits decreased by 1.5%
The base rate applied on the main short-term monetary policy operations was set at 20% a year, down 1.5% percentage points. The interest rate on overnight loans will be 22% annually, while on overnight deposits - 18% annually, also down 1.5% percentage points, as the Executive Board of the National Bank of Moldova decided on December 5.
● TUESDAY, December 6
Victor Parlicov: We created a comfort of 100m m3 to Transnistrians and this is rather generous
The amounts of gas provided by Chisinau to the Transnistrian region are enough to produce electricity for the right bank and even offer a comfort of 100 million cubic meters of gas for own consumption, said energy expert Victor Parlicov. According to him, the Moldovan authorities behaved too generously towards Tiraspol, offering the whole amount of gas received from Gazprom at a time when the people living on the right side make considerable effort to economize.
Andrei Spînu: This is the best price we can have for electricity
The price of US$73 per MW is the best price the Republic of Moldova could obtain for electricity, said Deputy Prime Minister Andrei Spînu. According to him, this is a compromise price agreed with the Transnistrian side for Tiraspol to be able to cover the losses sustained due to the reduction of industrial activity on the left side.
NBM aims to bring back inflation to variation interval of ± 1.5 p.p. from inflation target of 5%
The National Bank of Moldova pursues the goal of anchoring inflation expectations, reducing and maintaining inflation in the variation interval of ± 1.5 percentage points from the inflation target of 5% in the medium term, said the governor of the National Bank of Moldova Octavian Armașu. He told a news conference that the annual rate of inflation in October 2022 was 34.6%, up 0.6 percentage points on a month before. It was by 0.4 percentage points lower than the forecast value stipulated in the Inflation Report presented in November 2022, primarily due to the late inclusion of the heat charge.
Capital market witnessed significant growths, NCFM
The two sectors of the capital market, the primary and secondary ones, had seen significant growths in the first nine months of this year. The number of securities issues on the primary segment grew 1.6 times (from 25 to 40 issues). The cumulative value of transactions with corporate securities on the secondary market rose about 21 times compared with the corresponding period last year.
● WEDNESDAY, December 7
Vyacheslav Moldovan: Local electricity market is ignored
Even if the Republic of Moldova faces a shortage of electrical energy, the local electricity producers are treated with indifference, said Vyacheslav Moldovan, of a local electricity company. According to the entrepreneur, the authorities prefer large contracts with MGRES, Ukraine or Romania to the detriment of local companies.
Dumitru Budianschi: Pensions will be indexed by 14.1%, while salaries will rise by 1,300 lei
The 2023 budget comes with a number of pay raises for public sector employees. Minister of Finance Dumitru Budianschi said the public sector employees will enjoy a fixed rise of 1,300 lei in salaries as from January 2023. This rise advantages primarily the salary earners with very low pays. As there are insufficient funds, the pensions in April 2023 will be indexed by 14.1% only.
PAS MP: Now that Government provides country with energy, political discussions started
The contract for the purchase of electrical energy from the Kuchurgan power plant in exchange for the amount of gas supplied by Gazprom and the contracts for the purchase of power at market prices should be part of a criminal case, said Socialist MP Vasile Bolea. According to him, the energy crisis was crated artificially and the government form the start should have reached a consensus with Tiraspol and bought energy from MGRES. For their part, representatives of the government said the agreement with the self-styled Transnistrian administration is advantageous and provides the country with electricity at a lower price.
Moldova to have two cogeneration plants by 2025
Moldova will have two cogeneration plants until 2025. A tender contest to project and build these was launched, Deputy Premier Andrei Spînu has announced. According to the official, the new plants will be based on flexible technology – internal-combustion engines – and will have the capacity of 55 MW and 43 Gcalh. They will replace the former thermoelectric plant CET-1, which was put into operation in 1951.
Fuel prices have constantly declined over past three weeks, NAER
Fuel prices continue to decline. A liter of gasoline COR 95 on Thursday will cost 24.02 lei, down 0.25 lei. Diesel fuel will be sold for at most 24.10 lei/liter, down 0.27 lei. The National Agency for Energy Regulation said that fuel prices declined constantly on international exchanges over the past three weeks.
Fewer persons borrow from nonbank lending institutions
The nonbank lending sector in the third quarter of this year released loans to the value of 2.9 billion lei, down 6.2% compared with the corresponding period last year. In the period, the sector provided loans to over 430,300 persons. The average value of a nonbank loan was 32,800 lei.
Igor Grosu about contract with MGRES: No political conditions were discussed
The discussions with the self-styled Transnistrian authorities centered exclusively on economic and commercial aspects, Parliament Speaker Igor Grosu assured. The official noted that when the gas supplied by Gazprom is transferred to the left side of the Nistru, this becomes the responsibility of Tiraspol and Russia would not ask payments for this from Chisinau. The discussions about the strangling of the Transnistrian region’s economy are counterproductive and can lead to the escalation of the conflict.
Constantin Borosan: Unlike right side, left side does not have energy alternatives
The right side of the Nistru River is better prepared in terms of energy than the left side that does not have any alternative, said secretary of state of the Ministry of Infrastructure and Regional Development Constantin Borosan. According to him, the conceding of the 5.7 million m3 of gas a day to the left side does not endanger the energy security of the right side. The right side of the Nistru has gas stores and the possibility of purchasing gas from alternative sources.
Parliament ratifies agreement on additional EBRD financing for road upgrades
The European Bank for Reconstruction and Development will lend an additional €100 million to Moldova to finance the rehabilitation of roads near its border with Ukraine, adding to an existing €150 million loan in 2013 for road upgrades. Parliament ratified the relevant agreement on Thursday.
Moldova Fruct suggests creating Fruit Office
The war in Ukraine disrupted the supply chains for exporting fruit from the Republic of Moldova, while the drought slashed the harvest dramatically. The low market diversification is another challenge faced by the national fruit growers. In the absence of cooperation, association, incomes of at least 25% of the sales are lost, the president of Moldova Fruct Association of Fruit Producers and Exporters Vitalie Gorincioi stated in the national conference “Fruit Business in the Republic of Moldova”.
Premier Energy and Furnizarea Energiei Electrice Nord ask NAER to adjust charges
Premier Energy and Furnizarea Energiei Electrice Nord on Thursday requested the National Agency for Energy Regulation (NAER) to review the regulated prices of electrical energy down following the signing of a contract for the purchase of electricity between Energocom and the Kuchurgan power plant (MGRES).
Chisinau-Bucharest train to run daily as from Dec. 11
The train running of the Chisinau-Bucharest route will be available daily as from December 11. At present, it runs for three times a week – on Tuesday, Thursday and Sunday.
State to refund VAT to farmers for clearing tax-related debts
The state will refund the VAT to farmers for these to be able to pay a number of overdue state taxes. The MPs gave a second reading to a bill to this effect on Thursday. The VAT will be refunded during April 2022 – June 2023 inclusive. The measure applies to business entities that work in agriculture and that sustained losses of over 50% of the agricultural production on an area of minimum 50% of the owned land owing to the natural disasters of 2022.
Electricity prices lowered
Households in central and southern Moldova powered by the utility Premier Energy will pay 4.62 lei/kWh, down from the current charge of 5.91 lei/kWh. In the northern regions, households powered by FEE Nord will pay 4.65 lei/kWh, down from 5.60 lei/kWh at present.
● FRIDAY, December 9
Contract with MGRES, between controversy and necessity
The decision to sign a contract for the purchase of power with MGRES (Kuchurgan power plant) is controversial and takes Moldova back under Transnistria’s energy control, said the chairman of the Coalition for Unity and Welfare (CUB) Igor Munteanu. According to him, when there is a separatist enclave, not only the economic price, but also eventual geopolitical implications matter. For their part, representatives of the government admit that the agreement between Chisinau and Tiraspol is not ideal, but this is the best solution for ensuring lower charges for the citizens.
Natalia Gavrilița replies to Vladimir Putin: Republic of Moldova is a sovereign state
The Republic of Moldova is a sovereign state that decides itself where to store the purchased gas, Prime Minister Natalia Gavrilița replied after the Russian President Vladimir Putin expressed his bewilderment at the fact that the gas purchased by the Republic of Moldova from Gazprom is stored on the territory of Ukraine. The Premier assured that the decision to sign a contract with MGRES is advantageous to both of the sides of the Nistru as it offers the citizens electricity at a lower price and the possibility of avoiding blackouts in case of new barrages in Ukraine.
After several months of growth, official reserve assets decline again
The official reserve assets at end-November totaled US$4.274 billion, down US$58.91 million compared with October 31, when these came to US$4.333 billion, IPN reports, quoting the National Bank of Moldova.
BEM, Banca Socială and Unibank collected over 2.8bn lei since license withdrawal
Since the withdrawal of their licenses in October 2015 until September 30, 2022, Banca de Economii, Banca Socială and Unibank collected 2 810 843 lei. The National Bank of Moldova said the liquidators continue taking measures to sell assets.
