● TUESDAY, June 28
Transparency of capital investment will ensure projects meeting needs
The ensuring of transparency in the process of planning and making capital investment must become mandatory, said participants in a roundtable meeting held to mark the completion of the project “Increasing transparency of capital investment by consulting proposals with inhabitants of communities”. The project was implemented by the Association of Independent Press (API) with the assistance of the British Embassy in Chisinau, through the Good Governance Fund. Public consultations centering on capital investment proposals were held in 15 towns of the country and involved 800 people living there. The inhabitants highlighted the faced problems that can be solved by making public capital investment. API executive director Petru Macovei said the general opinion was that the local public authorities should more often consult the people when it is about public capital investment, especially because of the limited resources.
NAER modifies fuel price ceilings
The National Agency for Energy Regulation (NAER) announced lower price ceilings for diesel fuel and gasoline, but a higher ceiling for liquefied petroleum gas. For the next two weeks, the Agency set the price ceiling for gasoline coded 95 at 16.11 lei, a decrease of 0.14 lei compared with the last two weeks, while that for diesel fuel at 14 lei, down 0.35 lei. The price ceiling for liquefied petroleum gas was set at 7.51 lei, up 0.22 lei.
Crisis in Crimea exacerbates risks to European energy security, IPP study
The crisis in Crimea exacerbates the risks threatening the European energy security, but can also be an additional factor for accelerating and identifying opportunities for diminishing Europe’s energy dependence on Russian gas, the Institute for Public Policy (IPP) says in a study of the impact of the Crimean crisis on the European energy security. In a news conference researcher on probation at the IPP Ion Efros said the crisis in Ukraine caused concerns in the EU as to the risks related to the interruption in the supply of natural gas from Russia. Precedents were set in 2006 and 2009, when, owing to contractual disputes between the Ukrainian company Naftogaz and Russia’s Gazprom, a number of states in Central and Southeastern Europe remained without natural gas.
● WEDNESDAY, June 29
IPP: Supply of gas from Caspian Sea could influence European energy market
The supply of gas from the Caspian Sea region could have a major impact on the European energy market, on condition that gas is imported not only from Azerbaijan. At the same time, even if Iran has reserves that could significantly diminish the market share of the Russian company Gazprom, it needs massive investments during the next few years in gas production and in liquefying infrastructure and gas pipelines intended for exporting gas. Such conclusions are contained in an analytical report compiled by the Institute for Public Policy (IPP). Researcher on probation at the IPP Ion Efros, in a news conference said the orientation of Iran towards developing an energy-intensive industry and the possible opposition of the EU to depending more on a regime with which it has tense relations are factors that will prevent the entry of massive quantities of Iranian gas into the European energy market during the next 5-10 years. “Iran can become a global player on the gas market not sooner than in 2030. For the purpose, it will need at least 15 years to develop its capacities to support the production of natural liquefied gas so that this rises to 100 billion cubic meters a year,” he stated.
Moldova-Taicang Cooperation Center to be built in China
A Moldova-Taicang Cooperation Center could be built in China by the end of this year. A bilateral agreement between Chinese businessmen and representatives of the Moldova Business People Association is to be signed for the purpose. The subject was discussed in a meeting of Deputy Prime Minister and Minister of Economy Octavian Calmac and group of entrepreneurs from Taicang city of Jiangsu province, led by the vice president of China Economic Cooperation Center Liu Jinghua. “We plan to build a cultural center in traditional Moldovan style in China and to offer through it the Chinese people the possibility of discovering the culture, traditions and values of the Moldovan people,” stated Liu Jinghua.
Crisis at “Moldovagaz” endangers country’s energy security, experts
The financial crisis at SA “Moldovagaz” is actively discussed in the public sphere, especially owing to the fraudulent management of the company and accumulation of debts to Russia’s “Gazprom”. According to independent energy experts, such a situation endangers the country’s energy security and has a destructive social and economic impact. On June 29, a group of experts presented a resolution on the situation at SA “Moldovagaz” and the authorities’ role in managing the company. One of the experts, Ruslan Surugiu, in a news conference, said the given resolution is a follow-up to the resolution of September 2015. He welcomed the meeting of two of the 16 demands by the authorities, but noted that this is not enough for remedying the situation in the energy sector.
Moratorium on state inspections to be extended
The three-month moratorium on state inspections, instituted on April 1, 2016 on the initiative of Prime Minister Pavel Filip, will be extended for another three months, until September 30. Deputy Prime Minister and Minister of Economy Octavian Calmac reminded that the goal of the moratorium is to create better conditions for entrepreneurial activities. During the almost three months of the institution of the moratorium on state inspections, the functioning of the economic system and the collection of incomes into the national pubic budget haven’t been affected. The official also said that neither the inspection bodies had objections to the institution of the moratorium. These could make approaches as to the necessity of carrying out inspections on the spot to the Ministry of Economy.
● THURSDAY, June 30
Lower limit for declaring customs value of goods increased
The Republic of Moldova will implement the EU rules on the declaration and control of the customs value of goods. Under the regulations, the business entities can use the given goods on condition that they afterward present conclusive documents to confirm the customs value of imported goods and deposit a sum that will cover the difference between the import duties deriving from the declared customs value and the value set provisionally by the customs bodies. The regulations clearly define the actions of the customs bodies and business entities when the customs value of imported goods is declared.
Possibilities of increasing internal power generation capacities
The Government on June 29 decided to transfer two hydrotechnical constructions located on the Raut River to Moldova’s Water Agency. These are the micro-hydroelectric plants in Cazanesti and Piatra villages of Orhei district. These plants, which are now nonfunctional, will be included in the list of surface waters, protection areas and strips and in the list of hydrotechnical constructions controlled by the water managing authority. Thus, Moldova’s Water Agency will be able to reconstruct and use the micro-hydroelectric plants. This will enable to optimally use the water resources, to increase the internal power generation capacities and the share of electricity produced from renewable sources of energy. These priorities are stipulated in the national development strategy “Moldova 2020”. A number of economic entities, including producers of biofuel, repeatedly asked to rehabilitate and put the micro-hydropower plants into operation.
National Competition Program to be approved by this yearend
The National Competition and State Aid Program is to be agreed on by this yearend. When presenting the Competition Council’s report for last year, the Council’s head Viorica Carare said it is important for all the competent institutions to become involved in finalizing the document so as to remove the barriers to economic activities for the producers to be able to manufacture high quality goods and for the consumers to be able to purchase goods and services at real, not exaggerated prices. Viorica Carare noted that the fines imposed by the Competition Council in 2015 came to 38.4 million lei, in 2014 to 1.7 million lei, while in 2013 to 290,000 lei.
● FRIDAY, July 1
Economy Ministry chooses potential candidates for FEZ Balti administrator
The Ministry of Economy selected two potential candidates for the vacant post of main administrator of the Free Economic Zone (FEZ) Balti. The contest involved 11 candidates. Vasile Soldan and Mihai Rusu were chosen for being presented to the Government are. The contest was held in three stages. The candidates with the lowest sore were eliminated from the competition after each stage.
2016 state budget law adopted in final reading
Parliament passed the state budget law for this year in the third, final reading. The budget provides for revenues of 48.5 billion lei and a total expenditure of 52.7billion lei, with a deficit of 4.2 billion lei. As many as 51 MPs of the 83 attending the sitting voted in favor of the budget. The incomes represent 36.3% of the GDP, an increase of 0.5 percentage points compared with the budget for 2015. The 11% increase in incomes is generated by the rise in grants provided as budget support. Over 60% of the incomes will come from taxes and duties.
Harvesting of grains and legumes underway
The agricultural producers in central and southern Moldova started to harvest the grains and legumes. About 4,000 combines will be involved in the process. According to the Ministry of Agriculture and Food Industry, the harvesting of barley began in the districts of Cahul, Rezina, Ialoveni, and Donduseni. The average productivity per hectare is by 1.3-1.5 tonnes higher than last year, being of 4.7 t/ha in Rezina and 3.66 t/ha in Cahul. The autumn wheat also started to be gathered. In Cahul, the productivity of wheat per hectare is 3.9 tonnes. Grains were sowed on an area of about 380,500 hectares. Of these, 311,000 hectares are with winter wheat, 8,100 hectares with winter barley, 19,400 hectares with spring barley, 1,000 hectares with spring wheat, while 1,000 hectares are with other crops.
● SATURDAY, July 2
New director named at Chisinau Glass Factory
Ion Casrtea was appointed as director of the Chisinau Glass Factory. Following a visit to the company, Minister of Economy Octavian Calmac said that Ion Carstea can organize the production process of an economic unit using the most modern forms, his work as acting director being a conclusive example. After a long period of time, the May the Chisinau Glass Factory has made a profit of 1.6 million lei. According to a press release of the Ministry of Economy, the new director of the company said they work on a program to reform all the areas of activity, including to modernize the production process and to find new business partners. The factory’s administration will soon submit to the Ministry a set of proposals for cutting production costs, especially those associated with the use of energy resources that now represent 35% of the operating costs, the administrative costs, etc.