Natural gas rates could be reviewed before the start of the cold season, as Moldova has been able to buy considerable amounts at advantageous prices, says Energy Minister Victor Parlicov.
According to the minister, the government has managed to buy 400 million cubic meters of gas, at an advantageous price of 400 dollars for a thousand cubic meters. If the wholesale prices remain low, there will be conditions for reducing household rates.
“I think we can still buy gas at $400. If to the (recently bought) 400 million cubic meters, we can buy another 400 million at this price, we will bring the average price down to about $500. Which would create the opportunity for reviewing the rates. I don’t want to promise this, because it’s not just up to us. We for our part, got the best prices when making the wholesale purchase. Considering the other costs, like transportation and pumping, we were able to get a price of $400 for a thousand cubic meters. It’s a very good price”, Victor Parlicov told a public affairs show on RliveTV.
Meanwhile, Moldova still has stocked amounts of gas purchased last year at “exorbitant” prices, which keep the household rate as high as 18 lei.
“We do have some estimates as to what the rates should be, but ultimately that is for the ANRE to decide and it’s them who should do the calculations. I am doing my best to bring the rates down. Myself, Energocom, and all those dealing with the optimization of routes, everyone is working to achieve this. Even with that expensive gas that we purchased in the past, we should have the possibility to reduce the tariffs in the cold season”, said the minister.
Parlicov added that the government will continue to provide energy bill relief in the cold season, but the amounts will be lower compared to last year.
“We expect this year to be easier in all respects than last year. First of all, we have lower wholesale prices, then, the support mechanisms have already been tested. Now they are still working on improving the system, but there will definitely be compensations, they will be kept, but they will be commensurate to the average gas price”, explained Victor Parlicov.
In the previous cold season, the government offered 3.4 billion lei in energy bill relief, as 80% of households were assigned the highest energy vulnerability rating.
