2022–2023 Moldovan energy crisis

Last updated

Starting in late 2022, Moldova suffered an energy crisis, the worst since its independence. Hugely influenced by the Russian invasion of Ukraine, caused when Russia's Gazprom reduced supplies. [1]

Contents

The initial 30% drop in gas supply from Russia led Transnistria to reduce the electricity supply to Moldova by 73%, Moldova also lost their supply of electricity from Ukraine due to Russian attacks on power systems. Financial help from the European Union, goodwill from Romania especially and decisive action by Moldova, solved the immediate crisis even after Russia reduced the gas supply to Moldova. The Russian action resulted in the Moldovan government deciding the time had come to sever all connections to Russian energy sources and establish alternative supplies.

Cause

In October 2022, the Russian state-owned company Gazprom announced it would reduce its gas deliveries to Moldova by 30%, including Transnistria, an unrecognized separatist state supported by Russia and internationally recognized as part of Moldova. This caused a heavy gas deficit in Transnistria that caused several large companies in the separatist republic to cease their activities. In addition, the Transnistrian authorities announced that due to this gas crisis, the Cuciurgan power station, which supplies 70% of government-held Moldova's energy needs, would reduce its power deliveries to 27% of normal. [2]

In early October, Ukraine ceased its electricity exports to Moldova following the destruction of part of Ukraine's electricity system as a result of a mass bombing campaign of Ukrainian civilian and energy infrastructure by Russia. On 24 October, this provoked an electricity deficit in the country. [1]

There were a few times when parts of Moldova were in blackout due to Russian shelling of critical infrastructure of Ukraine. [3] [4] [5] [6]

Protests against the pro-European government led by President Maia Sandu erupted seeking rapprochement with Russia in order to negotiate a better energy deal. [7] Due to this, it has been hypothesised that Russia is using Moldova's energy crisis to serve its geopolitical interests and to destabilize the pro-Western government in power. [8] [9]

Alternative energy sources

Following this, the Romanian state-owned company Hidroelectrica signed a contract with Moldovan state-owned Energocom company for the delivery of electricity to Moldova at prices considerably lower than the spot market price in Romania. For this to take place, changes in Romanian legislation were required. [10] This is believed to have increased support among Moldovan society for a potential unification of Moldova and Romania. [11]

On 10 November, during a visit by the President of the European Commission Ursula von der Leyen to Moldova, a 250 million-euro financial package from the European Union (EU) was announced to help Moldova deal with its energy crisis. Of these, 100 million would be grants, other 100 million would be loans and another 50 million would be destined to help Moldova's most vulnerable citizens. [12]

On 16 February 2023, following the restructuring of the Ministry of Infrastructure and Regional Development during the establishment of the Recean Cabinet, the Ministry of Energy of Moldova was created, with Victor Parlicov as energy minister. [13]

Between December 2022 and March 2023, when Gazprom cut off supplies, Energocom provided all gas needed by Moldova. [14]

See also

Related Research Articles

The history of Moldova spans prehistoric cultures, ancient and medieval empires, and periods of foreign rule and modern independence.

<span class="mw-page-title-main">Transnistria</span> Unrecognised state in Eastern Europe

Transnistria, officially known as the Pridnestrovian Moldavian Republic and locally as Pridnestrovie, is a landlocked breakaway state internationally recognized as part of Moldova. It controls most of the narrow strip of land between the Dniester river and the Moldova–Ukraine border, as well as some land on the other side of the river's bank. Its capital and largest city is Tiraspol. Transnistria is officially designated by the Republic of Moldova as the Administrative-Territorial Units of the Left Bank of the Dniester or as Stînga Nistrului.

<span class="mw-page-title-main">Cuciurgan power station</span> Power station in Moldova

The Cuciurgan power station, the largest power station of Moldova, is located in Dnestrovsc, Transnistria, on the shores of the Cuciurgan Reservoir bordering Ukraine. Commissioned on 26 September 1964, the facility produced as of 2021 about 79% of Moldova's electricity.

The Trans-Balkan pipeline is a natural gas pipeline between Turkey and Ukraine with branches to Greece and North Macedonia. It was used by Gazprom for gas deliveries through Balkan countries to Turkey. Before construction of the Blue Stream pipeline it was the only international natural gas pipeline supplying Turkey.

<span class="mw-page-title-main">Moldova–Russia relations</span> Bilateral relations

Moldova–Russia relations are the bilateral relations between the Republic of Moldova and the Russian Federation, two Eastern European, post-Soviet, ex-communist countries. Russian support for the self-proclaimed Pridnestrovian Moldavian Republic (Transnistria) and a substantial Russian military presence therein strained Moldovan relations with Russia.

<span class="mw-page-title-main">Energy in Armenia</span>

Energy in Armenia is mostly from natural gas. Armenia has no proven reserves of oil or natural gas and currently imports most of its gas from Russia. The Iran-Armenia Natural Gas Pipeline has the capacity to equal imports from Russia.

<span class="mw-page-title-main">2009 Russia–Ukraine gas dispute</span>

In 2009, Russian natural gas company Gazprom refused to conclude a supply contract unless Ukrainian gas company Naftogaz paid its accumulating debts for previous gas supplies. The dispute began in the closing weeks of 2008 with a series of failed negotiations, and on January 1, 2009 Russia cut off gas supplies to Ukraine. On January 7 the dispute turned to crisis when all Russian gas flows through Ukraine were halted for 13 days, completely cutting off supplies to Southeastern Europe, most of which depends on Russian gas, and partially to other European countries.

<span class="mw-page-title-main">Russia in the European energy sector</span>

Russia supplies a significant volume of fossil fuels to other European countries. In 2021, it was the largest exporter of oil and natural gas to the European Union, (90%) and 40% of gas consumed in the EU came from Russia.

<span class="mw-page-title-main">Energy in Moldova</span>

Energy in Moldova describes energy and electricity production, consumption and import in Moldova.

<span class="mw-page-title-main">Dorin Recean</span> Prime Minister of Moldova since 2023

Dorin Recean is a Moldovan economist, politician, and academic serving as Prime Minister of Moldova since February 2023. Since 2022 he has also served as Presidential Advisor on Defense and National Security, and Secretary of Moldova's Supreme Security Council. He previously served as Minister of Internal Affairs of Moldova from July 2012 to February 2015. He has extensive experience in the private sector and in the IT industry with a specialisation in data, including big data, and information analysis. He also worked in development institutions and was previously a lecturer at several universities.

<span class="mw-page-title-main">Maia Sandu</span> President of Moldova since 2020

Maia Sandu is a Moldovan politician who has been president of Moldova since 24 December 2020. She is the founder and former leader of the Party of Action and Solidarity and was prime minister of Moldova from 8 June 2019 until 14 November 2019, when her government collapsed after a vote of no-confidence. Sandu was minister of education from 2012 to 2015 and member of the parliament of Moldova from 2014 to 2015, and again in 2019.

<span class="mw-page-title-main">Natural gas in Russia</span>

In 2021 Russia was the world's second-largest producer of natural gas, producing an estimated 701 billion cubic meters (bcm) of gas a year, and the world's largest natural gas exporter, shipping an estimated 250 bcm a year. In 2022 the export market was significantly downsized, following the Russian invasion of Ukraine and Russia reducing exports after countries refused to pay in rubles.

<span class="mw-page-title-main">Gas in Turkey</span> Production, transport and consumption of gases such as methane in Turkey

Natural gas supplies over a quarter of Turkey's energy. The country consumes 50 to 60 billion cubic metres of this natural gas each year, nearly all of which is imported. A large gas field in the Black Sea however started production in 2023.

During the COVID-19 pandemic, Romania has supported Moldova on several occasions, supplying it with medical equipment and supplies, volunteer Romanian experts and doctors and even a series of COVID-19 vaccine units that arrived on 27 February 2021, which allowed Moldova to start its vaccination program.

<span class="mw-page-title-main">5+2 format</span> Multilateral negotiation platform aimed at solving the Transnistria conflict

The 5+2 format, also known as the 5+2 talks, the 5+2 negotiations and the 5+2 process, is a diplomatic negotiation platform aimed at finding a solution to the Transnistria conflict between Moldova and the unrecognized state of Transnistria. It is composed of the latter two, which are designated as "parties to the conflict", and Russia, Ukraine and the Organization for Security and Co-operation in Europe (OSCE), "mediators" of the negotiations. The European Union (EU) and the United States act as "observers". The inclusion of Romania into the 5+2 format has been proposed.

Events from the year 2022 in Moldova.

The 2021–2022 global energy crisis has caused varying effects in different parts of the world.

<span class="mw-page-title-main">Moldovan protests (2022–2023)</span> Protests against the countrys government

On 18 September 2022, protests in Moldova began in the capital city of Chișinău, demanding the resignation of the country's pro-Western government, amid an energy crisis causing rising natural gas prices and inflation, caused in part by the Russian invasion of Ukraine.

Events from the year 2023 in Moldova.

Following the Russian invasion of Ukraine, Moldova accepted Ukrainian refugees, opened a bank account for donations, and unofficially imposed sanctions on Russia.

References

  1. 1 2 Cojan, Liviu (25 October 2022). "Maia Sandu: Republica Moldova se confruntă cu cea mai gravă criză energetică din istoria sa". Digi24 (in Romanian).
  2. Călugăreanu, Vitalie (21 October 2022). "Criza energetică generată de Putin poate duce la dispariția enclavei separatiste Transnistria" (in Romanian). Deutsche Welle.
  3. "Moldova Suffered Blackouts After Russian Strikes on Ukraine". Bloomberg.com. 15 November 2022.
  4. "Ukraine war: Zelensky denounces Russian 'terror' in UN address". BBC News. 23 November 2022.
  5. "Most Moldovan power supplies restored after Russian strikes on Ukraine". Reuters. 23 November 2022.
  6. "Russia's Ukraine invasion is fueling an energy crisis in neighboring Moldova". Atlantic Council. 5 December 2022.
  7. Necșuțu, Mădălin (9 November 2022). "How an energy crisis is testing Moldova's mettle to turn away from Russia". Euronews.
  8. Jack, Victor (9 November 2022). "Moldova will ask EU allies for €450M amid fears Putin will cut gas flows". Politico Europe .
  9. Cenușă, Denis (16 November 2022). "COMMENT: Russian tactics against Ukraine hit Moldovan energy sector". bne IntelliNews.
  10. Neagu, Bogdan (14 October 2022). "Romania to cover Moldova's electricity deficit caused by Russia bombing". Euractiv .
  11. Gava, Ioan Radu (13 October 2022). "Rusia s-a prăbușit în ochii cetățenilor Republicii Moldova: România ne ajută cel mai mult / Deputat PAS, despre procentul unioniștilor: Va veni ziua în care 50%+1 își vor dori Unirea". DC News (in Romanian).
  12. "EU announces $250 million package to help Moldova tackle harsh energy crisis". Radio Free Europe/Radio Liberty. 10 November 2022.
  13. "Ultima oră! Lista Guvernului Recean, făcută publică: Noi șefi la Justiție și Finanțe, iar Alaiba și Bolea, ridicați în rang". Unimedia (in Romanian).
  14. "Moldova: diversifying supplies and curbing Gazprom's influence". 15 June 2023.