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    Home»Business»Moldova blames Russia for energy crisis in breakaway region
    Business

    Moldova blames Russia for energy crisis in breakaway region

    Press RoomBy Press RoomJanuary 6, 2025No Comments4 Mins Read
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    Moldova has accused Russia of triggering an energy crisis after tens of thousands of homes in its eastern breakaway region of Transnistria were left without heating, gas or electricity following the end of a Ukraine gas transit agreement last week.

    Transnistria — internationally recognised as part of Moldova but de facto ruled by a pro-Russian separatist government since a short war in 1992 — has for years enjoyed virtually free Russian gas, piped to it via Ukraine.

    Ukraine had telegraphed throughout 2024 that it did not intend to extend the gas transit agreement beyond the end of the year, prompting governments in central and eastern Europe to look for alternative supplies.

    “Our government prepared the Moldovan right bank for this gas shortage,” said Prime Minister Dorin Recean, referring to the area west of the Dniester river, controlled by the pro-EU government in Chișinău.

    Russian gas ceases to flow through Ukraine. Map of eastern Europe showing Moldova and Trasnistria and gas pipelines

    Since Russia’s full-scale invasion of Ukraine in 2022, Moldova has moved away from its reliance on Russia through purchases of gas on spot markets, particularly through Romania. “We have had to adapt to these higher energy prices, especially electricity,” Recean said.

    But in Transnistria, the thin sliver of land on Moldova’s eastern edge bordering Ukraine, the population has long been accustomed to energy at rock-bottom rates.

    Since the transit agreement expired on January 1, residents have been forced to start chopping firewood to heat their homes, as well as dealing with rolling electricity blackouts.

    A resident of 🇲🇩 Moldova’s Russian-occupied Transnistria shows the effects of power outages following the shutdown of Russian gas.

    Transnistria’s main power plant has switched from gas to coal, but has coal supplies for only 50 days—unless electricity consumption sharply rises. pic.twitter.com/kgziTB0Cf4

    — Jakub Bielamowicz (@KubaBielamowicz) January 3, 2025

    Authorities in the separatist region have stopped schools from reopening after the Christmas holidays and ordered soldiers to help with filling stocks of logs.

    “Starting today they even have interruptions in water supply,” Recean told journalists on Monday.

    “Unfortunately we cannot help people in the Transnistria region,” Recean said. “We offered help but it has been refused because Russia’s intent is to artificially create a humanitarian crisis and produce instability.”

    Russia has denied provoking the crisis and instead pointed to Ukraine’s decision to end the gas transit agreement.

    Analysts say Russia could also consider piping gas to its ally via Turkey. But Gazprom has claimed Moldova has unpaid debts and demanded the Moldovan side repay them before any supplies restart. Chișinău disputes that it owes the sum, which Russia claims is over $700mn, and says its view is supported by international auditors.

    Moldova relies on fossil fuel imports for almost all its power, with gas making up 51 per cent of its total energy supply.

    A spokesperson for the European Commission described the situation as “very serious” and said that Brussels encouraged the Transnistrian government to “co-operate with Chișinău to address the situation in the interests of the local population”.

    Moldovan Prime Minister Dorin Recean: ‘We offered help but it has been refused’ © Vladislav Culiomza/Reuters

    EU officials met Moldovan counterparts last month as concern over the deadline for the cut-off of gas supplies loomed. Another meeting is scheduled for this week to “take stock” of the situation and see what assistance the EU can provide beyond an existing €1.8bn macro-financial aid package approved last October.

    The Moldovan grid — along with that in Ukraine — has been synchronised with the EU’s since 2022, allowing the bloc to provide more electricity in times of need.

    Slovakia has also been deeply critical of Ukraine not wanting to renew the gas transit contract, with its Russia-friendly Prime Minister Robert Fico last month describing it as “absolutely irrational and wrong”. The country has sufficient gas in storage for this winter.

    Hungary, until recently also a beneficiary of this transit deal, has secured continued Russian gas supplies via the last remaining pipeline through Turkey. Austria, which also received Russian gas last year via Ukraine, was cut off before December due to a different dispute with Gazprom.

    Cartography by Steven Bernard

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