Gazprom calls revocation of Moldovagaz license final blow to business, its investment
MOSCOW. Aug 8 (Interfax) - Gazprom "will continue to defend its legal rights and interests with all available means," the Russian gas giant said in response to Moldovan energy regulator ANRE's decision to revoke the natural gas supply license of JSC Moldovagaz as of September 1 and make state company Energocom the provider of the public service of delivering gas to customers in the country.
"The revocation of JSC Moldovagaz's license to supply gas cannot be seen as anything other than the final stage in the Moldovan side's destruction of the Moldovagaz Group's business and dispossession of Gazprom of its investment," the Russian company said in a press release.
The ANRE announced in May that it might strip Moldovagaz of its license and ordered it to fulfill requirements for the functional and legal unbundling of lines of business in the sector by July 31, 2025. Moldovagaz officially informed the ANRE of its inability to separate the functions of supply and transportation of gas by the regulator's set deadline (August 1, 2025), citing the lack of consensus among majority shareholders and that this decision was beyond the authority of the company's management.
Moldovagaz, founded in 1999, is Moldova's biggest energy company and one of the largest taxpayers. It supplies gas to 830,000 customers. Gazprom owns 50% plus 1 share, the Moldovan government (represented by the Public Property Agency) owns 35.33%, the Transdniestrian authorities through their Property Management Committee control 13.44%, and the remaining 1.23% is held by other legal entities and individuals. Transdniestria's administration has transferred its share management rights to Gazprom. Moldova has been buying gas on the European market since December 2022, but the gas was delivered by Moldovagaz.
Gazprom said that "as the largest shareholder and creditor of JSC Moldovagaz, [it] fulfilled its obligations regarding reliable and secure gas supplies to the Republic of Moldova in good faith and in full, not receiving full payment for delivered gas from JSC Moldovagaz."
"As a result, JSC Moldovagaz accumulated a substantial debt to Gazprom. Specifically, the debt for gas delivered to customers on the right bank of the Dniester exceeded $709 million. This debt was to a significant degree created due to systematic nonpayments by thermal power plants in Moldova's state sector for gas delivered by JSC Moldovagaz," Gazprom said.
"In the past few years Gazprom has proposed various ways and timelines for settling the debt with the proper legal arrangements. But the government of the Republic of Moldova refused to facilitate the repayment of the debt, preferring instead, in violation of agreements reached with Gazprom, to put pressure on Gazprom in order to force the company to drop its legal demands," the statement said.
"The government of the Republic of Moldova implemented a number of mechanisms that ultimately led to the forced reorganization of Moldovagaz Group, essential deprivation of JSC Moldovagaz of the right to freely dispose of its own assets and income, inflation of the purchase price for natural gas, steep growth of gas and electricity rates for consumers and, consequently, a decrease in the country's energy security," Gazprom said.
