Contract with Moldovan GRES for power supply to Moldova not extended on Oct 31 - deputy PM
CHISINAU. Nov 1 (Interfax) - A contract between the Moldovan state company Energocom and the Moldovan GRES power plant in Transdniestria for power supply to Moldova has not been extended, Moldovan Deputy Prime Minister, Infrastructure and Regional Development Minister Andrei Spinu said on Telegram, without revealing the reasons.
Thus, as of November 1, the electric power shortage in Moldova will be about 40% of the total consumption, or 4,070 megawatt-hour. Energocom has purchased 5,530 megawatt-hour from Romania at the exchange, another 50 megawatt-hour from the Romanian energy company OMV Petrom and 35 megawatt-hour from the Romanian state company Nuclearelectrica.
Spinu said on Monday he hopes to sign a contract with the Moldovan GRES on electric power supplies in November until the end of the day. He warned that Moldova would cut gas supplies to Transdniestria, if the Moldovan GRES located on the eastern bank of the Dniester, which belongs to Inter RAO , does not supply enough electricity to Moldova.
Spinu said that the Moldovan GRES was due to meet at least 45-50% of Moldova's power needs in November [vs 70% earlier].
"Everything will become clear on November 1. They will either supply us with electricity under the contract in the maximal amount, depending on the volumes of gas we will get from Gazprom, or we will use this gas for our needs. [...] I hope that we will sign a contract for November and they will be receiving gas as long as they fulfill the contract for electric power supplies to the western bank of the Dniester. There will be no gas unless the contract is fulfilled," Spinu said.
Gazprom will continue to supply 5.7 million cubic meters of gas per day to Moldova in November, same as in October, which is 40% smaller than the amount requested by Moldova. The preliminary gas price in November is $821 per 1,000 cubic meters, down from $1,082 per 1,000 cubic meters paid by Moldova in October.
The Moldovan GRES was supplying power to Moldova in October at a price much lower than the price of gas purchased from Romania (at least 90 euros per 1 megawatt-hour). Previously, the Moldovan GRES covered 70% of Moldova's demand for power, while 30% was imported from Ukraine. Power supplies from Ukraine stopped on October 15 due to the disruption of the national power grid, and the Moldovan GRES cut the supply because of the gas deficit, as Gazprom deliveries shrank by 30% (due to technical problems caused of restrictions on gas transit through Ukraine).
The debt of Transdniestria is nearing $10 billion. The regional authorities collect payments for gas from consumers and accumulate the funds on the special "gas account," which compensates for 45-50% deficit of the regional budget.
Moldova consumes 3.2 bcm of gas per year (including 1.1 bcm on the western ban and 2.1 bcm on the eastern bank).