State of emergency in Moldova
A state of emergency has been in effect in Moldova since 16 November 2024. This was declared when it was announced that Russia would cut off the natural gas supply as of 1 January 2025. The looming gas shortage and the government's order meant to prevent a humanitarian crisis are both further complicating the lives of countless Moldovans, who are already living in poverty and suffering from the cold.
To reduce energy consumption, the Moldovan government has implemented a series of measures. These measures include reducing lighting in public and commercial buildings by at least 30 percent, restricting energy-intensive businesses to off-peak hours, and cutting off gas and electricity to municipalities in Transnistria and neighbouring villages for 4 to 5 hours per day. The rest of the country is requested not to use electricity or gas between 6:00 AM and 11:00 AM and 5:00 PM and 11:00 PM. This is to prevent short circuits. The Moldovan parliament hopes this will allow it to distribute the remaining available energy resources.
Despite these measures, gas and electricity prices have increased 2.5 times. Prices of food and medicine, among other things, have also risen. Furthermore, most industry in the breakaway region of Transnistria has come to a standstill. There is also a growing shortage of coal, much of which was imported from Russia, which many Moldovans use to heat their homes.
All this is the result of, firstly, an expiring contract between Ukraine and the natural gas company Gazprom (partly owned by the Russian state). Moldova received its gas via Ukraine. Now, the five-year agreement with Gazprom expires in December 2024, making transit to Moldova no longer possible.
Secondly, Gazprom accuses Moldova of not having paid around €700 million for gas already delivered. The Moldovan authorities deny this accusation. According to them, the debt amounts to a fraction of the amount Gazprom claims it is owed: approximately €8.5 million. British and Norwegian accounting firms confirm this.
Gazprom has also terminated its contract with Moldovagaz, in which it holds a significant shareholding, and has also halted gas supplies to Moldova. It therefore appears that the country will continue to suffer from this significant gas shortage for the foreseeable future. There may still be hope for Transnistria. This breakaway region, which unilaterally claimed internationally unrecognised independence in the 1990s, has close ties to Russia and is heavily influenced by the Kremlin. According to separatist leader Vadim Krasnoselsky, gas supplies would resume after "negotiations" with the Russian Ministry of Energy, ostensibly to provide Transnistria with "humanitarian and technical assistance." However, he did not specify when this would happen. Therefore, the state of emergency in that region will likely have to be extended as well.
The rest of the country, which received gas supplies via Transnistria, will have to find another solution. Transnistria used to resell the gas to the rest of Moldova. The Cuciurgan power station in Transnistria also generated electricity for almost all of Moldova. Prime Minister Dorin Recean stated in December 2024 that the country will therefore try to reduce its dependence on the Cuciurgan plant by pursuing greater diversity in energy supplies. He indicated that Gazprom and Moscow are deliberately using the "historic gas debts" as a weapon, a form of "energy extortion" with which President Putin wants to destabilise Moldova.
The Amaryllis Foundation hopes that this very dire situation will be resolved quickly. We are doing everything in our power to contribute to good solutions. Would you like to stay informed? Then keep an eye on our website or subscribe to our newsletter.