Government could increase compensation, Moldovagaz insists on tariff adjustment
The government is analyzing the possibility of granting higher compensation, in the context of a possible increase in natural gas tariffs, starting December 1. Although he refused to give an estimated figure, the Minister of Labor and Social Protection, Alexei Buzu, reiterated the Government's commitment to supporting citizens, as it has done since 2022, when energy prices rose sharply due to the war in Ukraine. While officials warn that a "hard winter" awaits us, Vadim Ceban, President of Moldovagaz, expressed confidence in a favourable decision from ANRE.
"We will examine ANRE's decision on tariffs and make these calculations. We will decide within the government and communicate to all citizens how we are going to help them and stand by them this winter. (…) We will see how many applicants for compensation are heating with gas, we will understand the situation related to income, family members, etc., and we will simulate what the impact of tariff increases would be, after which we will understand what the cost will be and we will communicate it. We are technically prepared, we have already proved it. We have all gone through an extremely complicated winter in 2022. I am sure that we will get through this winter well too”, said Minister Alexei Buzu.
How Moldovagaz argues for the need to increase the gas tariff by almost 40%
Moldovagaz justified its request by increasing the purchase price of natural gas on international markets, in the fourth quarter, by over 31%. The costs of gas transportation services also increased by over 21 per cent; by almost 2% - the costs of distribution services, and those of supply - by 2.6%, says the company. Postponing the price adjustment would lead to the accumulation of major financial losses, which could affect Moldovagaz's ability to honor its contractual obligations, warns ANRE, which is due to decide on November 29 whether or not to grant the company's request. In the critical winter months, the source writes, this risk could compromise the security of natural gas supply.
"Adjusting prices in an emergency reduces these risks, protecting consumers and ensuring the financial stability of the supplier"*, ANRE states.
Contacted by Teleradio-Moldova, Vadim Ceban stated that Moldovagaz will submit a repeated request to ANRE, if the latter decides on Friday not to increase tariffs. "We will address it once again, only with the application of tariffs from January 1. (…) The market has its rules: it is dynamic, it changes, it is volatile, and we have the dynamics when prices increase. There are different factors and you cannot predict or prevent them with precision. We did our job and ensured this year all the necessary volumes until December, inclusive. It is not right to look for the guilty now, we must act based on the current situation. The market is very unpredictable and, respectively, I believe that we made the purchases on time”.
Vadim Ceban expressed his hope for a favourable decision from ANRE, taken based on the law and according to the methodology. “I believe that the ANRE decision, if it is made, the difference will not be large, because the basic factor that influenced it is the increase in the purchase price”.
We remind you that Moldovagaz requests an increase in the gas tariff from 13.12 lei to 17.46 lei (with VAT included), starting on December 1. ANRE was to examine the request in the meeting scheduled for today, but the subject was postponed to November 29. Prime Minister Dorin Recean and the Minister of Energy, Victor Parlicov, have already warned during the day that "a tough winter" awaits us and that the country is counting on the support of external partners to face the challenges. In parallel, the Parliament announced that it will organize public hearings next week to assess the situation in the energy sector and the reasons invoked by Moldovagaz.
"I understand why many people are confused, and dissatisfied, because some statements were made a few months ago, and now increases are being announced. We will try to solve the situation, to come up with answers for people, to see how we can prevent these sudden fluctuations in time," said the chairman of the parliamentary committee, Radu Marian, in an interview with Moldova 1 TV.
