Moldova faces state of emergency as Gazprom rejects payment delay

CHISINAU, Jan 19 (PRIME) -- Russian gas giant Gazprom has notified Moldova that it will stop supplies of natural gas unless it receives the current payment on Wednesday forcing the country to introduce the state of emergency, Moldovan Prime Minister Natalia Gavrilita said in a news briefing on Wednesday.

“Yesterday Gazprom sent an official letter to Moldovagaz to warn about its intent to stop gas supplies if the payment is not done by January 20. Moldovagaz failed to collect the money, this is why we will hold a meeting of the emergency commission today after which a government meeting will take place,” she said.

“I will put forward a proposal to ask parliament to introduce the state of energy emergency. If my initiative is supported, I will go to parliament tomorrow.”

Moldovagaz CEO Vadim Ceban said on Tuesday said that the company planned to pay $38 million of its $63 million debt for January to Gazprom until Thursday, although it had failed to collect the remaining sum or to obtain a loan to cover the debt.

Moldovan Infrastructure Minister Andrei Spinu said earlier in January that the country faced a new energy crisis as the gas price grew to U.S. $646 per 1,000 cubic meters from $450 in December and was negotiating with Gazprom a delay of the January payment. It also planned to raise a loan to redeem the debt.

Gazprom and Moldovagaz prolonged their long-term gas supply contract for 5 years in October after protracted negotiations. Gazprom said then it agreed to almost all Moldova’s conditions taking into account the situation in the country, but insisted that Chisinau make current payments in full and on time.

End %%md/jst%%