Moldova will purchase and store gas in the EU or Energy Community member states until October 1 of each calendar year in the amount of at least 15% of the average annual consumption in our country over the last 5 years.
This obligation is stipulated by the amendments to the Law on Natural Gas, approved by the Moldovan government at a meeting on Wednesday. Energy Minister Victor Parlicov said that over the last 5 years, Moldova (the right bank of the Dniester) has consumed on average about 1 billion cubic meters of natural gas per year, which means that these reserves will amount to about 150 million cubic meters. This volume also includes 45.6 million cubic meters of reserves for exceptional situations. The level of reserves in the amount of 15% of consumption must be ensured by the holder of the storage obligation appointed by the government starting from October 1, 2024. The increase in the volume of stored gas is in line with EU regulations and is intended to guarantee the security and continuity of gas supplies. In addition, the amendments to the law transpose the European directives on the obligation of the operator of the natural gas transmission system in Moldova to ensure a permanent two-way physical capacity for the transportation of natural gas on all connections with neighboring countries in order to guarantee the security of natural gas supplies, to establish a procedure for taking a coordinated decision on the method of cross-border cost allocation, to create the legal framework necessary for the government to adopt a new Regulation on the exclusive allocation of the costs of the natural gas transport system in Moldova. The government intends to impose an obligation on the natural gas supplier or trader with experience in natural gas operations and storage to store a certain volume of natural gas. The exact volume will be determined by the Government. With this measure, the Ministry of Energy aims to mitigate natural gas price shocks. Gas is purchased during the summer, when prices are generally lower, for use during the winter, thereby providing consumers with affordable and predictable prices. The holder of the storage obligation will purchase natural gas through a competitive procurement procedure or in accordance with the rules applicable to natural gas markets on the trading floors on which natural gas is purchased. In exceptional cases, the holder of the storage obligation may purchase natural gas under direct contracts, provided that it demonstrates to the National Energy Regulatory Agency (ANRE) the competitiveness of the purchase price. Another provision introduced by the amendments to the Gas Law concerns the so-called equity component, which involves a one-time payment charged to the consumer in case of a change of supplier and in case the supplier's financial deviations exceed 5% of the regulated revenue amount. The amendment is intended to eliminate ambiguity in the current language and to discourage the transition from a regulated market to a free market or the simultaneous award of two contracts, one to a provider subject to a public service obligation, as occurred this spring. Currently, some of the provisions adopted apply during a state of emergency, so the amendment to the law incorporates them into the basic legal framework. The amendments to the Law on Natural Gas were developed with the support of the United States Agency for International Development (USAID) under the Moldova Energy Security Activity and the European Union under the project "Addressing the Impacts of the Energy Crisis in the Republic of Moldova", implemented by UNDP in Moldova. // 01.11.2023 – InfoMarket
