The recent cut-off of Russian gas supplies to Moldova’s breakaway Transdniestria region has led to the closure of all industrial companies, except for food producers, according to officials. This situation has placed significant strain on the predominantly Russian-speaking territory, which has a population of approximately 450,000 and has been reliant on Russian gas since its split from Moldova in the 1990s.
Key Highlights:
Impact of Gas Cut-off:
The closure of industrial enterprises has left the region’s economy in a precarious state, with only food production activities continuing to operate to ensure food security.
Sergei Obolonik, first deputy prime minister of Transdniestria, expressed concerns about the long-term effects, stating that prolonged inactivity could lead to irreversible changes in industrial capabilities.
Background on Gas Supplies:
Ukraine’s refusal to renew a five-year gas transit deal with Russia has significantly affected gas deliveries to central and eastern Europe, including Transdniestria.
Previously, Ukraine allowed Russian gas to transit its territory, generating significant revenue through transit fees.
Local Response:
The local energy company has cut off heating and hot water supplies to households, advising families to conserve warmth by gathering in single rooms and using electric heaters.
Vadim Krasnoselsky, the pro-Russian leader of Transdniestria, indicated that the region has limited gas reserves that could last for about 10 days under restricted usage.
Energy Transition:
The main power plant in Transdniestria has switched from gas to coal, aiming to provide electricity to residents during January and February.
Historically, Russia supplied around 2 billion cubic meters of gas annually to Transdniestria, which also powered the entire Moldova.
Moldova’s Energy Strategy:
Moldova is attempting to reduce its energy consumption by at least one-third and is seeking to import over 60% of its energy needs from Romania.
The head of Moldova’s national gas company, Moldovagaz, stated that they are willing to assist Transdniestria in purchasing gas from European countries, but it would need to be paid for at market prices.
Broader Implications:
Geopolitical Context:
The cessation of Russian gas transit has been described by Ukrainian President Volodymyr Zelenskiy as “one of Moscow’s biggest defeats,” urging increased U.S. gas supplies to Europe.
The Russian Foreign Ministry has attributed the consequences of the gas supply cut to the United States and the Ukrainian government, arguing that it negatively impacts Europe economically.