Gazprom has announced it will halt natural gas supplies to Moldova starting January 1, 2025. This decision comes after Moldova repeatedly failed to pay for gas deliveries, violating the terms of the contract.
Payment Issues Lead to Supply Halt
Gazprom informed Moldovagaz, one of Moldova’s largest energy companies, about the breach. The company pointed out that Moldova had not met its payment obligations, which led to the violation of the contract.
According to Gazprom, “From 8:00 am Moscow time (5:00 a.m. GMT) on January 1, 2025, Gazprom will reduce natural gas supplies to zero.” The company clarified that this restriction would remain in effect until it notifies Moldovagaz otherwise.
Legal Action and Damages
Furthermore, Gazprom emphasized that it reserves the right to terminate the contract. In addition, the company intends to pursue legal action and seek compensation from Moldovagaz for any damages and penalties arising from the breach.
Energy Crisis Fears in Moldova
Meanwhile, Moldova, which became fully dependent on Russian gas after the 2022 invasion of Ukraine, has faced significant energy challenges. In late 2022, the country experienced power outages due to Russian strikes on Ukraine’s Kuciurgan plant.
In response, Moldova’s parliament declared a state of emergency in the energy sector in December. Prime Minister Dorin Recean warned that Russia might use gas supply cuts as a tool to destabilize the country, potentially leaving citizens without heat and electricity during the winter months.