Electricity tariff delivered to population by energy supply company increases by 5.5 per cent in Moldova

Chisinau, 16 August /MOLDPRES/ – The Board of Directors of the National Agency for Energy Regulation (ANRE) has decided on Friday, August 16, after public debates, to increase by 5.58 per cent the regulated price for electricity supplied to population by company Gas Natural Fenosa Furnizare Energie.

According to the ANRE's information and media communication service, the price of electricity supplied by Gas Natural Fenosa Furnizare Energie to domestic consumers was set at MDL 1.89 for kW/h, compared to current MDL 1.79. For consumers whose installations are connected to the electricity distribution networks of medium voltage (06 – 10 kV) the price was reduced from MDL 1.60 to MDL 1.53 for kW/h and for consumers connected to the high voltage distribution networks (35, 100 kV), it was increased from MDL 1.34 for kW/h at MDL 1.38.

The company submitted a request for a price review on 10 April 2019 and, after the conclusion of the new contracts, submitted an updated request on 10 July.

Gas Natural Fenosa Furnizare Energie SRL requested a regulated price for the energy supplied to population of MDL 1.94/kWh or 8.6 per cent more than the tariff in force, for consumers connected to the average voltage networks – MDL  1.58, and to those connected to high networks – MDL 1.48.

The tariff adjustment is necessary to cover the price increases of the imported electricity, production costs, negative financial deviations accumulated during 2019 and ensure the sustainability of deliveries and payments in the sector, it was mentioned in the public meeting of ANRE. During 2019, the most sensitive and unstable indicator was the exchange rate, which has seen the largest fluctuations in appreciation and depreciation in recent years. Therefore, it was proposed to use the effective exchange rate of MDL 17.58 for $1 in 2019, compared to MDL 16.83 for $1, taken into account when establishing the regulated price in 2018.

The recent adjustment of the tariffs for electricity was operated by ANRE on 15 June 2018, when it was decided, after debates in the public meeting, to reduce on average 10 per cent of the electricity tariff. The price for electricity supplied by Gas Natural Fenosa Furnizare Energie to domestic consumers was set at MDL 1.79 for kW/h.