Top European bank to provide Moldova with 50 million dollars in emergency situation as to gas supply

Chisinau, 11 December /MOLDPRES/ - The government today signed a financial arrangement with the European Bank for Reconstruction and Development (EBRD) on the providing of a loan worth 50 million dollars for the purchasing of natural gas reserves in crisis situation. The arrangement was signed by Prime Minister Ion Chicu and EBRD Managing Director for Eastern Europe and the Caucasus Matteo Patrone. 

„This is one of the reserve scenarios which we prepare, in order to provide Moldova with natural gas after 1 January 2020, if no agreement is reached on the transiting of gas across the Ukrainian territory. We rely on the fact that the concerned operators, Naftogaz and Gazprom, will reach a joint agreement and we will receive natural via the traditional route as of 1 January, just as it has been so far, but with a notice – much cheaper,” Prime Minister Ion Chicu said.    

The prime minister noted that “during one week, we managed to start negotiations, finish them and this project is approved at the today’s meeting of the EBRD Board of Directors.” “We are absolutely sure that all our cooperation with the European Bank for Reconstruction and Development, with other foreign partners, on the dimension of enhancing the energy security, is an important activity and we will continue in this respect,” Ion Chicu stressed. The PM also said that a project on the construction of the Ungheni-Chisinau gas pipeline had also been approved at the today’s meeting of the Board of Directors.    

The government has in view more scenarios, one of which is the import of gas from Turkey, Bulgaria, Romania and Ukraine. This is “the first scenario, which will be activated, if the traditional one does not work. If there are deficiencies in the case of this scenario, the second scenario will be activated, which provides for the use of the financial arrangement from EBRD. It can be activated whenever there are problems,” Prime Minister Ion Chicu also said, noting that “there will be no problems in the gas supply.”    

The signing of the agreement on the financial arrangement proves once again the willingness of the European Bank for Reconstruction and Development to provide Moldova with support to strengthen the energy security, EBRD Managing Director for Eastern Europe and the Caucasus Matteo Patrone said.  

According to the EBRD’s conditions for the providing of the financing mechanism, a contract is to be signed between Energocom and Naftogaz, which establishes provisions on the organization of a tender by the Ukrainian side, in order to buy a quantity of natural gas, with delivery to Moldova, if an emergency situation appears. The contract will be concluded, if the joint stock company Moldovagaz notifies about the impossibility of the fulfillment by the latter of the obligation to ensure the supply in the last option of natural gas and based on the approval of the financing on behalf of EBRD.