Russia: "If Moldova Does Not Pay Gas Fees, Supply Will Be Cut Off Within 48 Hours"

[Image source=Reuters Yonhap News]

[Asia Economy Reporter Hyunwoo Lee] Russia has recently warned Moldova, with which it is experiencing diplomatic conflicts over natural gas issues, that it will cut off gas supply within 48 hours if the payment for the natural gas contract signed last month is not made. Along with the troop buildup near the Ukraine border, concerns are rising that military tensions across Eastern Europe will escalate further.

According to AFP on the 22nd (local time), Russian state-owned gas company Gazprom stated in an interview with Russian media NTV, "The payment date under the contract signed with Moldova last month is the 22nd," adding, "If payment is not made, gas supply will be cut off within 48 hours." The amount Moldova is required to pay is reported to be approximately $73 million (about 86.7 billion KRW).

Previously, Gazprom and Moldova had difficulties renewing the contract after the existing gas supply agreement expired at the end of September. Amid soaring natural gas prices, Russia demanded a contract extension with much higher gas prices reflecting the price increase. Russia also demanded payment of about $700 million in accumulated unpaid gas fees from Moldova over the past several years to sign a new contract.

Subsequently, both sides reached an agreement at the end of last month and have been supplying gas under the new contract since the 1st of this month. The gas supply price was agreed to be set quarterly, considering oil and gas prices over the previous nine months. Gazprom emphasized, "We are extremely disappointed that Moldova has not fully fulfilled its contractual obligations."

Known as the poorest country in Eastern Europe, Moldova is already facing a severe energy crisis due to the surge in gas prices, with home heating cut off and gas supply to businesses disrupted. The government has even declared a national emergency due to the gas shortage crisis.

The international community is criticizing Russia for using gas as a weapon to pressure the pro-Western Moldovan government. Moldova, which was part of the former Soviet Union, has seen intensified diplomatic friction with Russia since a pro-Western reformist government took power last year and sought to strengthen relations with the EU.

This content was produced with the assistance of AI translation services.