Machines of former luxury: Transnistrian factories are idle due to lack of gas
In Transnistria, most of the previously closed 40 enterprises are idle due to gas shortages, the Foreign Ministry of the unrecognized republic told Izvestia. This also applies to key industries. Moreover, work may not be restored at all, despite fuel supplies from the EU. Trade turnover has already decreased due to downtime, and tax revenues to the budget have collapsed to a minimum. At the same time, Moldova is also suffering from the energy crisis: prices are rising in the republic. The OSCE is monitoring the development of the situation on the two banks of the Dniester, the organization told Izvestia. About the crisis in the PMR and the lack of European assistance — in the material of Izvestia.
Transnistria does not have enough gas
In Pridnestrovie, despite the start of gas supplies, most of the 40 suspended enterprises are idle, the Foreign Ministry of the unrecognized republic told Izvestia.
— Since January, about 40 Transnistrian enterprises have suspended operations due to lack of gas supplies. Most of them continue to be in forced downtime, including such industrial giants as the metallurgical plant and cement plant in Rybnitsa, the Tirotex textile factory and others.
It is still possible to resume the activities of enterprises. However, due to the specifics of production processes and the gradual outflow of qualified personnel, the situation is already close to the fact that it will soon be too difficult to restore work. So far, all resources are being used to meet the basic needs of residents. Only last week, it was possible to restore the supply of hot water to the population, the Foreign Ministry said.
It is obvious that the current volume of fuel is not enough to meet all the needs of the unrecognized republic. In order to maintain an acceptable standard of living, Pridnestrovie is working to improve the energy efficiency of social facilities, transfer heat supply enterprises to alternative fuels, and use renewable energy sources. In addition, Tiraspol is developing the introduction of customs and tax benefits for those economic agents who will invest in the development of green energy in the PMR. "We hope that in the future this will help free up more gas resources for the needs of the Pridnestrovian industry," the Foreign Ministry added.
The crisis in Transnistria began after the termination of the transit of Russian gas through the territory of Ukraine on January 1. A real humanitarian catastrophe has unfolded in the PMR. More than 1.5 thousand high—rise buildings were left without heating and hot water, and more than 70 thousand private houses were left without gas. Heating was also turned off in 131 schools and 147 kindergartens. Almost all industrial enterprises, except food ones, have stopped working.
Currently, the PMR receives gas from Hungary through a loan provided by Russia. Chisinau allowed the transit of gas to the unrecognized republic, but on certain conditions: the release of people whom Moldova considers political prisoners, the preservation of Moldovan public television in the broadcast network and the removal of control posts established in 2022 (11 out of 33 posts are still active).
Nevertheless, not enough fuel reaches the PMR, as the Moldovan side partially blocks its supply. From February 1 to February 10, Pridnestrovie received gas purchased with funds from an emergency EU grant. The association was ready to provide a new package of assistance, but Tiraspol refused. The bottom line is that it implied the fulfillment of a number of conditions. It is reported that they concerned the observance of rights and freedoms in the PMR.
— The Moldovan side has stated that they will not allow gas to pass if it goes, including for the needs of industry. They understand that gas supplies make Transnistrian producers more competitive. Therefore, they are ready to redirect blue fuel only for the needs of the population in order to prevent a humanitarian catastrophe," Igor Yushkov, a leading analyst at the National Energy Security Fund and an expert at the Financial University under the Government of the Russian Federation, tells Izvestia.
When the heating season ends, the conflict may flare up with renewed vigor. Either Moldova will reduce the transit quota, or leave it, but then electricity generation will go to the activities of industrial enterprises. There will probably be a new wave of negotiations, the expert believes.
Energy crisis in Moldova
Moldova is also facing an energy crisis after the termination of transit through Ukraine. Pridnestrovie received gas from the Russian Federation to operate, among other things, the Moldavian GRES, which provided the entire republic with electricity, as well as covered up to 80% of Moldova's needs for this resource. At the same time, gas supplies to the PMR stopped not only because of Ukraine's refusal to provide transit. On December 28, Gazprom announced that it was ceasing to supply fuel to Moldova due to debts to the company in the amount of $709 million. Chisinau refuses to recognize the debt for Russian gas in this volume, expressing its readiness to pay only $9 million.
The energy crisis has not only failed to bring the two banks of the Dniester closer, but has also intensified political differences. For example, in order to resolve the gas supply situation, Chisinau demanded the withdrawal of Russian peacekeepers from the PMR: Moldovan President Maia Sandu stated that only after that she would ask Western countries to help Tiraspol.
Since December, gas prices in the republic have increased by almost 28%. This provoked an increase in the cost of other goods. The local National Bank expects inflation to rise to 7.3% in 2025. In 2024, this figure was 7%.
The discontent of the population is also growing against the background of the fact that Moldova has been experiencing an energy crisis for a long time after moving away from the EEA and, as a result, losing access to a market of more affordable energy resources. There have been repeated protests in the republic because of this. This is especially disadvantageous for Maia Sandu's ruling PAS party ahead of the parliamentary elections in 2025. From the point of view of Moldovan legislation, parliamentary elections are the most important in the country. And the rating of the ruling party began to fall at the beginning of the year. Therefore, it is possible that this year the PAS has every chance of losing, having lost the majority.
The situation in the energy sector in Moldova and the PMR is closely monitored by international organizations, including the OSCE.
—The OSCE Mission in Moldova, which remains the organization's field office in that country, monitors developments on both banks of the Dniester River and maintains regular contacts with the authorities in Chisinau and Tiraspol on this and other topics," the organization told Izvestia.
The head of the mission maintains regular contacts with key interlocutors, encouraging Moldova and Pridnestrovie to promote a political settlement and find solutions to humanitarian, economic, social and other problems between the parties, they added.
But apparently, Europe is still unable to provide real assistance in combating the energy crisis on the two banks of the Dniester. Prices are still rising in Moldova, and instead of solving pressing problems, Chisinau is exerting political pressure on Tiraspol. As a result, the PMR continues to face gas shortages.
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