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The price of Russian gas for Moldova may exceed $700 per 1,000 cubic meters in April, taking into account the change in the proportions of the components in the formula for calculating the price of gas in the warm season.

The price of Russian gas for Moldova may exceed $700 per 1,000 cubic meters in April, taking into account the change in the proportions of the components in the formula for calculating the price of gas in the warm season.

Vice Prime Minister, Minister of Infrastructure and Regional Development Andrei Spinu said this on the air of Jurnal TV channel, noting that at the same time, this should not lead to an increase in the tariff for end consumers, since much less gas is consumed in summer, and under favorable conditions, the tariff may even decrease. “The gas tariff for consumers may be reduced in March if the trend of reducing the purchase price continues, but it is not known what will happen in April, when it will change due to the onset of the warm season. The formula for calculating the price will be reversed. Accordingly, we will have to wait a bit at the beginning of March to see what the trends are for April. Because if we look at the current situation on the market, then in the context of changing the formula, the gas price may rise and we can get a gas price of more than $700 per 1,000 cubic meters. But the plus is that much less gas is consumed in the summer, and the current tariff cannot increase for consumers. On the contrary, it can be slightly reduced to 14-13-12 lei per 1 cubic meter. The only unknown information is the data for April. It is not known what will happen in April, when the formula changes, and the percentage of pegging to spot prices will increase in it. For example, the spot gas price of $800 per 1,000 cubic meters will have a greater influence on the formation of the purchase price for Moldova. But if the downward trend in prices on the market continues, then a decision may be made to reduce the tariff for end consumers. On March 20, we will know exactly what will happen in April, and if the purchase price for gas follows current trends, we will certainly be able to decide that low tariffs should be applied retroactively - from March 1," Andrei Spinu said. Earlier it was reported that the gas price formula for Moldova provides that in the winter period 70% of it is linked to the oil basket, and 30% to spot prices, and in the summer period the ratio is reversed - 30% to 70%. // 17.02.2022 - InfoMarket

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