Carnegie Endowment for International Peace
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The Moldovan crisis has demonstrated that Gazprom’s price will not be higher than the price set by the European hubs, which makes Gazprom a supplier like any other, and may be lower, which could make Gazprom a preferred supplier in countries with weaker economies.
The gas crisis could be a moment of truth for Moldova, which has an opportunity to take energy security more seriously, root out sectoral corruption, implement energy efficiency projects, build capacity to operate on the European gas market, and enhance cooperation with Ukraine. Achieving all this would not exclude Russia, but it would make energy a market issue, rather than a geopolitical one.
On February 24, Moldovans vote in parliamentary elections, which are seen by many as critical to the country’s future. The ruling Democratic party and its de facto leader have been accused of abuse of power and facilitating corruption. The EU has suspended its financial assistance program. The party faces a challenge from the Socialist Party led by President Igor Dodon, who is more sympathetic to Russia, and a new pro-European bloc named NOW.
The dramatic arrest of former prime minister Vlad Filat is probably the work of his fiercest political rival utilizing an unprecedented mistake. It will help expose Moldova’s culture of corruption but may put a halt to its integration with the EU.
There is sobering news for the EU in two new polls from Georgia and Moldova, showing that public support for the European project is faltering.
The Ukrainian crisis has shown to the South Caucasian states that deciding between European and Eurasian integration comes at a high price, but that indecisiveness is an even worse path.
The biggest current dangers for Moldova lie not in the unresolved Transnistria conflict, but in domestic Moldovan politics.
There are few if any reasons for Russia to worry about an immediate negative impact on trade and economic interests of signing of the AA/DCFTA by Ukraine, Moldova, and Georgia. The Russian government’s position is more likely to reflect concerns about the loss of geopolitical influence rather than trade and economic relations.
Moldova’s government wants association with the EU, but is committed to the “reunification of Moldova” by means of “re-integration” of Transnistria. The reality, however, is that Moldova can be made whole only if it decided to turn east rather than west.
For the U.S. public and its political establishment, Russia is back as an adversary. Having taken on U.S. power, the Russian state will need to be very smart—and very good—to withstand the confrontation.