VIENNA — On a
frosty morning in Slovakia's capital Bratislava, cameraman Peter Lahky
expressed his concerns over a looming energy crisis after Ukraine halted
Russian gas transit to Europe, fearing that higher energy prices would further
add to his financial burden.
Lahky told Xinhua that he has been worried about the recent
forecasts by Slovakia's Regulatory Authority for Network Industries, the
country's energy regulator, which projected household gas prices to increase by
15 to 34 per cent in 2025 without state energy assistance.
This means his family would have to pay some 300 euros (310
US dollars) more than in 2024 for gas this year, and it remains unclear whether
the Slovak government will continue providing energy aid in 2025, he said.
"It's not a small amount, so I'll be more careful with
my wallet," he added.
Lahky's concerns are shared by many in central and eastern
Europe, a region which has long heavily relied on Russian gas supplies but now
has to seek costlier alternatives after both Ukraine and Russia announced on
Wednesday the stoppage of Russian gas transit via Ukraine.
The stoppage followed Ukraine's decision not to renew a 2019
gas transit agreement between its state-run Naftogaz and Russia's Gazprom,
which expired on December 31, 2024.
Data showed that in 2023, roughly 15 billion cubic meters of
Russian gas were transported via Ukraine to Europe, accounting for around 5 per
cent of Europe's needs. Following the halt of the Ukraine transit, the
TurkStream pipeline under the Black Sea becomes the sole remaining route for
transporting Russian gas to Europe.
The halt of the Ukraine transit is dealing a major blow to
Moldova, which imported about 2 billion cubic meters of gas annually from
Russia via Ukraine. Residents here worry not only about soaring gas prices, but
also about possible energy shortage.
Tirasteploenergo, an energy company in Moldova's
Transnistria region, announced on Wednesday morning the suspension of heating
and hot water services due to "temporary cessation of gas supplies"
to the company's heat-generating facilities, barring healthcare facilities and
residential care institutions.
Noting that restoring the services could take up to two
weeks, the company advised its customers to seal gaps around windows and
balcony doors to retain heat and to gather all family members in a single room,
Xinhua news agency reported.
In mid-December, the Moldovan government already decided to
impose a 60-day national state of emergency to address risks arising from an
expected cut-off of Russian gas supplies.
Starting Wednesday, the Moldovan government has also
implemented measures to slash electricity consumption by at least 30 percent,
including limiting street lighting, stopping the operation of escalators in
some public and commercial buildings, and changing the working hours for
high-energy-consuming areas.
The country has also planned to increase electricity imports
from Romania and has signed a memorandum of understanding with Bulgaria for
emergency gas assistance.
Tatiana Savva, a finance and public policy expert, said in
an opinion piece on Moldova.org that high energy costs have long affected
Moldovan households and companies and discouraged investments; in the absence
of a quick solution to the current crisis, the economic consequences could
include the stagnation of strategic investments, reduced economic activities
and a decrease in the competitiveness of the local market.
In the more affluent Austria, public sentiments are more
optimistic as the Austrian government has repeatedly assured its people that
the country has built up adequate gas reserves and made thorough preparations
for a switch to alternative suppliers.
Leo Lehr, Deputy Head of the economics department at
Austria's energy regulator E-Control, has told local media that he does not
expect significant gas price increases like in 2022 as the halt of Russian gas
supplies via Ukraine has been anticipated, but the gas prices could be more
volatile at the beginning of this year.
