The European Commission and the Republic of Moldova have announced a two-year transformative strategy that will bring Moldova energy independence and strengthen its resilience. With a total funding package of €250 million allocated for 2025, this strategy is to decouple Moldova from its reliance on Russian energy supplies and fully integrate the country into the European Union‘s energy market. It commits the EU to providing direct support worth €100 million by mid-April 2025 specifically for the immediate energy need.

Targeted Support for Transnistrian Region

This policy is to focus on the Transnistria area, where more than 350,000 people were left out in the cold with less heating due to the halt by Gazprom on energy supplies in January. The EU has set aside €60 million in aid toward the region with the hopes of curtailing the humanitarian crisis. The funds the EU will release depend on improvements on human rights and fundamental freedoms of the Transnistrian region. Additionally, the financial assistance will exclude energy-intensive industries to ensure that the aid targets essential needs.

In the short term, the strategy aims to alleviate the burden of rising energy prices, particularly for consumers on the Right Bank of the Dniester River. The plan will fully compensate households for excess electricity costs, covering up to 110 kWh per month until December 31, 2025. The EU will set up a hardship fund to support vulnerable households, ensuring no family faces unaffordable energy bills. Kindergartens, schools, and hospitals will get full compensation for higher electricity costs, ensuring essential public services remain unaffected.

Supporting Businesses and Promoting Energy Efficiency

The EU has allocated €15 million to support Moldova’s agro-food and manufacturing sectors amid rising energy costs. Additionally, €50 million will be mobilized for energy efficiency projects. The strategy focuses on long-term energy security, including infrastructure upgrades, market reforms, and transitioning away from Russian energy. It aims to diversify Moldova’s energy sources, promote renewables, and strengthen ties with the European energy grid, ensuring resilience against future energy shocks.

Also read: EBRD and EU Invest in Vlasinske Hydropower to Boost Serbia’s Clean Energy Transition

Three-Phase Implementation Plan

The EU’s comprehensive strategy for Moldova’s energy independence will roll out in three phases. The first phase, already underway, provides €30 million for emergency electricity and gas supplies. By mid-April 2025, €100 million will help ease energy costs, with Transnistria’s support depending on human rights progress. The third phase focuses on long-term energy independence projects under Moldova’s Reform Agenda, continuing through 2026.

ONEOK, Inc. and MPLX LP have announced definitive agreements for two joint ventures, each building a significant piece of new infrastructure in Texas. One joint venture will develop a large-scale LPG export terminal. Another joint venture will construct a new pipeline that further improves the midstream infrastructure for both companies.

New LPG Export Terminal in Texas City

Texas City Logistics LLC (TCX) will build the export terminal with a 400,000 bpd capacity in Texas City, Texas. ONEOK and MPLX will have 50% of equity in this joint venture; the construction and operating of this facility will be by MPLX. ONEOK and MPLX expect to make equal investments amounting to $700 million to finance the total sum of $1.4 billion. Completion is expected before 2028.

The terminal will process low ethane propane (LEP) and normal butane (NC4), with each partner reserving 200,000 bpd. Leveraging Marathon’s existing infrastructure will provide cost and timing advantages during construction.

New Pipeline to Connect Mont Belvieu Storage to Terminal

ONEOK and MPLX will build a 24-inch pipeline, MBTC Pipeline LLC, linking Mont Belvieu storage to the new terminal. ONEOK will hold 80% of the joint venture, managing construction and operations, while MPLX will own the remaining 20%. The pipeline will cost a total of $350 million, with ONEOK investing approximately $280 million and MPLX contributing $70 million.

Strategic Expansion and Future Growth

ONEOK’s total capital investment for both projects is estimated at $1.0 billion. Pierce H. Norton II, president and CEO of ONEOK, emphasized the significance of the collaboration, stating, “We are excited to collaborate with MPLX on these strategically located projects which expand and extend our NGL value chain providing additional optionality and value to our customers.”

He added, “Given our high expectations for future growth and demand for more energy infrastructure, including export capacity, these projects with MPLX complement our disciplined capital allocation strategy.”      

Also read: TES Advances Green Energy Hub in Wilhelmshaven with New CO2 Export Terminal

ONEOK’s Commitment to Energy Infrastructure

Being the largest midstream operator, it offers gathering, processing, fractionation, transportation, and storage services through the 60,000-mile network of pipelines across the country. ONEOK’s pipeline system brings natural gas to meet domestic demands and supplies needed energy around the world by transferring refined products as well as crude oil. ONEOK is one of the largest energy infrastructure companies in North America, providing reliable, responsible energy solutions for a rapidly changing world.