Challenges of the Petroleum Products Market in the Republic of Moldova: Prices versus Quality
Automatically translated summary. The full text is available in Romanian.
Independent Think Tank “Expert-Grup” examines the petroleum products market in the Republic of Moldova, where past attempts at regulation have had limited success. The article argues that public discontent over prices and suspicions about fuel quality call for a broader reassessment of the current regulatory model.
Earlier initiatives focused exclusively on regulating the final price, often with political interference, although the market's shortcomings are much broader and demand sustained effort from the authorities. Any price-moderation format, such as a cap on the trade margin or on maximum profitability, must meet the minimum interests of all parties involved to be sustainable, and should be anchored in the prospect of full market liberalisation.
The basic condition is to eliminate the existing weaknesses in the competitive environment, backed by a more thorough analysis of market practices by the competent institutions. It is also indispensable to ensure that fuels sold meet European standards, through a functioning new quality monitoring system. This would reassure consumers that the price they pay fully reflects the quality of the product they buy.
Recent publications from Energy
See all
Study
Which interventions do (and do not) work to reduce energy consumption at peak hours
The New Energy Compensation System in the Republic of Moldova: Benefits, Challenges and Implications of Direct Payments
