Igor Avrenev, editor-in-chief of TSV:
Good afternoon, Vadim Nikolaevich. We would like to start today with the most important issue – energy. Why is there such a situation with gas and electricity now? What's happening? Why did all this happen?
Vadim Krasnoselsky, the PMR President:
It is impossible to characterize this whole situation in one day or one month. Unstable relations between Gazprom and Moldovagaz have been developing for more than one year in fact. There were constant accusations of each other, some conditions, pricing, defaults and so on. By and large, as I see it, everything that is happening today is the result of relations between Gazprom and Moldovagaz. It is impossible to say who has more truth there, who has falsehoods. This is a commercial relationship. We do not have the full amount of information to say what is really going on in these relationships. Pridnestrovie has commercial relations with Moldovagaz, but we are not negotiating with Gazprom regarding the conclusion of contractual obligations, they exist between Moldovagaz and Gazprom. We are outside these agreements. Therefore, it is difficult to say who is to blame for this situation. Gazprom has cut supplies to Moldovagaz by 30% of gas volumes since October 1. This also of course affected Pridnestrovie that is we began to receive 30% less. This is a lot actually. We were not notified in advance at the same time, we could not physically prepare for this. In addition, a contract was signed for the supply of electricity between the Dniester GRES and Moldova. We were forced to fulfill these contractual obligations. We did it. We started austerity – from October 1 in fact. We had to limit the amount of gas supplied to industrial enterprises. The Moldavian Metallurgical Plant, the Rybnitsa Cement Plant and a number of other facilities were not working at full capacity that time – by 25%, 50%, 60% by category of enterprises. We had an acute shortage of gas by the 20th of October. Meeting of the Security Council was held and a decision was made to introduce a state of emergency in the field of the economy. We have limited the supply of gas to the Moldavian GRES and have begun to produce, generate electricity much less than 70% under the previously concluded conditions. Why is that?
I as the President and everyone is in solidarity with me: both the Government and the Supreme Council – we allocate three lines of gas consumers. The first is citizens and social objects. It's a priority, it's first. The second line is the industrial facilities of the Pridnestrovian Moldavian Republic. The third line is the GRES in Dnestrovsk. Depending on the amount of gas, we will first satisfy the needs of the first line, that is citizens and other social facilities of course – schools, kindergartens, hospitals, and so on. The second line is industry. Only the third stage is the GRES in Dnestrovsk. This is right, because we must take care of the population of Pridnestrovie, the work of our enterprises and the work of the Dniester State District Power Plant of course.
Even worse things happened next. Moldovagaz, and not Gazprom, has already limited the supply of gas to Pridnestrovie since November 1. As I said earlier, there are contractual obligations between Moldovagaz and Gazprom, according to which Moldovagaz is obliged to supply a certain amount of gas to Pridnestrovie. The share of Pridnestrovie is clearly enshrined. Moldovagaz does not fulfill these agreements with Gazprom and cuts our quota. Pridnestrovie needs approximately 100 million cubic meters of gas for domestic consumption in fact (these are two lines – without the GRES in Dnestrovsk, this is the population, social facilities and industry). What Moldovagaz is doing: Moldovagaz supplies 69 million cubic meters there that is it takes 31 million cubic meters of gas from us. This is a perfidious decision, unilateral and illegal. This is an illegal withdrawal of gas from the territory of Pridnestrovie. This is how these activities can be described.
What's then? We have an acute shortage of gas, a very deep economic crisis. These are natural consequences of such decisions. We switched to austerity. Yes, citizens and social facilities are primarily, but we must save. So these decisions were made. Hot water is served from 6:00 pm to 9:00 am. We had to send the kids on vacation for another week to save electricity. The savings are significant, taking into consideration the number of schools in Pridnestrovie. We have limited the movement of electric vehicles, shortened the working day, reduced street lighting. We were forced to stop our large industrial enterprises. This is the RCC, this is MMZ, Tirotex, a brick factory, a number of other industrial facilities are on the way, that we will stop or transfer to night shifts. Electricity consumption is less at night, people are asleep. I ask citizens to understand this. This is a forced measure in response to perfidious actions on the part of Moldova.
Another very interesting detail. When Gazprom stopped supplying 30% of gas to Moldovagaz, Moldova also felt a deficit. Moldova needs about 75 million cubic meters of gas per month to meet its needs. What has Moldova done? Moldova took away the gas that was supposed to be delivered to the GRES in Dnestrovsk, disrupting the fulfillment of the contract between the GRES and Moldova. The initial volume would be enough for them to fully meet their needs – both the heating season, and the operation of industrial facilities that run on gas, and for other purposes. That is, this gas was enough for them in principle. They took away the gas that they absolutely do not need. 31 million cubic meters of gas that was taken from us out of the required 100 million, they don't really need it. They have it in surplus. They don't use it. What are they doing with it? They accumulate it in a gas pipe that goes to Iasi, using it as a storage cylinder. I assume that they drive this gas into Ukrainian gas storages that is they accumulate gas as if for a rainy day or for other purposes. It’s like they took away the piece of bread we need, but they don’t need it in order to live, you understand? This is what Moldova actually did.
Igor Avrenev, editor-in-chief of TSV:
They also need cheap electricity. Or do they not want cheap?
Vadim Krasnoselsky, the PMR President:
This is a commercial issue again. Maybe they pursue other goals that are higher than the goals of cheap electricity? It is possible. They suffer of course. If they took electricity from us at the Dnestrovsk GRES for 62.5 dollars per 1 MW, now they take 130, 150, 180 at the average price – the figures are different, but in any case more expensive. The Dnestrovsk GRES has been a traditional reliable supplier. I still see that some Moldovan leaders want to use Pridnestrovie as a hostage in relations with Russia, take advantage of the fact that this is a territory densely populated by the Russian-speaking population, Russian citizens, they hope that Russia will not abandon its own people and will be forced to give Moldova cheap electricity, cheap gas under the contract in the required quantity. This is the use of the situation. The situation, as they probably think, is pushing the Russian leadership to make decisions. This is a crisis of course. We need to survive. This is how I see the whole problem.
Some Moldovan politicians surprise me when they say that Pridnestrovie should save, citizens should save. They dictate to us how to save money. Since Moldovan politicians take on such a right, let me also teach Moldova how to save money –not at the expense of people. We will not save at the expense of people. We will achieve savings through our industrial enterprises, through our monopolies in the energy sector and distributed networks. These enterprises will operate with zero profitability so that their profits are not accumulated at the expense of citizens. We have savings options, we do it. All the latest actions speak about it. We save. Citizens should save – within reason of course. Moldova can save. I'll give you some interesting numbers. You know that electricity in Romania is cheaper than in Moldova, and it was cheaper before the 1st of November. When we had a contract with Moldova, we supplied them with electricity for 62.5 dollars to provide 70% of the market. 30% they took for 90 dollars in Ukraine. That is, the average price was 75 dollars. Electricity for citizens in Moldova was more expensive than citizens paid for it in Bucharest, in Romania at the same time. Electricity for Moldovan citizens today is almost twice as expensive as in Romania from November 1. Why? I explain. The thing is that there is an intermediary in Moldova – the so-called distribution networks, whose shares are owned by a European company. Grids wind up the margin, deliver very expensive electricity to the consumer, while making huge profits. For comparison: the Dnestrovsk GRES is a team of more than 2000 people, they generate electricity, this is a whole production, a huge station – it receives three times less profit than an intermediary that delivers cheap energy from the Dnestrovsk GRES to the Moldovan consumer. Here's an opportunity to save money. These are state-owned enterprises in Romania as far as I know and they operate like in our country with zero profitability that is they do not earn at the expense of people. They also save money, but at the expense of their structures and networks, as we do, so our citizens will pay what they pay, but we will amortize this difference at the expense of our natural monopolies in the energy sector. It is not the case in Moldova. Intermediaries earn there, and citizens pay for it, although Moldova has a lot of tools, including the state of emergency in the field of economy and energy. What problems? Limit the wild profit and let people breathe. We don't need to advise. We know how to save. He most important principle is not in public, which is what we do.
Victor Savchenko, editor-in-chief of the First Pridnestrovian TV channel:
Vadim Nikolaevich, you say that the gas that Moldova takes away from Pridnestrovie is driven into storage facilities, this is all the surplus, which then leaves in an unknown direction, and so on. This is evidence of some kind of preparation on the part of Moldova, and people ask many questions of the authorities in social networks: where is our preparation, where are our storage facilities? It would be possible to save gas in advance and then use it. Or why is there so little coal for the state district power station? We are now talking about what is enough for two – two and a half months. It is clear that these are the minimum terms, and in the future a serious problem may arise. What about our preparation?
Vadim Krasnoselsky, the PMR President:
I would advise citizens to be very careful in their advice, not knowing the topic, not to give advice to those who understand this.
Let's start with our station – the Dnestrovsk GRES. There is one small nuance. This station can only use Donetsk coal. The coal that is there for two and a half months was delivered before 2014. There is probably no need to explain why it is impossible at the moment to supply coal from Donetsk to this station. You need to know this and not speculate, do not blame the authorities for not doing something. Our station can only operate on this coal. I'm not talking about the price of it today. The price of coal naturally will determine the price of electricity. It is physically impossible to put it in any way now. There is no logistics. Donetsk is under fire.
As for storage, it's even easier. All states in the post-Soviet space use Soviet gas storage facilities. Nobody built it here, it cannot be built on the territory of Pridnestrovie. This is one moment. Moldova stores gas in Ukrainian storage facilities. We cannot afford this. The thing is that Moldovagaz and Gazprom among other things always gave us a gas limit for a certain period as much as we need for the current need even if there was a storage facility. We never had extra gas. When we had gas transit (and we have not had it for four years), theoretically it was possible to withdraw, pay, and negotiate. I repeat, there has been no transit through Pridnestrovie to Europe for four years. We were not given extra gas, its strictly limited, there are no storage facilities, so there is no need to blame anyone, dear gentlemen. Please, don't embarrass yourself with your advice. The authorities are in a difficult situation, it is really hard for us to solve the seemingly impossible, I assure you. 69 million cubic meters of gas is really not enough for the needs that exist today. We make decisions – somewhere unpopular, forced decisions.
Another thing I would like to draw your attention to. You do not forget that hostilities are going on in the neighboring state. There is restlessness in Moldova. We are in the middle. Does anyone really think that one can easily go through this hardest path in history? It is necessary to prepare for different situations of course. It will appear. I am convinced that this is not the last difficult situation. First there were terrorist acts. Do you remember how nervous the situation was? Now there is an energy problem, this is also understandable. The whole world is at war in fact. You can call it a proxy war, World War III, whatever. All this will result in a huge economic crisis, an energy crisis. It is necessary not to condemn, not to reproach someone. I assure you, we predicted different options. I held meetings, six months ago I said that this was possible. By the way, I sent my forecasts to the Russian Federation, those who make decisions. I talked about the possible consequences. I prepared our Government, the Supreme Council for this situation. I assure you that the Government and the Supreme Council, the executive branch more of course acted very competently, because they knew what to do. We had a plan. We had no fuss, no panic. We knew what to do. There were predictions. It is easy of course to give advice on a warm couch without knowing the exact situation and topic.
Igor Avrenev, editor-in-chief of TSV:
Vadim Nikolaevich, is there any information why Gazprom reduced supplies? Why did everything happen like this, at one moment? What is the reaction to our letters? Have we addressed Moscow with this issue?
Vadim Krasnoselsky, the PMR President:
As for the question why Gazprom did this, I say again that these are commercial relations between Gazprom and Moldova. These are relations between Russia and Moldova by and large. I will not evaluate although there are certain thoughts, assumptions, knowledge, of course, but nevertheless: this is their relationship, this is the result of their relationship. As for the reaction to our letters, then we sent letters not only on November 1 of course, we sent the letters in October, and in September, and in August, and in July. We send the letters all the time. First, I warned about this situation that such a development of events is possible. Now we are already talking about the problem that exists, of course. Even the shutdown of our industrial giants means collectives, people, taxes, and the budget. How will we pay pensions, salaries? We fulfill all social obligations, it is really hard for us. Naturally, we are asking for help in solving this problem in terms of shortfalls in our budget revenues and tax revenues. Objectively, we are not to blame for this, you understand? We are, roughly speaking, a victim of the actions of certain structures in Moldova. The restriction on the part of Moldovagaz led to the latest crisis, we must somehow respond to this of course. So far, I have not seen any decisions from the Russian Federation. Probably, some consultations are going on, I assume that meetings will be held with the adoption of certain decisions. But so far I don't know about the decisions.
Victor Savchenko, editor-in-chief of the First Pridnestrovian TV channel:
Vadim Nikolaevich, now everyone is learning to save money. It is clear that enterprises are standing still - this is a separate issue altogether. There are some difficulties for citizens - hot water is on schedule, people understand that they need to save electricity. As the Minister of Economic Development says, he is even touched by the result that we have, that is, people have responded to this call and have begun to really save money. Maybe, of course, as long as the reason is that it's warm. Let's see how it goes. We talked to people, saw their reaction. Everyone is ready to save money, they understand the complexity. But these are only the first problems so far, and they are not so big. How long will we last? You say there is a reserve for paying pensions, wages, and so on. But there are enterprises, it is clear that there will be a colossal reduction in income. How long can we endure this?
Vadim Krasnoselsky, President of the PMR:
I will not predict in time. We are working to avoid these problems and get everything back on track. Any problem can be solved if desired. But we are still dependent on the decisions of completely different authors, that is, not purely Pridnestrovian decisions, but external ones, and we are trying to influence them. As for the inside, of course, I am grateful to the citizens for understanding the situation that has developed. There is understanding, people still realize that we are overtaken by an energy crisis and we need to somehow survive in it. I don't see catastrophic consequences for citizens now. In fact, there is heat in houses, there is heat in all social facilities, and so on. We are now making decisions on savings, but not on shutting down in full. I would very much not like there to be a situation that will be connected with the fact that there will be a complete lack of gas. Especially in winter. It's very hard actually. By the way, we experienced this, remember? We didn't have gas for a couple of weeks in the spring, how hard it was for the citizens. Then it was spring, and now we leave in December. We would like to avoid this situation, and we are doing everything in our power, I assure you, in order to prevent fatal consequences. I have always told citizens that I will tell the truth as I see the situation as it really is. I'm not going to hide any problems from the population. The people must know. Even those bloggers who sit in the networks, out of ignorance, give incomprehensible advice, an incomprehensible reaction. And there are simply provocateurs who hate Pridnestrovie, wish the worst for Pridnestrovie and take advantage of the difficult situation in order to undermine stability here, to force the authorities to make some inadequate decisions. But this will not happen. All decisions will be correct. Once again I say, there is a sequence. The citizens of Pridnestrovie and all social facilities will be provided first. Everything else - later. As for savings, a lot of people ask questions, but will there be an increase in energy prices? We do not see a causal relationship between the amount of gas supplied to Pridnestrovie and the increase in energy prices. Therefore, we are not considering an increase in energy prices for citizens today. Everything will remain as it is today. Although this is difficult, of course. That is why we encourage to save. In any case, the price component for energy carriers should be commensurate with the incomes of citizens. It is an important factor. We have this ratio.
Igor Avrenev, editor-in-chief of TSV:
Vadim Nikolaevich, limiting gas supplies to Pridnestrovie, Moldova understand (I mean the politicians who make this decision) that this will lead to the shutdown of our enterprises, and thousands of people, if not tens of thousands of people will be left without wages, no work. All these enterprises pay taxes, bring profit to the state. These are kindergartens, militia, the Road Fund, etc., that is, the budget. They cannot fail to understand that this will lead to colossal cuts in the budget of Pridnestrovie. What's next for salaries? How do you think, to what extent was this conscious decision of Moldova? How much did they understand what this would lead to?
Vadim Krasnoselsky, the PMR President:
You know, I still think that there are not stupid people with common sense in Chisinau, they perfectly understand and evaluate everything. They did it with their own intent - so that the enterprises would be stopped, so that people would be left without a job, without a salary, so that there would be a factor of instability. You have to export the excitement. Why do people go with demonstrations only in Moldova? It is necessary that people in Pridnestrovie go like this. That is the intent (one of them). Besides, it is necessary to show the difficult situation in the economy of Pridnestrovie and once again blackmail the Russian Federation. I spoke about it. We were simply taken hostage by the situation. This is actually blackmail. You can kill two birds with one stone here: leave people without work, stop our enterprises so that we become weaker in the economic sense of the word, and blackmail Russia. Perhaps this is the whole intention. It is difficult for me to imagine that this decision was ill-conceived, unconscious, or that some official made it without the advice of top management – so took it and decided it himself. It is not true. Such decisions are not made by one person in a dark room. Such decisions are made after relevant meetings, conclusions, forecasts, etc. That's how it's supposed to be in general. We have this: when we make decisions, we think through, discuss. Therefore, I think that all this was weighed in advance, thought over and accepted in order to destabilize the situation in Pridnestrovie and blackmail the Russian Federation. Please note that the so-called political scientists who hate Pridnestrovie, hate the power of Pridnestrovie, immediately arrived, give interviews in Chisinau and again undermine the situation. They were invited immediately, on the second day. What is that, by chance? No. This is a program. I say it again, don't give up! You are a tool in the hands of hostile forces, those who want to destroy the state, including you! Don't give in! Please, think! It is necessary in this situation to unite and counteract the threat.
Victor Savchenko, editor-in-chief of the First Pridnestrovian TV channel:
Vadim Nikolayevich, the topic under discussion is the optimization of medicine. Many people, when they hear the word “optimization”, immediately think of layoffs and liquidation of hospitals, clinics, maternity hospitals, and so on. What is the relevance of optimization? Why now?
Vadim Krasnoselsky, the PMR President:
Health care is an acute topic for any state – relevant, sick, voluminous, financially costly. There are statements in the networks, public organizations gather, discuss something. Most of the statements are speculative. We have been optimizing health care since 2018 in fact. “Optimization” comes from the words “optimal solution”, “reform” is a more complex concept. Let's discuss what is the optimal solution?
Take a look at what we have been doing since 2018. We began to actively develop rural medicine. That is, we began to repair, build new feldsher-obstetric stations and rural outpatient clinics. Network development is also optimization in terms of the optimal approach. Nobody was against it. I didn’t see something in 2018, 2019, 2020, that someone said that these institutions are not needed in rural areas, that there is no need for optimization. This is an optimization. We want to make medicine available in rural areas. What's bad about it? We started then buying new ambulances. The Sheriff company presented us with twenty carriages, and we bought twenty brand new cars. This is an optimization in terms of routes, time and medical care. Nobody was against it.
All medicine in the world is divided into levels in general. Level or category one, category two, category three. The very first step is medicine in rural areas. It would seem, why? Let me remind you that a third of the population lives in rural areas in Pridnestrovie. They cannot be left without medical care in any case, but one must understand the psychology of a villager. It is unlikely that a villager, for example, for example Marya Ivanovna, dialed 103 and called an ambulance from the city, which would arrive with flashing lights. People are shy, they think that this is somehow unacceptable, although they are mistaken, of course. We are expanding the network of rural medical care so that Marya Ivanovna comes to the feldsher-obstetric station, the rural outpatient clinic, where there is a paramedic, a nurse, a doctor, and receive the necessary assistance. Certain parameters will be measured for her, and the paramedic, nurse or doctor will make a decision and dial 103 if necessary, and an ambulance will arrive at this point and take Marya Ivanovna to the hospital. That's all. This was made for people, exclusively for people. It is important to understand at the same time who works in these outpatient clinics. Residents of the same village work, they work for 20-30 years. I visited these points, some of them have been working for 40 years. Everyone knows them. The rural doctor is a native person. Of course, they will come for help. This is again the villagers’ psychology. Any decisions, including in healthcare, must be made taking into account the psychology of the population living in the territory. It was an optimization. We have built from scratch or overhauled more than twenty feldsher-obstetric stations and rural outpatient clinics in rural areas during four years and will continue to do so. We install modular feldsher-obstetric stations, repair, build. This is right. We make an accessible environment for providing medical care. This is optimization. What, this entails a reduction in medical staff? No. On the contrary, we increase the staff or take staff from the hospital and transfer it to the countryside if necessary. This is the first level, the first contact of citizens with medicine. Experts refer to polyclinic care as the first level. Polyclinic care, diagnostics – this is understandable.
The second level is hospitals in cities and districts. In order to make informed decisions, as President, I gathered the leadership of the republic, all chief doctors (note: all chief doctors of medical institutions of the republic), heads of cities and districts, chairmen of city and district councils, deputies of the Supreme Council – in principle, everyone who is related to question. We consulted, everyone could express their opinion. I never make decisions in any sphere without consulting with real experts in this field, and chief doctors are just specialists.
For example, city and regional hospitals. I will say right away: hospitals will not be reduced. There will be optimization of course. I explain what it is. First, let's touch on the notorious beds. There are more than four thousand hospital beds in Pridnestrovie. These four thousand have remained with us from Soviet times, when the population was much larger, but this number is still preserved. We used it when there was a pandemic, we even increased it, and there were reserves. There is no need to maintain four thousand hospital beds for "peaceful" time. You understand, dear citizens. Four thousand hospital beds is money, it's not just a bed with a mattress and that's it. No. These are food, service, diagnostics, medical staff and so on. There are regulations, naturally. There are norms in terms of bed capacity in any state. We are up to these standards and will reduce the number of hospital beds. How much will it be: two thousand, three thousand? I don't know. Let the experts decide. The reduction is necessary. This is optimization in terms of the optimal solution. A person who needs hospital care should be in the hospital. Do you understand? There is also polyclinic care, there is the concept of a day hospital, where a person can put a dropper and go home.
It is no secret that we have significantly improved the quality of food in medical institutions. The state spends 24 million rubles a year on quality nutrition for hospital patients. This is big money. A person does not always have to be in the hospital, he can get help in a day hospital, in the same clinic. Naturally, if we reduce beds in hospitals, their number will increase in polyclinics. This is the optimal approach. For example. I won't name the area. There was conducted a check. There was 1100 people in a surgical department during the year, and only a hundred of them underwent surgery.
Victor Savchenko, editor-in-chief of the First Pridnestrovian TV channel:
And what did the others do?
Vadim Krasnoselsky, the PMR President:
Here is the question. And what did the others do?
Victor Savchenko, editor-in-chief of the First Pridnestrovian TV channel:
Sanatorium?
Vadim Krasnoselsky, the PMR President:
The check showed that there were people in surgery who were supposed to be in therapy. These are other financial costs. There is already no savings, these are expenses. There were people who just needed I.V. fluid giving set. The hospital is not a nursing home. Only those people who are undergoing surgery should be in the surgical department. A person needs to occupy this hospital bed before and after this operation, of course. That's it. This is the surgical department. There is no such thing anywhere. There is no other medicine in the world where a hospital bed in the surgical department is occupied by a person who needs only I.V. fluid giving set. He doesn't just lie there. This is food, this is service, night shifts and so on. Therefore, my dears, it is necessary to save not only electricity. We need to save time, we need to save money. Hospitals are the second level. There is a range of specific medical care: an infectious diseases department, a surgical department, and so on.
There is a concept of the third level – these are republican central hospitals, it is more Tiraspol, a children's hospital in Bendery, it is republican, and a tuberculosis hospital in Bendery is also republican. They are equipped with special equipment.
I told the Minister of Health, the chief physicians: I am waiting for you, dear experts. You must come and sign a list of the medical services that you are able to provide, based on the available staff and available equipment. If you take responsibility and are able to perform these medical services, they will remain with you, in your hospital. You alone are responsible for your signature and willingness to provide these medical services in terms of staffing and technical support.
There is another level – when certain services are not provided in Pridnestrovie. For example, we send people for arthroplasty or stenting to Chisinau. We spent thirty-three million rubles on the treatment of citizens outside our republic this year. This is big money. We are going for it, because there is no such section of medicine in Pridnestrovie. Not yet, not historically. Nobody says, let's do these operations in Kamenka or Dubossary. This is the hospital level. The level you can't jump through.
There are other indicators as well. For example, the maternity ward. There are rules that I did not come up with. If there are less than a certain number of births per year, then the mortality rate among women in childbirth and children will increase or pathology at the birth of a child.
Anyone who criticizes, tomorrow, God forbid something happens, will run to the hospital of the appropriate level to be provided with qualified assistance. A person expects those doctors who perform the operation to have experience. No need to speculate. We think about people's lives, about saving these lives. If a doctor performs an operation, it is important that he is experienced, that he has the scope of the procedures performed and the appropriate equipment, so that he has the appropriate level. Therefore, there are levels – the first, second, third. And they will be saved. This is where optimization comes in. I don't see any reduction of staff here. It is possible that they will move from one department to another department, but this is again the optimal solution from the point of view of medicine.
Let’s talk about spending the state on medicine now. This year the healthcare budget is 930 million rubles. This is a huge amount – one fifth of the entire consolidated budget of the Pridnestrovian Moldavian Republic in fact. Think about it. This is one fifth. We have small salaries for doctors with such huge funding. Just optimization will help us find reserves, give money to increase the salaries of doctors and medical staff in general. There should be no idle beds. This is money from the pockets of doctors. Who should be responsible for this? Chief Physician. Of course, the chief physician should control these processes and the Ministry of Health. I demand an optimal, reasonable, prudent approach in the healthcare system, so that the money invested will have an effect. We not only buy food for the sick and pay salaries to doctors with this money. This includes equipment, repairs, treatment abroad. These are state targeted programs, we have six of them (the state takes for immunization, treatment of cancer patients, AIDS patients, tuberculosis, cardiovascular diseases and hepatitis). Six state targeted programs make five hundred million rubles for a five-year period of these programs. These programs work all the time, people get help. This year, thirty-five million rubles have been allocated to ensure that 715 citizens of our republic receive treatment abroad at the expense of the state. This is the purchase of new equipment. This is training doctors to work on this equipment. It makes me nervous when the state belongings are not treated as their own, when you can put people in a hospital so that they just lie. This is the state, just think No. This is ours. This is our budget, these are our taxes, our citizens. Optimization will help us to optimally spend money and approach the increase in salaries for medical staff. This is the goal. Speculation about the reduction is all nonsense, this is from the evil one. Probably, the main doctors cannot really explain the essence. Maybe from the healthcare side we need to travel more and explain to people. I gather everyone to discuss the issue before making decisions. Chief physicians are in the first place.
Victor Savchenko, editor-in-chief of the First Pridnestrovian TV channel:
Did they agree?
Vadim Krasnoselsky, the PMR President:
Yes, of course. Nobody opposed. Not that they were shy. Everyone understood the common sense of optimization. Naturally, in order not to look like a bear in a china shop, everything must be done very carefully and under control.
Igor Avrenev, editor-in-chief of TSV:
Vadim Nikolayevich, another debatable issue is changes in tax legislation. Probably, many have already heard that most of the patent holders are switching to “simplified” from the new year. At first everyone was thinking, well, suddenly they will cancel it, everything will be returned back. Now patent holders are slowly coming to the tax office and switching to a “simplified system”. What do you think about what is happening now? This issue is quite acute, because a large group of entrepreneurs says: “Well, that’s it, the entrepreneurs of Pridnestrovie are in trouble!” They write letters, gather, get indignant and try to compare the 3% that they will have to pay from the new year, for example, with the Russian 6%, or with other countries where 13%, etc. What do you think about this?
Vadim Krasnoselsky, the PMR President:
This is the same optimization in the sphere of entrepreneurial activity by and large. The ongoing changes in the economy of the state always stimulate the growth of public interest in the sphere of entrepreneurship. This is, in principle, understandable. This has always been the case. The model that existed with us is already obsolete. This model began to be abused in order to evade taxes. I will give some examples. What prompted this decision? Imagine a commercial enterprise that provides services for the removal of sand, gravel. There should be a legal entity in theory, all transport units should be on the balance sheet of this enterprise, there are certain taxes, they have to pay it. It is necessary to pay tax on the volume of transportation, on the income received by the enterprise. What were our entrepreneurs doing? They transferred the entire motorcade to a patent, i.e. in fact, there is a legal entity that has a chair, a table and a computer for an accountant, and all vehicles are patented. They transport hundreds of thousands of tons of sand and gravel, and pay 30 USD per month for the patent. There is no such thing in any state of the world that motorcades work under a patent. What is the problem? Do not deceive the state! What I said: budget revenues, energy, salaries – they are formed from taxes. By and large, it was this that led us to certain decisions. We have to think about the budget. We think about it. We think optimally. 3% of income is an absolutely normal figure. It is much more in other states. Every state employee pays income tax in our country: doctors, teachers, representatives of government agencies – 15% of the salary. At the same time, one can pay 30 for the patent of the owner of a vehicle that transports hundreds of thousands of tons of material, hiding huge money from the state.
For example, such type of construction activity, as laying paving slabs. The cost of the patent is also around 30USD. Pay and forget. One square meter of paving slabs is 100-120 rubles for work at the same time. Three or four square meters of tiles and that's it, you paid for the patent. A patent holder can lay a thousand, two thousand squares. What do construction companies do? I'm telling. If there is a legal entity, then they must hire employees to the staff of the enterprise, and then, as this worker lays a thousand squares, pay a salary and taxes for this thousand squares, respectively. And what does a legal entity of a construction organization do in practice? They take hired force under a patent, take it out for subcontracting. The state does not receive anything from such a voluminous type of work as laying paving slabs. Is this correct? No, this is wrong. This is called abuse. This, of course, can be done legally. That is why we need to change the law – so that this does not happen.
For example, imagine a mall with a thousand square meters. It is owned by a certain legal entity – one that imports inventory items, household chemicals, things from China or Turkey. Such a product is two prices, an 80% markup is guaranteed. If they set this price, then the legal entity will have to pay tax on this income. What are entrepreneurs doing? They receive goods for a legal entity, then, at a 1% trade markup, they distribute them to their own patent holders – mother, father, father-in-law, son-in-law, acquaintances, godfathers, they take patents for them, and this product is sold to patent holders in the same shopping center. The tax is paid from 1% of the trade markup, i.e. practically nothing, zero. Patent holders sell this product with a good trade markup - 50, 60, 100, 200% then. Someone likes it. They don't pay anything for it. They pay 30USD for a patent. All this money goes to the legal entity. Is this true or false? This is called the exploitation of the law, the abuse of the law. It is not right.
I sometimes read from social networks: “We are patent holders, the state has not given us anything”. What does it mean that the state did not give? Here you pay 30 dollars per month for 30 years (500-600 rubles for a patent). Someone also takes hired workers on the same patent and pays much less. But wait a second. Do you have children? There is, probably. So, we bring up children in kindergarten for free. School education is free. Additional education, sports – are free of charge. If an art school, a music school. Your parents receive a pension. I wonder where. Your parents, when they worked, they paid taxes so that their parents would receive pensions. You have to pay taxes to pay your parents' pension. And what about medical help, law enforcement, the roads. One more question: does your patent fee of 500 rubles cover all the expenses that I mentioned? No. It doesn't cover. Therefore, we propose a certain formula. Absolutely optimal, understandable, transparent and accessible to everyone.
There is a concept of individual entrepreneurship. There are three forms of doing business. Self-employed - this is the simplest form (hairdressers, makeup artists, those who provide services to the population). They remain in their original form. They have their own patent. Nothing changes. They do the work with their own hands. They will pay for their patent. The next form is patent holders. So it was before. No questions. All green markets are exclusively a patent, that is, roughly speaking, these are people who sell their products (potatoes, herbs, milk, fish). Everything is a patent, and it does not change. Another issue is the trade in non-food products. Here, depending on the type of products sold, there will be a patent or a simplified form of taxation. The simplified form assumes a tax of 3% and the presence of a cash register. The cash register is paid by the state in this case. The thermal printer costs 800 rubles. Its value will be returned in the form of tax deductions. As a result, the state will pay for this terminal, it will be free. Citizens will be issued a check for purchased products. We will fix the turnover, you will pay 3% of this turnover. Those who will work under a patent will not be able to export / import. Those who work under a simplified taxation scheme (for these 3%) will have an unlimited right to export products and imports not exceeding 50 USD per year. Turnover within 4.3 million Pridnestrovian rubles per year. In principle, the form is normal. If you want more, register a legal entity. Everyone has the right to choose: the self-employed, those who trade in collective farm green markets, who sell things, who provide certain services (motor transport services).
The question is: is it time to do this today? Good. What about time for street revenge? Let's not sweep the streets. We will remove all the wipers, we will save on them. Hardly anyone will agree, probably. Let's save on the repair of schools, children's hospitals, hospital departments. We will not buy medical equipment. We will not pay salaries. Maybe not the time? No. How is this not the time? There should always be time for these things. Paying taxes is always the same time. We do not skin someone alive. The proposed 3% is the minimum, probably.
This will allow us to bring out of the shadow those legal entities and those entrepreneurs who abuse the law and evade taxes. They don't formally break the law. It could be done. Therefore, we want to amend the legislation so that everyone works under equal conditions. Understand what is really happening. The motorcade director wants to pay taxes, but he is not competitive, because his neighbor has taken the same vehicle (excavators, bulldozers) under a patent. It has a completely different profitability. He receives a net income and does not pay a single penny of taxes. This unlucky person, director has everything at the arrival of a legal entity. Why do all municipal Construction Department suffer? They must take everything into account, they have a completely different profit other expenses of course. They are not competitive. Or take a construction company. A decent director wants to pay taxes in full, does not want to take anyone on a patent. Next door neighbor does it. When they go out to tender for a certain object, the one who works with patenter hoders can lower the price and win a certain tender of course. This one, who completely has everything upon arrival, he loses. What should he do? Do the same. Survive. Therefore, from the point of view of entrepreneurship, we must put everyone on an equal footing to have fair competition. So that everyone is in the same tax conditions in terms of the provision of certain types of business services. I gave instructions to the Supreme Council and the Government to meet with people, to communicate. I understand that any law has rough edges. It `s naturally. Ideal can be achieved, but difficult. This must be strived for. This is what we are striving for. The law will definitely change in favor of the citizens in order to remove some inconsistencies. There is a heated discussion of these laws. When I get letters saying that the state has done nothing, you know, it's not fair. There is probably nowhere else such a social orientation of the economy as we have. It is necessary to pay for everything. The state takes on the basic expenses that relate to the upbringing of children and youth, including higher education in our country. This is also money. Therefore, I believe that this issue will still be discussed, there will be round tables and discussion platforms. There will be some changes. It will come into effect at a certain time convenient for both entrepreneurs and the state.
Victor Savchenko, editor-in-chief of the First Pridnestrovian TV channel:
Vadim Nikolayevich, about “time” or “not time”: next year has been declared the Year of Agriculture. Building a perspective even for a few weeks ahead, or maybe even for a few days, is quite difficult now in general. Nevertheless, the decision has been made that next year will be the Year of Agriculture. What is the reason for this, what can agricultural producers and the industry in general expect next year?
Vadim Krasnoselsky, the PMR President:
Let me start by saying that plans should always be made. There are plans for the arrival of UFO. Here are their plans in some states. This is absolutely normal.
It is necessary to plan always, in any development of events. Here we have planned the Development Strategy of the Pridnestrovian Moldavian Republic for 8 years. They also criticized, they say, 8 years. We have lived in the wake of this strategy for four years already. And it's okay. All state programs, targeted programs, including in the field of healthcare, are the result of this eight-year development plan for our state. It is clear that we depend on an external factor, but in any case, what depends on us, we will do it here, in Pridnestrovie. Therefore, the Year of Agriculture and Rural Territories is also correct. The earth feeds us. I still said this in 2017-2018 in fact. Land is a constant source of income and existence. I then said that the situation could turn so that the Dnestrovsk GRES would not work. Unfortunately, this is how it is now. Our industrial giants will stand. That's how it happened. The earth, it will remain. We must make sure that it is optimally effective, gives a high harvest, so that the population of Pridnestrovie is provided with high-quality products from our land. I spoke then about self-sufficiency. Then they even criticized me, well, Vadim Nikolaevich, you can buy everything. Yes, there are nuances. We come to the conclusion that even money can not buy now. Do you understand? Everything that is happening now will end in a crisis, global crisis, including the food crisis. There was the pandemic, and we were close to it. The world is unstable, restless in general now. How it will all end is unknown. It is only known that we must provide our population with vital food products here, in Pridnestrovie. These ideas have already been since 2017. Building plans, planning, we have achieved a certain result.
Any agricultural producer cannot work without state support of course. This is true. I read in the social networks: the state is doing nothing in terms of helping agricultural producers. Do not put yourself in a stupid position with such statements. We have a good credit line for agricultural producers – this is a 4% loan for the duration of the project. For example, if an entrepreneur is building a refrigeration hub for storing vegetables, the loan should be for the period of full implementation and payback of this refrigeration equipment – 5 years, 7 years, three years depending on the situation. Banks give at 11.12 percent at the same time and the state reimburses the difference. Banks will not give loans at a loss. The state covers all the difference. These are millions of rubles. Those entrepreneurs who have built refrigeration centers in our country, there are seven of them in the republic, buy equipment, build farms, equip production, they all enjoy this support, and nothing would have happened without this support. Preferential loan is 4%. The next step is melioration. I've already given the numbers. We had less than 9000 hectares of irrigated land by the beginning of 2017. This is few, very few. Our pumping stations did not work, there were problems with water, with its supply, there were problems with attachments, pumps, electric motors, etc. There was a project with the Russian Federation, we discussed it closely. Assistance from the Russian Federation was supposed to expand the irrigation of lands, build pumping stations, install attachments and everything else. The Russian Federation refused for biased reasons from this project in Pridnestrovie unfortunately. We didn't give up. We met with the Government, the Supreme Council, and developed a specific plan called the State Target Program for Land Reclamation. Naturally, we assumed certain financing for this plan, we began to move forward, we found internal reserves. For example, Electromash. This is an excellent enterprise. I am pleased with this enterprise. This is an indicator to all external forces that we can do a lot here, in Pridnestrovie. It has no analogues. There are similar ones in Russia, but they are inferior to us. That is why Elektromash now manufactures engines weighing 30-40-50 tons for the gas and nuclear industry of the Russian Federation. I spoke to the director, many thanks to him and the personnel of this enterprise. I say, listen, well, you are making these 30-ton engines for Russia, can't you make electric engines, which are all out of order, for our irrigation system. He says we can give the task. Here's the assignment. A project was developed. All equipment, all electric motors at all pumping stations, dozens of which have been restored, operate on units made by the Electromash team now. By the way, let me remind you about Elektromash, which is also an important point. Almost all the heads of workshops, the entire design bureau are graduates of our Pridnestrovian State University. All engineering thought, all science is our graduates, we did it. Do you understand? We are Pridnestrovians. I spoke more than once with Vladimir Grigoryevich, the director of the enterprise. He says that there is no one better than us in the post-Soviet space in terms of staffing. If there are personnel somewhere, let's say in the Russian Federation, then they are all in years, that is, this is the generation that is already leaving. Only we have young personnel. So these young cadres have created certain projects, they are engaged in land reclamation, including the technical equipment of the land reclamation system. In addition, Elektromash sorts out the pumps completely, the entire “inside” of the pumps is also the production of Elektromash. Naturally, we began to repair pumping stations. Polyethylene pipes that supply water are also Pridnestrovian production. Our task is to bring water to the point, to the field, and then entrepreneurs buy frigates that water the land, but again, for the purchase of these frigates, a loan at 4%. If you are engaged in land reclamation, you can take a loan at 4% and buy yourself all attachments. I have traveled to the fields more than once and talked to entrepreneurs. They all say thank you from the bottom of their hearts. They say that if it were not for the state, this simply would not have been done. They say thank you for the water, which is 70 kopecks each. It was five times more expensive in Moldova, now it will probably be 10 times more expensive, I don’t know. Of course, all this contributes to the development of agriculture. For example, our meat and dairy industry. I can single out the Bendery meat-packing plant. Previously, they mostly imported meat, now they are engaged in their own production. They have a pig farm in the Grigoriopol region. They make excellent food according to their products – 450 types of meat products. This is the self-sufficiency of our state. We have increased the dairy herd at times and milk production. That is, a dairy cow, which is imported from abroad, we pay 13000 rubles for each heifer of state subsidies. This is also government assistance. Thanks to this, we now see on the shelves in the same "Fialt-Agro" our good dairy products, which are competitive and stand out for their high quality. For example, the enterprise in Ternovka. An entrepreneur built a refrigeration hub and grows vegetables there. He alone grows vegetables for almost 80-90% of the consumption of the entire Pridnestrovie for you to understand. These are our vegetables, this is the whole borscht set, these are sweet peppers and other vegetable products. Is it bad? Or, for example, Placinda Stepan Ivanovich, who grows apples, grapes, plums, apricots, cherries in the Grigoriopol region. It's all ours. Of course, he also works for export and works for the domestic market. This is wonderful. I can still name many entrepreneurs who raise poultry, livestock. We must think about how to provide the population with bread that is baked by our bakeries, wheat that grows on our fields, vegetables, meat and dairy products regardless of how the situation develops. The situation is developing in a negative way as you can see. We are reaching the level of self-sufficiency that I as President set the task in 2017. We get the result. We will provide for our population regardless of the situation. This is the most important result of all these events. I repeat once again: this would not have been possible without the support of the state. One could say that it was not the time to do this then, in 2017, in 2018. Well, it's not the time, is it? We have problems. Yes, there are always problems. Always not the time, further not better, but more difficult. Do what you must, and then come what may. Develop, help, strive. You will still get results.
Igor Avrenev, editor-in-chief of TSV:
Vadim Nikolaevich, state of emergency in the economy. We forget about Capital Investment Fund, about construction sites? Till when? until some better time? Are we cutting it all down or not?
Vadim Krasnoselsky, the PMR President:
The decision was made as follows: those objects that have been started, they will definitely be finished. We cannot leave it half way. We do not start new objects. There are critical objects, of course. Decisions will be made on them by the Government individually, based on the current situation. Yesterday I literally held a video conference, the Head of Rybnitsa district reported that the roof is leaking in the kindergarten. Well, we will repair the roof of course. This is a private moment, a point solution. The objects that we started in general, we are finishing, we will not start new objects yet.
Victor Savchenko, editor-in-chief of the First Pridnestrovian TV channel:
Vadim Nikolayevich, taking into consideration what is happening around us… Thank God, everything is calm here. Despite the fact that we survived a series of terrorist attacks, in terms of physical security, citizens calmed down. We have holidays – all this continues. We have a grape festival, we have other events, everything is as planned for the weekend, Saturday, the 7th of November. Isn't it too much fun, considering what's going on around?
Vadim Krasnoselsky, the PMR President:
To stop, may be, but I want to give some examples of how our ancestors acted – from the generation of the Winners. Imagine the most difficult year in the history of our Motherland in 1942, it was even more catastrophic than 1941: huge losses, defeats, exploits, the death of a Soviet soldier, colossal stress on the economy, failure of logistics and everything else. And in this year 1942, the director of the circus was received by the leadership of the Soviet Union (this, by the way, is from the memoirs of Yuri Nikulin, I recently listened to a recording: 1992, Yuri Nikulin talks about this case from the podium). The director of the circus comes to the reception and talks about the importance of circus art for people, for the state. Well, probably, if we argue from the position of “now's not the time” then he would have been sent to the front with a rifle, but they listen to him carefully, understand the significance and say: “Yes, what do you need? What help do you need? And the director replies: "Reservation is required for all circus actors." Okay, the decision is positive. 1942 "What else do you need?" “But when we go on tour, in trains they put us on the 35th railway track, and lettered trains with ammunition, with tanks go first. Can we go with them?" It would seem that he, probably, should have already been judged for this, logically, as we understand it. No, this desire was also granted. Even in the most difficult time, during the war, circuses worked and brought people emotions, positive emotions in that terrible time.
Or when I was studying at a music school, we studied Shostakovich's 7th symphony, famous symphony. A wonderful teacher was in Bendery at the first music school. She explained everything in detail. Musical literature is an interesting subject in general. The teacher emphasized that this was written in besieged Leningrad, the first three parts were written there. Then Shostakovich was evacuated to Kuibyshev, and he finished this symphony there, and the presentation took place in the spring of 1942 there. Imagine besieged Leningrad, 1941, a disaster. And a person writes the symphony, and the Soviet authorities, taking care of him, evacuate him to Kuibyshev so that he can finish this work and present it there together with a symphony orchestra. Was it necessary or not in 1942? I'm not even talking about the fact that theaters worked in besieged Leningrad. What for? In order to distract a person from all these problems, you understand? Perhaps now’s not the time? No, it's time. There is always time if you want to make people's lives better. Our wine festivals, weekend concert programs, orchestras, the same volunteer Saturday work – are designed to evoke a positive emotion in a person. This positive emotion heals a person, heals the soul of a person, heals the human body. If a person is plunged into depression, into fear, into a lack of understanding of the future, into the energy problem, into the problems of entrepreneurship, and so on, the person will at least feel uncomfortable and destroy himself from within. We are trying to make this emotion, to distract a person, even to load it with collective work on a community work day, so that a person goes to a concert, to a theater, to a wine festival, drinks a glass of wine, eats some kind of barbecue, takes the children to the carousel and so on. This is right. This is what we should strive for. It cannot be taken away from people, it is counterproductive. Naturally, we will do this. There is no mourning in the country, for a moment, do you understand? Yes, it's a difficult situation. We must and will do this even in difficult times, as our older generation of winners once did during the Great Patriotic War.
Igor Avrenev, editor-in-chief of TSV:
Vadim Nikolayevich, well, probably, the final question. Not even a question, but a request: a forecast – what will happen next, will we survive this winter?
Vadim Krasnoselsky, the PMR President:
We'll survive. There are plans. I think we will not be left alone with our problem. We are working on this. I assure you that the PMR Government, the Supreme Council, the President are aimed at solving the problem. We see solutions. Next week our deputies will go to Russia. We are constantly consulting by phone. We do not interrupt our dialogue with Moldovan officials. Naturally, we have plans in case of different developments of the situation. The God will not leave us, and the authorities are ready to accept any challenge. Thank you.
