EIB, EBRD and EU to finance energy efficiency renovations in public buildings in Moldova, including hospitals, schools and kindergartens.
Improved energy efficiency is key to Moldova’s energy independence, a faster transition to a carbon-neutral economy and the success of overall global climate action.
This Team Europe operation is part of a flagship initiative in Moldova under the European Union’s Economic and Investment Plan for the Eastern Partnership.
The European Investment Bank (EIB), the bank of the European Union, the European Bank for Reconstruction and Development (EBRD) and the European Union will jointly provide €75 million to improve energy efficiency and reduce energy consumption of public buildings in the Republic of Moldova. This is the first national-scale energy efficiency project implemented in the country.
The operation is a part of a wider Team Europe effort to support Moldova, accelerate its green and sustainable social and economic growth, achieve energy independence, and decarbonise its economy. It also supports global climate action by reducing greenhouse gases emissions, a major contributor to global warming.
This project supports improved energy efficiency as one of the five flagship initiatives of the European Union’s Economic and Investment Plan for the Eastern Partnership for Moldova. The operation was announced today at the European Union-Eastern Partnership Summit in Brussels.
EIB Vice-President Teresa Czerwinska, who is in charge of operations in Moldova, said: “The success of climate action to save the planet from the devastating effects of global warming will depend significantly on our ability to make our cities more energy efficient. Cities consume most of the planet’s energy and create most of the CO2 emissions, which makes projects like this one immensely important for a green, safe and sustainable future for Moldova, Europe and the entire planet. Benefits to society at large include reduced pollution and improved health and working environments in buildings. The European Investment Bank is very proud of our contribution and our fast-growing partnership with the Republic of Moldova and stands ready to step up our activities and accelerate the social and economic growth of the country.”
Mark Bowman, EBRD Vice President for Policy and Partnerships, said: “Greener buildings and related energy savings will help Moldova reduce its overall energy consumption and not less important – the energy bill. Energy and resource efficiency, as well as increasing renewable energy generation capacity, represent the main ways to reduce dependency on imports of energy sources.”
The project is expected to attract private sector expertise and include energy performance provisions and technical specifications in construction contracts. It will be a major opportunity to create local jobs and boost the construction sector in Moldova.
Jānis Mažeiks, EU Ambassador to the Republic of Moldova, said: “Investing in energy efficiency is a win-win strategy that increases the energy security of the Republic of Moldova. The European Union contributed with a considerable grant to the “Moldova Energy Efficiency programme”, the first nation-wide energy efficiency initiative in the country. This support will improve the central and local governments’ ability to undertake comprehensive energy efficiency measures. We are glad that the successful work done on energy efficiency, with EU support, over the last years will be scaled up with such an ambitious programme. It will refurbish public buildings with a direct and tangible benefit for the citizens. The programme will drive economic development and prevent CO2 emissions, as per scope of a Green Transition.”
Andrei Spinu, Deputy Prime Minister and Minister of Infrastructure and Regional Development said: “The Republic of Moldova, like other countries, has gone through a period of energy crisis that has motivated the strengthening of a better strategy, but also the use of this crisis as an element to increase energy security and efficiency. This financial support from European partners is a great step towards becoming more independent, competitive, and resilient in energy issues. We are very grateful that the EU is always with us through extraordinary projects for our citizens. Such financing agreements bring us closer to European standards at the highest level.”
Team Europe provides long-term strategic support to Moldova`s push towards an energy efficient economy
The EIB and the EBRD are supporting the energy efficiency of Moldova’s public buildings by lending €30 million each, with the European Union complementing the investment with €15.2 million in grants from its Neighborhood Investment Platform (NIP) and Eastern Partnership Technical Assistance Trust Fund (EPTATF). EU grants will finance the technical assistance in support of project implementation with €2.8 million and increase the number of energy efficient renovation of public buildings with €12.4 million.The EIB will manage the EU grant.
About 60% of final energy consumption in Moldova relates to the buildings sector. Greater energy efficiency will be achieved through improving the insulation of buildings, installing more energy efficient lighting, heating, cooling and ventilation systems, and the integration of renewable energy sources and introduction of efficient energy management practices.
About the EU Economic and Investment Plan for the Eastern Partnership:
On 2 July, 2021, the European Commission and the EU High Representative for Foreign Affairs and Security Policy outlined a proposal on how to take forward priorities for cooperation with our Eastern partners in the years to come. This agenda is based on the five long-term objectives, with resilience at its core, as defined for the future of the Eastern Partnership in March 2020. It will be underpinned by a €2.3 billion Economic and Investment plan in grants, blending and guarantees, with a potential to mobilise up to €17 billion in public and private investments.
About the EIB in Moldova:
The EIB has been active in Moldova since 2007. To date, the EIB has invested close to€850 million in 25 projects across the country, supporting EU policy priorities including projects in transport, energy, SMEs, agriculture, municipal infrastructure (solid waste, water and wastewater) and the services sector of Moldova’s economy.
About the EBRD in Moldova:
The EBRD is a leading institutional investor in Moldova and, to date, has invested more than €1.4 billion in the country through 146 projects. It has also provided advisory services to more than 1 000 Moldovan firms to help them improve performance and grow. Sustainability is at the heart of the EBRD’s work.
The European Investment Bank (EIB) and the Ministry of Infrastructure and Regional Development of the Republic of Moldova have today signed a €15 million grant agreement funded by the European Union to support the Moldova Energy Efficiency Project. The project will improve the energy efficiency of public buildings, including republican hospitals, schools, kindergartens and health institutions in Moldova.
The European Investment Bank (EIB), the bank of the European Union, is continuing to provide financial and technical support to the Republic of Moldova by investing almost €280 million in loans and mobilising some €16 million in grants for the public and private sectors in 2022.
The European Investment Bank (EIB), the bank of the European Union, will invest an additional €150 million in the modernisation of highways in the Republic of Moldova and improved road safety in the country. Under the loan agreed with the Government of Moldova, the EIB will finance the reconstruction and modernisation of the Balti-Criva section of the M5 national road, and the Chisinau Bypass on the M2 road.