World Bank to provide 70 million euros for strengthening energy security of Moldova

Chisinau, 26 January /MOLDPRES/ - The project on electro-energy connection of Moldova’s electric energy transportation system to the one of Romania was one of the main subjects tackled at a today’s meeting between Economics and Infrastructure Minister Chiril Gaburici and a team of experts of the World Bank, led by WB Country Manager Anna Akhalkatsi. The officials discussed, in particular, the giving of the final touches to a project on transparent energy market, on the basis of which the World Bank is to provide Moldova with a loan worth 70 million euros.     

The principal components of the project, which have been already agreed upon, are the construction of a back-to-back station in Vulcanesti, a 400 KV transport line between Vulcanesti and Chisinau, as well as the extension of the Chisinau-based transformer station. Additional components are also to be included in the project, such as the modernization of the network through the setting of telecommunications via optic fiber, as well as providing technical assistance and strengthening the capacities of the energy sector employees.  

The WB experts noted that the project’s development goal is to improve the security and reliability of the electricity transportation system through interconnection with Romania. This will thus allow creating a transparent and competitive electricity market in Moldova and its integration on the regional electric energy market.   

One of the priorities of the Economics and Infrastructure Ministry is energy security, which can be achieved including through implementing projects on interconnection of the electro-energy and natural gas systems of Moldova with the ones of the European Union, through the concerned systems of Romania, Chiril Gaburici said.  

The estimated cost of the interconnection project is of about 270 million euros. In late last year, Moldova signed agreements with the European Bank for Reconstruction and Development (EBRD) and European Investment Bank (EIB) on the financing of the interconnection of the Moldovan electricity networks with Romania. EBRD and EIB will provide loans worth 80 million euros each. Additionally, in the summer of 2017, the European Union approved the composition of a grant worth 40 million euros from the Neighbourhood Investment Facility (NIF) funds.  

(Reporter V. Bercu, editor L. Alcaza)