European Investment Bank to extend contract on financing with Moldova for restoration of energy infrastructure

Chisinau, 21 November /MOLDPRES/ - A financing contract between Moldova and the European Investment Bank (EIB) on the implementation of the project, Transportation of Electric Energy by Moldelectrica, signed in 2012, will be extended by another two years up to 26 December 2020. The cabinet today approved the initiation of negotiations and signing of an amendment to this end, the government’s communication and protocol department has reported.    

The document will give possibility to turn to good account the means of a 17-million-euros-worth loan, provided by EIB, for the restoration of the national infrastructure of electric energy transportation.  

At present, 7.4 million euros has been used from the loan; they money is meant to change the power transformer and an electric reactor. These works will be completed in 2019. At the same time, under the contract, four power stations are to be reconstructed, with 9.6 million euros of EIB’s loan seen to this end. The signing of the amendment will allow carrying out this action in the next two years.  

The project, Transportation of Electric Energy by Moldelectrica, financed by more international structures, among which the European Bank for Reconstruction and Development (EBRD) and EIB, includes also other activities for the development of the national energy sector. Among them, there is also the change of power transformers, reconstruction of high-tension installations for distribution and five transportation electric lines with a length of 128 km. At the same time, the project’s implementation will help integrate Moldova’s electric energy system to the European Network of Transmission System Operators for Electricity (ENTSO-E).  

The amendment was approved by EIB and is to be signed till late 2018.