The Republic of Moldova and Romania will have a new energy interconnection line. With a voltage of 400 kV, the line will interconnect the municipalities of Balti and Suceava. Also, an electric substation with a capacity of 400 kV will be built in Balti. The Cabinet on Wednesday approved the signing of a loan agreement between Moldova and the European Bank for Reconstruction and Development on the implementation of the Moldova Romania Power Interconnection Phase II project, IPN reports.
A component of the financing will be allocated for the rehabilitation of segments of the electricity transmission networks on the territory of the Republic of Moldova, including by replacing the switching and protection elements and transformers in power stations.
Under the agreement, a €30.8 million loan will be taken out, which represents 40% co-financing for the project. A further €30.8 million will be raised through the European Investment Bank under a loan agreement. The project also includes a grant component of €15.4 million, which will be awarded by the European Union through the Neighborhood Investment Platform. Thus, the total value of the project is €77 million.
