The Ministry of Energy will negotiate with the European Bank for Reconstruction and Development a €143.5 million loan agreement for the optimization of the centralized heating system in the municipality of Chisinau. A decision to this effect was approved by the Cabinet on Wednesday, IPN reports.

The investment works will include the installation of 2,510 individual heat points and the transition of 1,665 blocks to the horizontal distribution of thermal energy, which will contribute to reducing heat losses by at most 30%. Thus, consumers will have the possibility to connect and disconnect the heating in the apartments and will be able to regulate the energy consumption individually.

The project will also include works to envelop the blocks, to rehabilitate the primary thermal networks and build two pumping stations. In addition to optimizing thermal energy consumption, the measures will contribute to reducing costs for consumers and will have a positive impact on the environment by decreasing the carbon emissions associated with the heating system.

The cost of the project is €326 million, of which almost €40 million is a grant.