Tap water costs differently for Moldovans. Whereas in some towns people pay 8 lei per cubic meter, in other places the rate gets as high as 25 lei. Minister of Environment Gheorghe Salaru told the press that the rates are calculated using political rather than economic considerations, Info-Prim Neo reports.
According to Gheorghe Salaru, when the rate is too low, it doesn’t cover the expenses of the utility. “We must regulate this field to make it a business based on modern management, which would allow it to cover its expenses”, he said.
Gheorghe Salaru thinks there are several ways to ensure a balance in the process of calculating water rates. The first is to adjust the legal framework. The Bill on Public Services of Water Supply and Sewage is ready and if it is adopted by Parliament, rates will be set by the National Energy Regulatory Agency (ANRE).
The Minister added that nearly 90% of water and sewage utilities were in bad financial situations or even on the brink of bankruptcy. Utilities should promote a management that would allow them to recover their expenses and to reimburse credits if any. It is also necessary to restore and extend water supply systemts in district capitals and villages.
The press conference was held on the margins of the international conference “Challenges in the water and sewage sector in Moldova”, organized by the Ministry of Environment, the EU Delegation to Moldova and the Swiss Cooperation Office.