EIB lends €17 million for modernizing Moldova’s energetic infrastructure

Moldova signed a loan agreement with the European Investment Bank (EIB) for €17 million. The money will fund the improvement of the electric transmission system, in order to bring it closer to the European Network of Transmission System Operators for Electricity (ENTSO-E). The project will include the rehabilitation of key-points, such as substations, out-of-date transmission lines and transformers, reports Info-Prim Neo, citing a communiqué from the Government. The agreement was signed yesterday, June 26, in Luxembourg. PM Vlad Filat said that the loan given by the EIB would help Moldova diversify its energetic resources, this being a step of high priority for the country. In this context, Vlad Filat also referred to the project on the Ungheni-Iasi electrical network, mentioning that Moldova would like to build interconnections with the European energy system. “The Law on this matter is good. We have recently created the Energetic Efficiency Fund and we will continue our efforts into accomplishing our goals in the sector”, stated the Prime Minister. VP of European Investment Bank Wilhelm Molterer mentioned that he greatly appreciates that EIB is funding the rehabilitation of the electric infrastructure, since it is a crucial field in Moldova’s further economic growth. The EIB Vice-president mentioned his contempt with the results achieved and with the new important Governmental projects in fields like energy, transports, infrastructure and agro-business. The parties also discussed about the Wine Sector Restructuring Program, which the Government of Moldova and the European Investment Bank launched in order to solve the structural issues that the Moldovan wine sector has. According to the Financing Agreement, signed at November 23, 2010, the EIB lent Moldova €75 million. In this context, the EIB VP mentioned his contempt with the way the project evolved, and added that it should extend to other agricultural sectors too. “The Republic of Moldova has great agricultural potential. We already have good results, but there is still more to be done”, said Prime Minister Vlad Filat. The parties expressed their willingness to continue their collaboration, the EIB being open to supporting other projects that would facilitate Moldova’s reform and improvement. Since the start of EIB’s activity in Moldova, there were nine investment projects, totaling to €272 million, in fields like road infrastructure, wine sector, renovating public transportation in Chisinau, providing several cities with running water and sewage systems, and loans to SMEs.