The European Bank for Reconstruction and Development (EBRD) has joined four other banks to provide financing and help reduce energy bills in Moldova.
The financing is part of a €35m Moldovan Residential Energy Efficiency Financing Facility (MoREEFF) framework to boost residential energy efficiency in the country.
The banks, Moldindconbank, Moldova Agroindbank, ProCredit Bank and Mobiasbanca - Groupe Societe Generale - have joined the MoREEFF, which was launched in October 2012.
EBRD Chisinau office head Julia Otto said energy bills put an enormous burden on Moldovans, particularly in winter, while heat loss is also a big concern.
"The EBRD financing aims to help Moldovans refurbish their homes, keep them warm and reduce their energy bills," Otto added.
"In addition, the Bank is supporting the Ministry of Construction and Regional Development in amending the Law on Energy Efficiency and the Housing Codes, creating a legal framework that will enable home-owners' associations and condominiums to borrow money in order to invest in more efficient materials and equipment."
Moldova imports over 90% of the energy it consumes and spends more than 30% of its import budget on energy.
The EBRD's MoREEFF framework finances improvements such as the installation of energy-efficient windows, the insulation of walls, roofs and floors, and the use of gas boilers, biomass-fuelled room heaters, solar water systems, heat pump systems and rooftop solar panels.
Any Moldovan home-owner or association of home-owners, energy service company, developer, or facility management company that takes a loan under MoREEFF will receive a grant of between 20% and 35% of the loan amount towards the cost of the energy-saving project, EBRD said.
Image: EBRD, through MoREEFF, has helped 169 households make energy and money-saving improvements. Photo: Courtesy of FreeDigitalPhotos.net.