On Monday, Energy Minister Dorin Junghietu signed a financing agreement with the development arm of the European Investment Bank (EIB Global) for a total loan of over €244 million aimed at modernizing the centralized heating system in Chișinău and building a new hospital. €143.5 million are allocated for the heating system modernization, and €101 million for the construction of a hospital in the city of Cahul.

Termoelectrica SA, the largest producer and supplier of thermal energy in Moldova, will implement the centralized heating modernization project, which includes replacing outdated vertical systems in apartment buildings with horizontal piping, installing individual heat substations, and improving building distribution networks. These measures are expected to reduce energy consumption by 25%, lower heating bills, and cut greenhouse gas emissions by 7% over the next two decades.

The Ministry of Health of the Republic of Moldova is responsible for the planned hospital in Cahul, in the southern part of the country. The hospital will serve around 300,000 people from Cahul and neighboring towns, including Comrat, Leova, Ceadâr-Lunga, Taraclia, Cantemir, and Vulcănești.

The heating modernization work in Chișinău, which has a population of approximately 750,000, is scheduled to be completed within seven years. The project will also reduce heating costs for customers, improve access to hot water in connected homes, and help decrease pollution and emissions.

"This project is a strategic investment that will improve the quality of life for around 300,000 households in the city. By installing 2,510 individual heat substations and converting 1,665 apartment blocks to a modern horizontal distribution system, we ensure that each apartment gains greater control over its energy use, increased efficiency, and ultimately, lower bills for citizens," said Energy Minister Dorin Junghietu. "Through this joint effort, we send a clear message: looking toward the future means making smart investments, caring for citizens, and taking responsibility for the environment."

"We are contributing to improving everyday life for people across the Republic of Moldova – from better healthcare in the south to more efficient heating in the capital," said EIB Vice-President Teresa Czerwińska. "We support Moldova's priorities by strengthening public services, aligning them with EU standards, and enhancing energy infrastructure to reduce the country's dependence on Russia."

The EIB’s comprehensive financing package reflects European support for infrastructure development in Moldova as the country pursues EU membership.

The Cahul hospital is scheduled to be completed by 2030.

"The signing of this financing contract with the European Investment Bank marks a significant milestone for our healthcare system," said Health Minister Ala Nemerenco. "This is the first time two regional hospitals will be built from scratch in the Republic of Moldova – one in Cahul and one in Bălți – in line with the highest European standards. The Cahul Regional Hospital will provide real access to modern and high-performance healthcare services for over 300,000 people in the south of the country. It is a concrete step towards equity in healthcare and a strong commitment by the Ministry of Health to build a sustainable system close to citizens."

Both EIB global loans are supplemented by funding from other sources.

The centralized heating project is co-financed by the European Bank for Reconstruction and Development (EBRD), grants from the European Union, and a multi-donor fund known as the Eastern Europe Energy Efficiency and Environment Partnership (E5P). The hospital project benefits from technical assistance provided through contributions from the EU, the EIB’s Eastern Partnership Technical Assistance Trust Fund (EPTATF), the Swedish development finance institution Swedfund, and the EIB’s own EU Advisory Hub for Ukraine.

"Now is the time to cut unnecessary energy use in Moldova through projects like these – not just for savings, but for quality of life and your future," said EU Ambassador to Moldova, Jānis Mažeiks. "Behind every euro invested is a Moldovan family whose life is improving – with warmer homes, reliable healthcare, and real hope for the future. These investments go beyond infrastructure; they bring dignity, security, and opportunity into people’s everyday lives."