Financing and guaranteeing energy efficiency projects in the residential sector were the main focus of a workshop that brought together representatives from the Government, the banking sector, sustainable energy experts, and international partners. The event discussed financing products developed through the Residential Energy Efficiency Fund of Moldova (FEERM) and ways to stimulate private investments in this field.

Carolina Novac, Secretary of State at the Ministry of Energy, emphasized that energy efficiency is essential both for citizens’ comfort and for the country’s economic development. “Energy efficiency is not just about reducing consumption and bills; it also creates jobs and drives economic growth. Our target is an annual reduction of energy resource consumption by 0.8%, a goal valid until 2030. As an EU candidate country, we have clear integration commitments, and the Law on Energy Performance of Buildings sets ambitious targets for the residential and public sectors,” stated Carolina Novac.

Ion Muntean, Director of CNED, presented the financial solutions developed through FEERM, with a budget of over 1.4 billion MDL until the end of 2027. The program aims to renovate at least 507,000 m² of housing over the next three years. Grants cover up to 70% of investment costs for condominium homeowners’ associations, while vulnerable individuals may receive coverage of up to 90% of their own contribution. Additionally, grants for individual households under the Green Home financing product cover up to 50% of the investment, up to 200,000 MDL. “These solutions are designed to make investments in energy efficiency more accessible and attractive for all citizens,” explained Ion Muntean.

Marco Buechel, Component Leader at GIZ Moldova, noted that Moldova has already made significant progress toward decarbonizing the residential sector and now has a clear vision of the necessary actions. “Currently, we are working with CNED on several fronts—firstly, implementing the FEERM program, and secondly, mobilizing private investments through loans provided by local banks, for both individual homeowners and condominium associations. In addition to renovating existing buildings, we also need to consider new constructions, which require significant upfront investments to meet NZEB standards and, consequently, benefit from appropriate support,” emphasized Marco Buechel.

Dorel Noroc, President of the Association of Banks of Moldova, highlighted the role of banks in financing these programs. “There is enormous potential in the field of energy efficiency. Part of the costs will be covered by CNED and development partners, part by the beneficiaries’ own funds, and the rest through bank loans. The multi-apartment building segment needs stronger incentives, and for this it is important to increase banks’ appetite to finance projects and leverage the existing guarantee instruments,” stated Dorel Noroc.

The event agenda included presentations of FEERM financial products and the CNED Guarantee and Compensation Fund, followed by a discussion session and the initiative “Facilitating the development of financial products for condominium associations, individual homes, and construction companies,” accompanied by results from a survey of local banks and non-bank credit organizations. Partnerships, priorities, and implementation timelines were also discussed, and the pilot residential energy efficiency project in Bălți, “First Swallows,” highlighted practical crediting lessons and solutions.

The workshop was organized by the National Center for Sustainable Energy (CNED) and GIZ Moldova under the “Energy Efficiency and Renewable Energy for Moldova” (E4M) project. E4M is implemented by GIZ together with the Government of Moldova, funded by the German Government, co-financed by the European Union, Norway, and Denmark. This activity is funded by Norway and Denmark.

The National Center for Sustainable Energy (CNED) is a public institution under the Ministry of Energy tasked with coordinating and organizing activities to ensure the implementation of state policy in its assigned areas, including attracting and managing financial resources to fund and promote projects and programs in these fields sustainably, from an environmental and climate perspective, while contributing to the country’s energy security.