The US will invest $85 million to strengthen Moldova's energy sector and increase its energy security.
Moldovan Prime Minister Dorin Recean announced this at a joint press conference with US Secretary of State Antony Blinken. Prime Minister said that in the context of the Kremlin's aggression in Ukraine, the US is helping Moldova to overcome problems in different fields, particularly in the energy sector, and a new project is being launched with an investment of $85 million from the $300 million US aid announced last year. “This investment will ensure Moldova's energy security when there are problems in the grid either because of the domestic system or because of bombing of the energy infrastructure in Ukraine, with which Moldova is energetically united,” Dorin Recean said. He recalled that a similar amount was granted to Moldova by the United States in 2023, so that the government could compensate high energy prices in consumers' bills. Prime Minister said that the US assistance is not limited only to the energy sector, since the US helps Moldova's efforts to build a strong country from the economic point of view, with sustainable institutions. He described as invaluable the US assistance for justice reform, the fight against corruption, and continuous assistance for economic development. “As far as the wine industry is concerned, as well as the IT sector, tourism development, everywhere we will find a huge and significant contribution of the programs implemented through the US Agency for International Development,” Dorin Recean said. He emphasized that Moldova has a strategic goal to become a part of the big European family, and the US “is there to help transform our country and make it a full member of the EU”. For his part, Antony Blinken emphasized that the US is committed to respect Moldova's sovereignty and its success as a prosperous and democratic country with roots in Europe and in the West. He pointed out that Russia's war of aggression against Ukraine has turned energy into a weapon that actually poses a threat to national security and not just in the energy sector. “A big part of our activities in Moldova is to help ensure its energy security. Through the USAID project, we want to help Moldova build its energy infrastructure. The battery energy storage system (BESS) being purchased with US funds will help stabilize the grid, increase the use of renewable energy, and integrate into European markets,” the US Secretary of State said. According to him, this $85 million will be a catalyst for attracting investment from the private sector and other states. Antony Blinken said that the project also envisages strengthening the capacity of high-voltage power transmission lines, especially the connection between Moldova and Romania. “This will strengthen energy interconnection with Europe and integration into the European grid. These reforms will help Moldova attract other private investments and create new jobs. Energy security is also an important factor in ensuring independence,” the US Secretary of State said. He drew attention to the fact that many countries in Europe, which were dependent on Russian energy resources for decades, are now trying to get rid of this dependence and develop their own energy resources. “We want to do this in Moldova as well, to help ensure its sovereignty and a democratic, prosperous future,” Anthony Blinken emphasized. According to the U.S. Embassy in Moldova, Secretary of State Antony Blinken and Prime Minister Dorin Recean visited Moldelectrica's substation near Chisinau, a visit that underscores US support for Moldova's move toward a more sustainable, efficient, and stable energy sector by implementing proven innovative solutions and infrastructure that modernize the country's energy system. According to the Department of Energy, US assistance funds will be used to purchase a new large-scale battery energy storage system (BESS) and additional equipment in Moldova to improve the reliability of Moldova's power grid and effectively manage energy reserves and demand fluctuations, integrate energy from renewable sources, and increase capacity as consumers' energy needs evolve. Energy Minister Victor Parlicov emphasized that the batteries will allow maintaining the frequency and stability of the energy system. Thus, our country will fulfill another requirement for integration into the European energy system - it will have its own system stabilization capabilities - and opportunities will be created for new investments in renewable energy. “Along with the new interconnections with Romania, this energy storage system represents another step towards integration into the European energy market even before becoming an EU member state,” said Victor Parlicov. // 30.05.2024 - InfoMarket.
