A financing agreement to promote the energy security of vulnerable groups by a grant from the Federal Republic of Germany intended for the Republic of Moldova was signed in Chisinau. Under the document, Moldova will receive €40 million in non-reimbursable budget support. The funds under the German development cooperation were announced by the Federal Government in the second Moldova Support Platform conference held in Bucharest in July, IPN reports.

The money is designed to help Moldova implement the government program “Meter Assistance” as part of which the population will benefit from energy subsidies for November 2022 – March 2023 from the Energy Vulnerability Reduction Fund.

Minister of Labor and Social Protection Marcel Spatari said the Federal Republic of Germany has always stood by Moldova, supporting it in the most difficult situations. “Today the German state reaffirms its support for the citizens of our country by this non-reimbursable financial contribution that will cover the costs associated with the payment of energy subsidies for November almost fully. I thank Germany not only for this significant financial support that is so important in these tense times, but also for the unconditional support on the chosen path of European integration,” stated the minister.

The budget for the cold period of the year was planned at 5 billion lei. This includes financial support from the EU and other states. The foreign support will cover about 40% of the needs. The minister also said that preliminary analyses show the largest part of the applicants for energy subsidies fall into the highest energy vulnerability category.

Germany’s Ambassador to Moldova Margret Uebber said the rise in energy prices following Russia’s unprovoked and illegitimate war of aggression against Ukraine makes many households in Moldova pay a significant part of their incomes for energy. “This is a huge burden for many households. We are glad we can stand by our Moldovan friends in these hard times. With the €40 million, we support the Energy Vulnerability Reduction Fund that helps primarily the households that need it the most. Germany will continue to assist the Republic of Moldova to overcome the currently difficult situation and to accompany the country on the path of European integration,” stated the diplomat.