EBRD can ask to fully pay credit granted for renovation of aqueduct in Chisinau - ACC director

The Chisinau Municipal Council is to examine on Tuesday, November 7 the economic situation of “Apa-Canal Chişinau” JSC (ACC) and to decide if it accepts to conclude a credit from a Chisinau bank to subscribe to the share issuance initiated by the enterprise. The single water supplier in Chisinau needs financial sources to pay off a common installment of USD 1.3 mln from the credit granted by the European Bank for Reconstruction and Development for renovating the aqueduct in the capital. Date for repayment expired on October 23. The draft decision, proposed to the councilors for the approval, stipulates the contracting by the General Finance Division of a credit of MDL 20 mln from a Chisinau bank, for a 18-month-period, with the interest rate of up to 17% annually, to purchase the shares issued by ACC. The enterprise’s director, Constantin Becciev says that the water supplier still has the possibility to pay the financial sources until November 20. After this date, according to the international contract, within the framework of which both ACC and City Hall, and the Government have responsibilities, EBRD is empowered to request from the Ministry of Finances of Moldova to entirely pay off the credit totaling over USD 14 mln. Deputy Mayor of the capital Petru Sveţ stated at the last sitting of the Municipal Council that the City Hall asked for financial support of the Government, but, it did not give a positive answer to the respective request since. Interim mayor Vasile Ursu sought from the ACC administration, at the Monday’s sitting of the City Hall, “to seriously prepare” for the Municipal Council’s sitting, after he earlier stated that the tariffs on water will not be examined next time, as the municipal councilors, being on the eve of elections, represent the political parties that will not vote for an increase in tariffs. At the Thursday’s sitting November 2, CMC excluded from the agenda the items regarding the activity of “Apa-Canal” JSC (ACC), for the reason that it did not familiarize enough with the situation of the enterprise.