New measures taken in Moldova for energy renovation of residential apartment buildings
Homeowners’ associations will be able to access loans for the energy renovation of apartment buildings more easily and financing costs will be lower. The government has approved the Regulation under which the National Center for Sustainable Energy (CNED) will be able to guarantee loans contracted for such investments and will compensate part of their interest.
The new measures will help residents more easily carry out works, such as thermal insulation of buildings, modernization of heating systems or installation of solutions for producing energy from renewable sources. These investments will reduce energy consumption, lower utility invoices and enhance housing comfort.
Through the new mechanism, the state will guarantee part of the loans provided to homeowners’ associations, which will facilitate access to financing even in situations where they do not have sufficient collateral. At the same time, CNED will compensate part of the loan interest, so that beneficiaries pay an interest rate of no more than 5 per cent per year.
The measure comes, given that many residential apartment buildings were constructed before 1990, have high energy consumption and require significant investments for renovation. At the same time, for many homeowners’ associations, the own contribution and access to credit represent the main obstacles to implementing such projects.
The new regulation complements the programme, Energy Efficiency Fund in Residential Sector of Moldova, through which the state already provides grants for the energy renovation of apartment buildings.
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