Policy Details

Energy Efficiency Law

Moldova, Republic of

Year started: 
In Force
End use / Technology: 

The overall objective of the Law on energy efficiency is to provide regulation of activities aimed at reducing the energy intensity of the national economy and the negative impact of the energy sector on the environment. The scope of this law is to provide ground for energy efficiency improvements, including by establishing and supporting the institutional activity in development and implementation of programmes, plans, energy services and other energy consumption efficiency measures specified in law.

The provisions relate to the introduction of the concept of an energy efficiency obligation schemes; strengthening the exemplary role of public buildings; the development of obligatory energy audits in large companies from the national economy as tools for understanding the importance of rational energy consumption as well as the existing opportunities for rationalization; strengthening the role of local authorities in the implementation of energy efficiency policies, involving energy managers; promotion of energy efficiency in public procurement procedures; promotion of contracts for energy efficiency, etc.

This law applies to energy services providers through whom the energy efficiency improvement measures are being realised, energy distributors, DSOs, energy suppliers and consumers.

The Law on Energy Efficiency stipulates that the large enterprises of Moldova should be audited from energy prospective. For example, enterprises with more than 249 employees, income from sales of more than 50 million lei (app. 2.5 million euro) per year and a balance sheet of assets from 50 million lei (app. 2.5 million Euro) and higher will have to undergo energy audit or audit of energy systems. For them, this will be an obligatory procedure held every 4 years.

At the same time, it is proposed that a similar requirement - energy audit, should be required for energy-efficiency projects, which are financed from the state budget, local budgets or various projects’ funds. For small and medium-sized enterprises there will be no such requirement, but they should be informed of the benefits of energy efficiency and the possibility of receiving financial assistance and covering part of the costs for energy efficiency.

The law introduces energy efficiency obligation schemes for certain energy market players. At present, there are 62 enterprises which fall under the law provisions, among which: 25 importers of diesel and gasoline, 11 importers of liquefied gas, 2 electric distributors and 23 distributors of natural gas. These companies will transfer a certain amount to the Energy Efficiency Fund, which will take over the responsability of generating some energy savings under the EEOS instrument.

There is also an obligatory renovation share of the central authorities’ buildings. This provision applies only to buildings owned by the central authorities, which should be a model for the implementation of the law on energy efficiency in buildings. Annually, at least 1% of the surface of the buildings with an area of more than 500 square meters must be renewed.

Another important component of the project is the review of the institutional framework for implementing energy efficiency policies to strengthen the capacity of the competent authority. In particular, the Energy Efficiency Agency will be reorganized through a merger (absorbtion) with the Energy Efficiency Fund (the absorbed organization).

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