Political

Chisinau authorities discuss with the US the continuation of USAID-funded energy projects

The authorities in Chisinau are discussing with the United States and other international partners to find solutions that would allow the implementation of energy infrastructure projects affected by the halt in external funding from the US, announces the President of the Republic of Moldova, Maia Sandu. The head of state mentioned the projects related to the construction of the 400 kV interconnection line between the Republic of Moldova and Romania and the acquisition of a battery energy storage system.

"For all these projects, we continue to discuss with the United States to see if we can keep them and if not, it is obvious that we will discuss with other partners to see how we can continue these extremely important projects for the citizens of the Republic of Moldova, so that we can provide citizens with energy and we can reduce citizens' costs for energy, these are important projects and we will continue them," said Maia Sandu.

The energy sector in the Republic of Moldova is feeling the effects of the suspension of external financing from the United States. Four projects, with a cumulative value of over 200 million dollars, are affected by the suspension of support provided by the United States Agency for International Development (USAID). The Ministry of Energy informs that it has requested clarifications from USAID, but has not yet received any official response.

According to the Ministry of Energy, the Executive is collaborating with the European Union and other international partners to compensate for any delays or blockages. On February 4, 2025, the Government of the Republic of Moldova and the European Commission signed a Letter of Intent on Energy Independence, which provides for investments and reforms to improve the country's energy security. A two-year action plan is currently being developed, which will include concrete measures to ensure the continuity of strategic projects.

We remind you that on January 20, 2025, President Donald Trump issued an executive order suspending most United States foreign assistance programs for 90 days, in order to re-evaluate them to ensure they are aligned with his foreign policy.

US aid to the Republic of Moldova was largely managed through USAID, which, since 1992, has invested over $640 million in our country. By 2030, through USAID Moldova, US funds were to support essential projects focused on strengthening social cohesion, stimulating economic growth, promoting democratic and equitable governance, as well as strengthening energy security and the healthcare system.

Bogdan Nigai

Bogdan Nigai

Author

Read more