The European Union will provide a €15.4 million grant for the construction of the 400 kV Bălți – Suceava overhead power line. The Parliament has ratified, in the first reading, the Grant Agreement between the Republic of Moldova, the state-owned enterprise "Moldelectrica," and the European Bank for Reconstruction and Development (EBRD) for the implementation of the project "Interconnection of the Electricity Networks between the Republic of Moldova and Romania, Phase II," signed in Chișinău on February 6, 2025.

The agreement provides for the allocation of non-reimbursable financial support from the European Union amounting to €15.4 million, which will co-finance 20% of the construction of the 400 kV Bălți-Suceava Overhead Power Line. This line will interconnect Moldova’s power system with Romania’s, expand the Bălți 400 kV substation, rehabilitate Moldova's electricity transmission networks, and offer consultancy services for project implementation.

"The implementation of this project will significantly contribute to enhancing Moldova’s energy security, particularly in the northern region, which is among the most vulnerable. At the same time, we aim to develop the economy by ensuring reliable electricity supply services. Another important benefit will be the increased flexibility of the power system, facilitating the integration of additional renewable energy capacities, which have an intermittent operating regime," stated Constantin Borosan, State Secretary of the Ministry of Energy, during the parliamentary session.

The Bălți-Suceava overhead power line will span 58 km within Moldova. To accelerate the construction process, the works will be declared a public utility of national interest, and the Ministry is in an advanced stage of promoting this legislative initiative.

The power line will contribute to increasing energy security, integrating additional renewable energy capacities, and expanding the electricity market at the EU level.

Additionally, part of the financial resources will be allocated for investments by the electricity transmission system operator to reconstruct and modernize substations, replace transformers, and upgrade autotransformers. According to the project, approximately 200 substations will be rehabilitated/modernized, and 10 high-power 110 kV transformers will be replaced.

It is worth mentioning that the grant provided by the European Bank for Reconstruction and Development (EBRD) covers 20% of the total project cost, which amounts to €77 million. Previously, in the context of implementing the "Interconnection of the Electricity Networks between the Republic of Moldova and Romania, Phase II" project, the Parliament ratified a Loan Agreement between EBRD and the Republic of Moldova, providing €30.8 million in repayable financing. An additional €30.8 million was reallocated by the European Investment Bank (EIB).