Ungheni district council enters into public-private partnership agreement on biomass heat supply
The first public-private partnership agreement under the second phase of the Moldova Energy and Biomass Project (MEBP) was signed between Ungheni district council and Green Energo. The latter is expected to install two biomass heating systems, take over the management of 5 boilers running on briquettes and implement energy efficiency measures in public premises. The total investments will amount to 3.3 mln MDL, and the construction works will start this year.
This is the first of the five tenders announced in the districts selected by MEBP and Energy Efficiency Agency for PPPs for biomass heat supply services. MEBP will provide 100 thousand USD to the local government of each of the five districts to establish PPPs in order to address, among other things, the issue of the fuel quality, sustainability of the heat supply services and energy security of the beneficiary localities/institutions, while contributing to local development by creating new jobs and increasing the incomes to the local budgets.
The EUR 9.41 mln MEBP II is a three year project, funded by the EU and implemented by the United Nations Development Programme, which started in 2015 and is expected to end in 2017. It is a continuation of the first phase that was implemented between 2011 and 2014 with a total budget of 14.56 mln. EUR granted by the European Union (14 mln EUR) and UNDP (560 000 EUR).