Economic

Moldova scales biomass heat as gas tariffs surge by 41%

Moldovan authorities are urging public institutions and households to switch to solid biofuels to mitigate import vulnerabilities and buffer against sudden price shocks.

The policy push comes ahead of a 41% natural gas tariff increase set for September 1, which brings residential rates to €1.04 (approx. 20.30 MDL) per cubic meter.

Public infrastructure anchors biomass deployment

More than 300 biomass boiler systems are currently operating in public institutions across Moldova, delivering roughly 70 MW of combined thermal capacity.

According to the National Centre for Sustainable Energy (CNED), these public facilities replace up to 20 million cubic meters of imported natural gas annually, accounting for roughly 2% of total national consumption.

The private sector operates thousands of additional residential and small commercial systems, supported by approximately 45 domestic biofuel producers.

Retaining energy capital in the local economy

Sourcing biomass internally creates an agro-industrial value chain that directs heating expenditures back into regional economies rather than foreign suppliers.

Energy Minister Dorin Junghietu emphasized that developing the solid biofuel sector provides a competitive heating alternative while building long-term resilience against external price volatility.

To accelerate domestic adoption, the state offers direct co-financing for modern residential heating upgrades through the Residential Energy Efficiency Fund (FEERM), managed by CNED.

Translation by Iurie Tataru

Ana Cebotari

Ana Cebotari

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