Economics

HEATING COMPENSATIONS SHOULD BETTER BE USED FOR RAISING BUILDING ENERGY EFFICIENCY - IDIS

19 octomber, 2017

Ex-director of the National Energy Regulatory Agency (ANRE), expert of the Institute of Development and Social Initiatives (IDIS) “Viitorul” Victor Parlicov maintains that money annually allocated from Chisinau municipal budget for paying compensations to low-income families for heating, should better be directed to raising building energy efficiency.

He calculated that around 60 million lei are annually allocated from the municipal budget to compensations for heating.

“But the problem of fabulous figures in heating bills is low energy efficiency of most of city buildings. They are poorly insulated, are using outdated system of vertical heating. In conclusion, this leads to the fact that citizens are overpaying for heating almost three-fold per each square meter of the housing. That is, compensations are in fact going to covering unnecessary costs. The raising of building energy efficiency will reduce the consumption by almost one-half and will really lower the final sum in the bill. Of course, works demand money – the conducting of modern horizontal heating system costs 500 Euros per each apartment. This is especially felt by socially-vulnerable segments of the population”, the expert said.

However, according to him the raising of energy efficiency in city buildings is a necessary and efficient step.

“It may be taken if a single financial fund will be created, which will allow accumulating money both from the municipal budget and the National Energy Efficiency Fund”, the expert maintains.

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