Moldelectrica to be reorganized: decision approved by Government

The operator of the national electricity transmission system, Moldelectrica, will be reorganized from a State Enterprise into a Joint-Stock Company with fully state-owned capital. Government approved the decision today. The new organizational form introduces clearer and more transparent corporate governance rules, which will facilitate the implementation of strategic network development projects and strengthen the confidence of international financial partners involved in the modernization of the energy infrastructure.

The change aims to create a fully independent operator from an operational, functional, and decision-making perspective, capable of operating, maintaining, and developing the electricity transmission networks in line with European requirements. 

Secretary General of the Energy Ministry Andrei Grițco said at the Government meeting that the transformation does not entail the privatization of the enterprise and does not alter the legal status of the strategic energy infrastructure. The state will remain the sole shareholder of the company, represented by the Ministry of Energy, and the electricity transmission networks, substations, and other assets that are part of the public domain will remain state property, in accordance with the law.

"The Ministry of Energy will exercise, on behalf of the state, the function of sole shareholder. The reorganization does not represent a privatization measure. What we are specifically changing is the way in which the state exercises its role as owner. A strategic company must have clear responsibilities and a management that can be evaluated based on results. Through the new form, we better distinguish these responsibilities: the state defines what it expects from the company, the board monitors whether the objectives are achieved, and the management runs the activity and is accountable for the results. The legal form of a joint-stock company provides a better governance framework and a higher level of credibility and predictability in relation to international financing partners," emphasized Andrei Grițco.

The reorganization process will be carried out within up to 24 months and will include the inventory and valuation of assets, in order to determine which assets will be included in the company’s capital and which assets will remain state-owned and will be transferred to the company under economic management. The costs related to the reorganization will be covered by Moldelectrica, without additional financial costs to the state budget. Throughout the entire process, the State Enterprise "Moldelectrica" will continue its activity without interruptions, and the operation of the national power system will not be affected.

"Thus, we are changing the management model, but preserving what is essential, namely Moldelectrica’s mission, the licenses, and the functional and decision-making independence of the transmission system operator," concluded the Secretary General of the Ministry of Energy.

The State Enterprise "Moldelectrica" is the electricity transmission system operator in the Republic of Moldova and ensures the safe and balanced operation of the high-voltage electricity network. It plays an essential role in the operation, development, and modernization of the transmission infrastructure, as well as in the integration of new generation capacities and interconnections with European power systems. In many European countries, state-owned energy, infrastructure, or transport companies operate under this exact corporate model: the state remains the owner, but the company is managed according to rules similar to those in the private sector.