Part I: Introduction
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Energy Conservation in Moldova ABSTRACT The importance of energy conservation in all the aspects of energy production, transportation, distribution and utilisation should not be underestimated. A special attention to that is paid since the oil crisis in 70’s of the last century. Today energy efficiency has increased considerably, but there is still a potential for energy savings. This potential is widely spread in power plants, energy supply systems, factories, plants, agricultural and residential facilities. In the countries in transition, such as former socialist countries, energy saving policies have started not so long time ago and a lot of work is to be done in order to improve energy efficiency and approach the level of developed countries. In Moldova, the energy sector is one of the most problematic parts of the national economy. 98% of the primary energy resources are imported, which complicates very much energy security in the state. Some internal problems, such as lack of investments in the sector, old and inefficient facilities, uncontrolled and unpaid energy consumption, internal social and political instability create additional difficulties in improving this situation. Industry and residential sector consume the highest amount of the supplied energy. It is obvious that improved energy efficiency in these sectors could lead to big energy savings. Reduction in energy consumption will favourably influence the impact of the energy sector on the environment. The present work aims at identifying energy saving potential in the industrial and residential facilities in Moldova. Interdependence between energy and environment, the positive influence of reduced energy consumption on the environment is shown. Future development strategies and energy resources potential are also discussed. A brief history overview of Moldova and of the energy sector development are presented for a better understanding of the particularities and reasons of the present situation. This is followed by a description of the energy sector in Moldova, its infrastructure and economy, the problems to pass and energy security objectives. In the following part, energy and environment issues are discussed and the way energy conservation influences environmental impact. Environmental aspects of energy use, policy, legislation and institutions in Moldova are also described. Energy Conservation Programme is presented concluding this part. Energy utilisation sector, with deeper analysis of industrial and residential parts is overviewed in the main part of the study. Energy conservation measures are discussed in case studies and the energy savings potential is shown. Scenarios and strategies for future development of the energy system of Moldova are described as a result of the study. Conclusions and further work suggestions are made. ____________________________________________________________________ 1 Energy Conservation in Moldova TABLE OF CONTENTS Abstract……………………………………………………………………………...1 Table of contents………………………………………………………………….2 1. Introduction……………………………………………………………………..4 2. Country overview: Republic of Moldova………………………………..7 2.1 General information………………………………………………………..7 2.2 Brief history overview of Moldova……………………………………..10 2.3 Brief history of the Energy Sector development…………………….11 2.3.1 Electrical Power Sector development………………………...…..11 2.3.2 Thermal Power Sector development ………………………...…..12 3. Energy Sector of the Republic of Moldova……..……………………13 3.1 Energy Sector Infrastructure………………………..…………………..13 3.1.1 Energy resources……………………………………………………13 3.1.2 Energy Sector organisation ...……………………………………..14 3.1.3 Energy Sector facilities …………………………………………….16 3.2 Energy Sector and Economy …………………………………………...20 3.2.1 General Economic Data …………………………………………...21 3.2.2 Economy and Finances in the Energy Sector …………………..22 3.2.3 Energy Security of the State ………………………………………27 4. Energy Conservation and Environment ………………………………33 4.1 General issues …………………………………………………………….33 4.1.1 International Energy Efficiency policy ……………………………34 4.1.2 Energy and Environment interdependence ……………………..35 4.2 Energy and Environment in Moldova …………………………………36 4.2.1 Environmental aspects of energy use ……………………………36 4.2.2 Environmental policy, legislation and institutions ……………….38 4.2.3 Moldovan Energy Conservation programme …………………....41 ____________________________________________________________________ 2 Energy Conservation in Moldova 5. Energy Conservation in Energy Utilisation Sector ………………..46 5.1 General description and data ………………………………………….46 5.2 Industrial Sector…..……………………………………………………….50 5.2.1 General information ……………………………………………….50 5.2.2 Energy Conservation measures in Industry ……………………. 53 5.2.3 Case studies on Energy conservation measures in industry ….58 5.3 Residential Sector ………………………………………………………. 65 5.3.1 General information ………………………………………………. 65 5.3.2 Energy Conservation measures in residential sector …………. 66 5.3.3 Case studies on Energy conservation measures in residential sector ……………………………………………………………….. 72 6. Renewable Resources Potential in Moldova ……..………………..76 6.1 Solar energy ………………………………………………………………..76 6.2 Bioenergy …………………………………………………………………..77 6.3 Micro-hydro-energy ………………………………………………………80 6.4 Wind energy ………………………………………………………………..81 7. Main issues of the Energy Sector Development Strategy ………83 References …………………………………………………………….90 Appendix ……………………………………………………………….92 ____________________________________________________________________ 3 Energy Conservation in Moldova 1. INTRODUCTION Energy is a driving force in all the aspects of life. There are many forms of energy that can be used directly or after transformation into another form. In its evolution, human society has investigated the ways to transform and use energy in order to maintain and develop living activities. To provide today’s world’s population and future generations with the necessary amount of energy, the energy resources cannot be squandered. A sustainable world economy can be created on the principle of the efficient use of its resources. The inefficient part of used resources could be freed to use them for other purposes. The inefficiency of the energy use has reflections on the environmental degradation. Use of fossil fuels brings up problems of greenhouse gas emissions, air and water pollution, acidification, land degradation from mining etc. Especial attention should be paid to the hazardous effects of nuclear energy use. The importance of increasing energy efficiency appears clearly. It reduces the exhausting use of resources and diminishes the negative environmental impacts. The welfare of any country is defined by its economical, social and political stability. Improvement of the life quality and essential contribution to economic and social development of the country is done by proper energy services. It penetrates all the activities and any instability in offering energy services can lead to a misbalance in the country’s economic, political and social life. Therefore, it is important to secure sufficient and varied energy supply and to provide access to energy services. On this goal, co-operation on international level should be maintained in order to assure stable energy supply and to improve energy security of all countries. Work should be done at the national level too, improving energy efficiency. This will lead to economic, environmental and energy security benefits. The efficient use of energy resources has many advantages. The use of cleaner fossil fuels and renewable resources reduces the use of fossil fuels, which has direct influence on the state of environment. In many countries, energy is a substantial part of economy and its efficient use improves the economy of the country (especially if it represents more that one third of it, as in some countries in transition). For the countries that import most of its energy resources it will decrease the import and will increase the energy security. It can delay the need for new energy production and supply capacities. And last, but not least, it creates new energy markets and new job opportunities. Energy efficiency (or Energy conservation) represents a strategy that, using important principles and methods, lead to energy savings. The contribution of every energy unit to the energy conservation in production, transportation, distribution and end-use is defining the efficiency of energy system of the country. It was illustrated on the examples of the countries in transition that satisfying level of economic development can be achieved if energy is used efficiently in industrial and residential sectors. ____________________________________________________________________ 4 Energy Conservation in Moldova The present study shows the importance and links between energy conservation and environment on the example of the country of Moldova. As in a number of countries in transition economy, energy utilisation in Moldova is an important and problematic part of the energy sector. Industry and residential sector are the main components that consume most of the supplied energy. The consumption is not efficient due to lack of funding, old facilities, bad management and low level of awareness regarding importance of energy conservation. There exist some common energy conservation measures appropriate to all countries and some specific for each country. The aim of the study was to identify the energy conservation methods and potential savings for the industrial and residential facilities in Moldova and to make