Energy compensation program reduced national poverty by 8.3 percentage points, according to World Bank survey

Chisinau, May 18 /MOLDPRES/ - The energy compensation program has reduced poverty nationwide by 8.3 percentage points, and in the southern part of the country - has reduced poverty by about 10 percentage points. These are the findings of the World Bank in a recently published report on ensuring people's access to energy resources.

The report suggests that the Energy Vulnerability Reduction Fund (EVRF) has significantly cushioned the impact of energy resource price shocks on poverty and prevented many middle-class households from falling into poverty. Preliminary calculations indicate that the FRVE has reduced the potential poverty impact of energy price shocks during the 2023-2024 heating season by about 8.3 percentage points or 20% overall since the start of the compensation program.

More than 600 households across the country were interviewed in an opinion survey on the compensation programme implemented by the Ministry of Labour and Social Protection for the 2023-2024 season. Most respondents said they were satisfied with the compensation (58%). At the same time, more than half of the respondents (63%) said that the energy compensation programme had a positive impact on their household budget, helping reduce monthly expenses.

According to statistics, in the cold season 2023-2024, more than 792 thousand households registered on the platform compensatii.gov.md to receive compensations in gas, electricity and heat bills, as well as in the form of monetary payment worth 800 solid fuels.