The OECD has been working on water policy reform in the countries of Eastern Europe, the Caucasus and Central Asia for over 20 years. Three of the countries within the region, Georgia, the Republic of Moldova and Ukraine have signed Association Agreements with the European Union.

The water supply and sanitation (WSS) sector in Moldova is not financially sustainable: tariffs do not typically cover operational costs and capital investments are heavily funded by external development partners.

Since the 1990’s, the countries of Eastern Europe, the Caucasus and Central Asia (EECCA) have made great progress in pursuing economic development that is also environmentally sustainable. The countries, in collaboration with the GREEN Action Task Force hosted by the OECD, has developed a number of policies aiming to improve environmental quality and social well-being, while creating opportunities for strong economic growth and decent jobs in the region.

Examines key issues related to water resources management including governance and inadequate investment and maintenance, the need for an integrated policy approach, and the need for a strong evidence base to support policy development.

This report aims to support the development of a sound economic regulatory system for the water supply and sanitation (WSS) sector in the Republic of Moldova (hereafter “Moldova”). The prevailing policy framework calls for drastic developments in WSS to modernise and optimise WSS systems and improve operational efficiency (non-revenue water, staff-output ratios etc.) – in line with domestic and international commitments (including the Association Agreement with the European Union, the Sustainable Development Goals, the Paris Agreement and the national WSS strategy).