For the transition economies, including the Republic of Moldova, the energy sector reform must be implemented without undue delay, as this is a prerequisite to increase the energy security of the country, but also to integrate the domestic energy market with the European one. Certainly, a modern and evolving economy cannot be sustained without an efficient energy sector, capable of providing and supporting with energy resources the various economic branches, together with those of social development. The major current issues facing the energy sector today including supply, network losses, energy market deficiencies, environmental impact and limited investment sources, render it unsustainable. This is primarily due to the absence of an adequate institutional framework. Additionally, the complexity and challenges associated with our country's inclusion in the Energy Package IV further complicate matters. This package necessitates the reform of the sector by adopting European Union standards to overcome the obstacles posed by the economic and financial crisis we are currently experiencing. In such a way, the increase of the quality and security of the energy sector can only be achieved if the restructured energy industries are placed on a stable and sustainable financial basis. Through this research, the authors aimed to identify the problems, but also to propose viable solutions regarding the reform of the country's energy sector, making use of the European good practices.