The implementation of the Contract for Difference (CfD) mechanism has been eagerly awaited by the Romanian banking system, and the first auctions are seen as an opportunity to create real competition to set market-based prices, said Manuela Trisnevschi, Head of Energy & Utilities at BCR.
“The predictability and stability offered by CfD helps investors to create a business plan, to be able to create a structure that is bankable,” Trisnevschi explained at the Energy Strategy Summit 2024, organized by Energynomics.
Alongside CfDs, Trisnevschi expressed his hope that there will also be increased interest in long-term power purchase agreements (PPAs), as they should be complementary to CfDs, which BCR sees as an ideal financing model.
“An investor who has these kinds of contracts wouldn’t necessarily have a better bank rating, but it would certainly have that predictability that banks want,” she said.
This predictability would allow for a longer-term financing structure, which would relax lending conditions and allow for higher leverage. Trisnevschi noted that there are currently many projects in the area of energy production, infrastructure and storage, but bank financing is done on a case-by-case basis, each project being different.
Energy Strategy Summit 2024 was organized by Energynomics, with support from our partners: ABB, ADC, Alive Capital, BayWa r.e, BCR, Best Tools Company, CRC Energy, Distribuție Energie Electrica Romania, DRI, Eaton Electric, Electrica Furnizare, Elektra Renewable Support, EnergoBit, Energo Power, Enevo Group, Evryo, Exim Banca Românească, Hidroelectrica, Horvath, Huawei, Jinko Solar, Keno Energy, MET România Energy, Nofar Energy, Nuclearelectrica, OX2, Photomate, PNE, Polytrade, Renomia Gallagher, Romgaz, Schneider Electric, SolaX Power, TDP Partners, ThinkBlu Solution, Transelectrica, Vertis, WALDEVAR Energy. With the support of Alexandrion Group, Mobexpert.
Strategic partners: ACUE, AFEER, AIIR, AHK România, ARPEE, CNR-CME, CRE, EFdeN, EPG, HENRO, FPPG, PATRES, ROMATOM, RPIA, RWEA, SAMER.
Parteneri media: CISOLAR, The Voice of Renewables