The Atlantic Council, in cooperation with Serban Musneci Associates and Energynomics, has organized a breakfast & discussion session on Turkey-Romania energy dialogue for energy security on the occasion of the Atlantic Council’s Regional Conference on Clean and Secure Energy, in Istanbul.
Various topics were touched on, from offshore wind, to SMRs (Small Modular Reactors), and regional cooperation. Here are some key takeaways from a conversation where business representatives exchanged views with top officials from Romania and Turkey.
The geopolitical landscape was a priority topic, with many speakers mentioning the energy security challenges in the region, especially concerning security of gas supply. In 2023, Turkey has agreed to send natural gas via pipeline to Romania, and discussions are ongoing on increasing gas supply contracts, but also the electricity trade between Romania and Turkey.
Also, Black Sea was mentioned as a strategic hub, and references were made to opportunities like Neptune Deep and offshore wind law investments – both examples of yet untapped energy resources in the region.
The Head of Energy Department in the Ministry of Foreign Affairs of the Republic of Turkey mentioned the 8 billion dollars of investments from Turkish companies in Romania, focusing on sectors like construction, pipelines, and energy. However, there are many more opportunities for joint exploration and production of energy resources, while the number of Romanian companies operating on the Turkish market is quite low.
Romania’s nuclear ambitions, conventional and Small Modular Reactors (SMRs) too, were also a topic covered extensively. Reta Jo Lewis, President and Chair of the Board of Directors at Export-Import Bank of the United States (EXIM), highlighted the 100 million dollars investment for SMRs in Romania, and also to the support for Units 3 and 4 at Cernavodă Nuclear Power Plant, a form of export credits that plays a significant role in financing energy projects.
Another recurring theme was that achieving net-zero emissions will require further development in nuclear technologies, especially SMRs which are safe and offer a flexible energy solution: “Net Zero targets are unreachable without nuclear.”
Talking about Romania’s energy transition and business opportunities, Adrian Bazavan, Foreign Affairs adviser to the Romanian Minister of Energy, mentioned that Romania has seen 7x economic growth in the last decades, this evolution offering a large-scale opportunity for energy investments.
At turn, the president of ANRE, George Niculescu, talked about the significant funding available for projects, in Romania, particularly in the renewable and nuclear sectors. Strengthening energy grids is a key priority for Romania, he said, with 1.3 billion euros in European funding dedicated to upgrading DSO grids.
Romania and Turkey are working closely on regulatory frameworks for energy projects, particularly SMRs, has been also highlighted.