Romania would install 10,000 MW in new energy generation projects from renewable sources that will be financed through the National Recovery and Resilience Plan (NRRP) and the Modernization Fund, which would triple the level compared to the current capacity of 5,000 MW. At the same time, the cross-border interconnection capacity of the electric transmission network will also be increased to 5,000 MW, announced Dan Drăgan, State Secretary in the Ministry of Energy, during the conference “New wave of renewables”, organized by Energynomics.
“It is the first time when we have so much money at hand and it is the first time that we are developing such complex guides and schemes at the ministry. By 2030 we were to have another 7,000 MW of renewable energy connected to the grid. We are now reassessing the National Energy and Climate Change Plan (NECP) and pursuing a new target. Thus, for 2030, we increased the share of renewable energy in total production to a minimum of 34%, compared to the previous one of 30%. That means [new] 10,000 MW installed in renewable units”, declared Dan Drăgan.
Practically, in 2030, the power installed in renewable power plants would triple, from the current level of 5,000 MW. According to Drăgan, Romania aims to “reset the production sector”, and in order to succeed in this, it is necessary to have an energy transport and distribution network that can support the new generation capacities, but also flexible and efficient balancing capacities on natural gas and hydro.
Through the NRRP, the authorities have already closed a call for projects for wind and solar units of 950 MW, with a total budget of 500 million euros, addressed to independent producers and prosumers. According to Drăgan, projects with a value three times higher than the available budget were submitted, and the signing of the contracts is estimated to take place towards the end of the year. Another already closed call for projects concerns the production of green hydrogen, and the Ministry of Energy currently has an ongoing call for high-efficiency cogeneration projects for the district heating sector. At the same time, the institution is going to launch a call for projects for energy storage, for the development of the production of batteries and photovoltaic panels.
Through the Modernization Fund, 2.5 billion euros have already been allocated, a part for the installation of 750 MW of photovoltaic panels by CE Oltenia, and 430 million euros are allocated to Transelectrica for strengthening the energy transport network. 1.1 billion euros are allocated for energy distribution networks.
The Modernization Fund also provides for the financing of renewable capacities with a state aid intensity of less than 15 million euros. The Ministry wants to include in this program, probably in the spring of next year, larger generation capacities, where the value of the state aid exceeds this threshold of 15 million euros. At the same time, towards the end of 2023, the ministry’s proposals regarding contracts for diference (CfD) for the generation of energy from renewable sources would be presented.
“These investments are mandatory for the development of the energy system. Upgrading the transmission and distribution network is not an easy process, but we are here to provide the operators with an additional source of financing,” added the Secretary of State.
The conference “New wave of renewables“ was organized by Energynomics with the support of our partners: ABB, BCR, Eaton Electric, EnergoBit, EnergoPower, Enevo Group, Phoenix Contact, Photomate, REI Group, Simtel, Volt, Wiren.