The Romanian Parliament’s Chamber of Deputies Industry Committe decided to greenlight the amending legislation to allow renewable energy providers with an installed capacity below 3 MW to sign bilateral contracts.

Previously, market sources told energynomics.ro that the maximum admitted level will be provided for 5 MW projects, yet, the new provision will drive into insolvency or bakruptcy small projects exceeding 3 MW, writes Bursa.

The change in the Law 220 of 2008, which has been amended several times in recent years, would enable small suppliers to obtain financing easier for ongoing projects, as they would be able to sign long-term bilateral contracts with potential customers that will generate additional bankability in co-financing projects.

“Thus, it would enable small investors in projects to obtain financing for projects stagnating for years. But one of the variants discussed puts some conditions that seem to favor only players who do not sell cheap energy,” said an energy analyst.

The new provision must be passed, though, by the majority of Deputies, to come into effect later on.