Archive for the ‘renewable energy’ Tag

Romania – 4400 MW of renewable energy sources installed in the last 4 years: 60% wind and 25% solar PV

Romania – 4400 MW of renewable energy sources installed in the last 4 years: 60% wind and 25% solar PV

Transelectrica: Renewable energy production capacity reached 4,412 MW

Renewable energy projects reached a total capacity of 4,412 MW at the end of January 2014 , according to Transelectrica.

Thus, the system has wind projects with a capacity of 2,704 MW, solar parks with a total capacity of 1,077 MW, while small hydro reached 536 MW and biomass projects – a capacity of 95 MW.

Renewable energy producers receive subsidies in the form of green certificates, which are levied on all consumers, including the household and are highlighted separately in monthly electricity bill, according to Agerpres.

For 2013, the Energy Regulatory Authority (ANRE) set last week  a mandatory quota of green certificates per MWh of 0.224 GSs, up from 0.1188 level per MWh for 2012.

Romania has assumed that 24% of electricity consumption in 2020 will come from renewable sources, but ANRE announced that this target has already been reached on 1 January 2014.


Ziarul Financiar – Ţara “morilor de vânt”: parcurile eoliene au ajuns la o capacitate de 1.000 MW după investiţii de peste 1,5 miliarde de euro

News about the development of the wind energy sector in Romania – 1GW online today:
(articol nou-aparut despre cum evolueaza sectorul energiei eoliene in Romania – 1000MW racordati astazi la retea)

–––– Autor: Roxana Petrescu ––––

Capacitatea parcurilor eoliene funcţionale în România a ajuns la 1.009,5 MW, cu 40% mai mare comparativ cu cea a unui reactor al centralei nucleare de la Cernavodă, investiţiile depăşind 1,5 miliarde de euro dacă se ţine cont de faptul că fiecare MW instalat costă între 1,5 şi 1,7 milioane de euro. Datele Transelectrica arată că în acest moment funcţionează 11 parcuri eoliene, toate fiind localizate în Dobrogea.

Cehii de la CEZ au cel mai mare parc eolian cu o capacitate de 387,5 MW în comuna dobrogeană Fântânele, în total funcţionând 155 de turbine de câte 2,5 MW fiecare.

Următorul ca mărime este parcul realizat de Energias de Portugal în comuna Peştera. Investiţia are o capacitate de 90 de MW şi cuprinde 30 de turbine eoliene. Tot Energias de Portugal mai are două parcuri eoliene de câte 69 de MW fiecare la Cernavodă.

Spaniolii de la Iberdrola au pus şi ei în funcţiune un parc eolian de 80 de MW în localitatea Mihai Viteazu. Italienii de la Enel au trei parcuri eoliene, fiecare de câte 70 de MW, precum şi unul mai mic de 34 de MW, toate situate în Tulcea.

Petrom, cea mai mare companie din România, figurează la rândul ei pe lista Transelectrica cu un parc eolian de 45 de MW în comuna dobrogeană Dorobanţu. Cel mai mic parc eolian ca şi capacitate din lista Transelectrica este deţinut de ButanGas. Acesta are 25 de MW şi este localizat în Siliştea, Dobrogea.

New Support Legislation Finally Passed in Romania

Excellent news for the wind energy sector: today the long-awaited Romanian legislation of support for the production of energy from renewable sources has been passed; it should be applied starting next week. It only took 3 years! 😉
Many thanks to the contributors!

The status in the Romanian wind energy industry

Reported by Ana Maria Nitoi, from the Diplomat, organizer of an industry-event:

– I will take the liberty of copy-pasting the text here, giving the publication and author full credit, only because articles from the 2008 Green Energy Romania conference have disappeared from the website and it’s a pity –

Wind future held back by legal blockage

A delay for over a year in fixing legislation for renewable energy is holding up hundreds of million of Euros ready to fund wind energy in Romania, so investors are heading south in search of a breath of fresh air

Government failure to pass a law which would regulate and bring cash into the renewable energy sector is holding back investment in the new industry, all major players agreed at a recent ‘Green Energy for Romania’ conference.
Investments of 100 millions of Euro are being postponed until the Government clarifies a stable regulatory framework for renewable energy sources. Unclear legislation prevents financial institutions from funding green energy projects and this blocks the sector from developing. Many potential investors wanting to raise turbines in Romania’s wind-rich eastern counties are now decamping to Bulgaria, Czech Republic and Poland.
The obstacle is Law 220 on renewable energy. The Parliament passed this law in October 2008, but this cannot be applied until secondary legislation is approved by the Government.
The new law clarifies a mandatory quota of so-called ‘green certificates’, that each electricity distributor must purchase from a green energy producer every year. One green certificate represents one MW per hour of electricity generated and delivered to the national grid. The purpose of the scheme is to bring an extra funding mechanism to green energy.
On the surface, the delay is due to a bureaucratic hiccup. One year after the law had been passed, the authorities realised that it cannot be applied until the European Commission certifies that the green certificates support scheme is not state aid. Now authorities are preparing documents to send to the EC on the new law, but it is unlikely that the EC will actively discourage the development of green energy in Romania.
Due to the delay, energy regulator ANRE, the Ministry of Economy and Competition Council are shifting the responsibility between one another’s shoulders for their collective failure to spin the new law into action.
The ‘Green Energy in Romania’ event was organised by ‘The Diplomat – Bucharest’ magazine together with wind and solar projects developer Monsson Group, with partners in law firm Wolf Theiss and wind park developers Continental Wind Partners. Below is a summary of key discussion points.

Dana Duica, executive director, Romanian Association of Wind Energy
“We need to take bigger steps in wind energy development because Romania now has only 12 MW installed power capacity in wind, even though we have a significant potential.”

Radu Popoiu, managing director, PS Wind Management, Continental Wind Partners
“The big picture regarding the development of wind power projects in Romania is hampered by legislative uncertainty, difficulties in finding financing and the technical issues related to access to the power grid.”

Bryan Jardine, managing partner, law firm Wolf Theiss
“The adoption of the renewable energy sources law at the end of last year was an ambitious step forward as part of the harmonisation with the European Commission’s directive on renewable energy sources. The law aims at improving the green certificates system that Romania has chosen, as opposed to a feed-in regime [where electricity utilities must buy renewable electricity at above market prices to off-set high costs of renewable power generation], and to set a target for renewable energy sources to generate a 33 per cent electricity supply by 2010, 35 per cent by 2015 and 38 per cent by 2020. We have to take into account that Romania has a tradition in renewables like hydro power. The law itself was quite progressive. But the law required a secondary legislation to be adopted within 90 days from the moment when it was approved and that did not happen.”

Nadina Stanciu, expert at the office for promoting renewable energy and co-generation, Romania’s Energy Regulator (ANRE)
“There is no good news about the legislation yet. The Competition Council wrote to us and also sent a letter to the Ministry of Economy stating that Law 220 has provisions which could be perceived as state aid. This is why the European Commission should be notified before the law can be applied and, thus, before the secondary legislation can pass. We are working on this notification documentation.”

Dana Duica, the Romanian Association of Wind Energy
“Italy, Poland and the UK have in place a similar green certificates system which operate well. They notified the EC first and the Commission stated that green certificates do not represent state aid.”

Bryan Jardine, Wolf Theiss
“Most investors want to invest in Romania, but they question whether the green certificates system will be maintained. Developers face the risk of building wind farms and not being able to exit their investments, as financing is not available due to uncertainties created by the law. Many investors are tired of waiting and have crossed the Danube to Bulgaria. Romania is losing opportunities for foreign direct investment.”

Anca-Maria Teodorescu, economist, financing department, developer Monsson Alma
“Last year, Law 220 really gave hope regarding good cash flows in investments in wind farms, but since there is no secondary legislation the company is not able to make a clear affirmation about the outcome of such an investment. Now we are selling green certificates on the [Romanian] market. This is only one green certificate per MWh now, but two [as the new law stipulates] would have been great.”

Ciprian Diaconu, advisor to the general director of the transmission grid company Transelectrica
“The secondary legislation should clarify the uncertainties in Law 220. For example, it is not clear who is paying for the connection to the grid: Transelectrica or the developer. These clarifications should be settled fast. Now the electricity demand in Romania has decreased by ten per cent [compared to last year]. The situation in neighbouring countries is even worse. Romania’s electricity export has decreased by 30 to 40 per cent. There is also a lack of clarity on who is in charge in Romania with renewable energy. ANRE is the energy regulator, the Government is responsible for strategy, Transelectrica is responsible for the security of the grid, the distributors are participating with producers to the supply of the customers. But who is responsible in the end?”

Dana Duica, the Romanian Association of Wind Energy
“There are 1,493 MW installed power capacity approved with grid connection contract and 2,401 MW with a grid connection permit. Will there be any room left for others?”

Ciprian Diaconu, Transelectrica
“The grid can absorb another 4,000 MW, but I do not know when this will be possible. Transelectrica has a plan to reinforce and extend the grid. The European average shows that between five and ten per cent of the total cost of the project is related to the connection.”

Bryan Jardine, Wolf Theiss
“The costs with the grid connection can be split. The developer can invest in electricity transmission substations, with the cost being shared with Transelectrica through reduced connection tariffs.”

Alexandru-Valeriu Binig, director financial advisory, consultants Deloitte
“The second dimension of Transelectrica is to be the entity that follows the balancing capabilities in this country [A country needs to balance between different types of energy to guarantee security of supply, such as ensuring a constant flow of energy from coal power is available if the wind is not strong enough to turn the turbines]. Unfortunately the interconnection grid of Romania with its neighbours is not strong enough to bring from abroad the necessary balancing point. Transelectrica cannot influence the balancing capacities in the Romanian power generation sector, which are meant to provide safety to the operation of the entire system. So they look with hope to Petrom’s new investment in a 860 MW gas-fired power plant in Brazi. Transelectrica is thinking how it can delay the penetration of wind power until Romania has technical capabilities to balance it. But the law obliges Transelectrica to give free access to the grid under certain technical conditions. Now that there is not such a strong penetration of wind power generation, this creates a situation of calm until secondary capacities are developed.”

Ciprian Diaconu, Transelectrica
“In the balancing market, except for Petrom’s project which is under construction, all the rest [such as the Tarnita-Lapustesti hydro power plant project] are historical projects that we keep talking about.”

Adrian Muriel Carrasco, international business development manager, Gamesa
“In Spain we have a feed-in tariff which is much more simple [than the green certificates system]. We are looking to invest in Bulgaria which has a feed-in tariff system.”

Alexandru-Valeriu Binig, Deloitte
“The feed-in tariff system in countries such as Germany works in states which have financial resources to promote renewables. Romania has to allocate a relatively limited amount for supporting the renewables, which is why the mandatory quotas and the green certificates help the administration to keep the penetration of the renewables up to a certain level. Otherwise if we open the tap and say we will adopt feed-in tariffs we will really see 20,000 MW of renewables in Romania and the question would be who will pay for the electricity bill?”

Roy A. Maybud, president, Energy Holding
“We are talking about green certificates as if they are dropping from heaven. Green certificates are going to be paid by end consumers. Renewable systems will have to be developed further until they will not be so expensive that they are a burden to the end consumer. Governments should also support this by allocating funds for research.”

Financing held back

Claudia Pendred, director for Romania, the European Bank for Reconstruction and Development (EBRD)
“We are discussing with developers and utility companies about renewable energy, in biomass and wind, and we would be interested in financing these projects. But until we have a clear, stable and transparent regulatory framework, it is difficult for the EBRD and project developers to know what the cash flow of the projects is going to be and, in this case, it is difficult to finance them.”

Cosmin Cadere, business development manager, Mitsubishi Corporation
“We are looking to invest not just in wind power, but in any kind of renewable energy projects, as well as in conventional energy. The economic crisis means our company will focus on investing in innovation and renewable energy sources are a major part of our strategy. In Bulgaria the company has already decided to invest in a 200 MW wind park precisely because they have a more stable legislation [than Romania] and because there is a feed-in tariff system. If Romania had a similar feed-in tariff system we would be glad to jump in. Until then we are rather looking to the Czech Republic and Poland.”

Valentin Cudric, investment director, NBGI Private Equity, the investment management arm of the National Bank of Greece
“We have an investment fund dedicated to the energy sector. We have identified some good wind energy projects in Romania, but we face the same problem. There is so much uncertainty about the law that my colleagues from London, where our head office is, have shifted to Bulgaria where there is a feed-in tariff system in place.”

Projects stumped

Ciprian Glodeanu, senior associate, Wolf Theiss
“We are working with developers for which we have secured several sites with the intention to develop 17 wind farms. One of the projects is in an advanced stage. And the most challenging was the environmental permit. It was very difficult to explain to environmental NGOs and authorities the benefits of the project. I don’t think there will be a flux of investors quite shortly.”

Pal Peter, vice president, EnergoBit
“Our [wind energy] project is in a developed stage and we are going to stop it for now because of the many uncertainties. We are not going to invest as long as the legislation is not finished. EnergoBit also provides electrical components and has a contract with CEZ for its onshore wind farm in Constanta county.”

Dana Duica, the Romanian Association of Wind Energy
“We calculated a developer needs 101 permits to build a wind farm. Romania needs to simplify the administrative procedures. I salute the initiative taken last week in regard to the construction permit which will no longer be issued by local councils but by city halls. This is an example that Romania is at the beginning and is learning from its mistakes.”

Anca-Maria Teodorescu, Monsson Alma
“About two years are needed until all the documents are put together, including the wind studies for the area. Buying or renting the land also requires hard work. I know about a company that wants to build a wind farm and which needed more than 1.5 years to obtain the land-planning permit. It doesn’t depend on the developer, but on the authorities.”

Florin Frunza, head of business development and administration, Power Division, Petrom
“Petrom is interested to diversify into renewable energy, but so far we have not decided yet to invest in any project. We will probably partner with a developer. It would probably be cheaper to buy now a project but we will wait until the situation clarifies.”

Radu Gavrila, director of the wind energy division, Energia Verde
“We are developing about 15 wind projects in Dobrogea and Moldavia. Some local administrations are so small, that they do not even have a land-planning department. Therefore, for them it is difficult to offer that service, especially now when the Government decided to cut costs in the public system by 20 per cent, which in most cases means laying off people. How do we help local authorities to develop their services? We have a park in Tulcea for which we have land-planning permit and we are discussing with engineering companies for the design. In Braila county we have a 100 MW project.”

Event report by
Ana Maria Nitoi


The Business (The biggest opportunity of the 21st century in the #1 Industry)

Windman Interviewed ;)

Below is a short interview I gave for Business Review:


3Q – Radu Voinescu, partner at Boeru Voinescu Grup

In what wind energy projects are you involved?

Currently, we are providing management consultancy for a Spanish joint-venture company, based in Madrid, which wants to invest in wind energy projects in Romania. The company started wind measurements in 2007 in five locations in Romania and some others in Bulgaria, from which it finally chose three such locations in our country to develop these projects. All these locations are in Constanta county and each project will probably have some 30 MW. Besides this, we are currently in discussions with investors who could be interested in investing in wind energy projects in Timis county and Suceava. In Timis, we are in the phase of analyzing the wind, technical and land maps in order to establish which area will be better to invest in and who owns the land.How do you see this market in the future?
The wind farm market is one that was hiking when all the others started falling and massive lay-offs were announced. There is still room on this market. In the past three months, we have been contacted by five companies interested in entering this market.

In which other energy projects are you involved?
We are assisting an American investor who put his money into a bio ethanol factory. The total investment is about EUR 30 million and the factory will be operational by 2010. The investor already has contracts to sell the production. According to investor data in Romania there is a potential for ten such factories. Besides this project, we are involved in the process of authorization for a co-generation unit which uses biomass with a capacity of 700 kW.

Radu Voinescu

Energie eoliana


Jobs in Renewable Energy

The European Commission’s study on the impact of renewable energy policy on economic growth and employment in the European Union (Employ-RES) indicate that EU 20% renewable energy target can deliver 2.8 million jobs and that biomass, wind and hydro technologies are currently the most important for job opportunities.

According to the study, in 2005, the renewable energy sector employed 1.4 million people among the member states with a gross value of 58 billion EUR (approximately $80 billion) with higher employment expected particularly in the member states that joined the European Union (EU) in 2004 and 2007. Implementation of the renewable energy policy will generate about 410,000 additional jobs and 0.24 percent additional GDP in the EU-27 in 2020.

However, the study indicates that current RES support policies will result in final energy consumption of 14 percent by 2020 and 17 percent by 2030, which indicates a need for improved policies to reap maximum economic benefits from renewable energy. The study also finds that more innovative technologies such as photovoltaic, offshore wind, solar thermal electricity and second-generation biofuels require more financial support in the short term, and will be key to achieving the EU’s 2020 target.

In terms of greenhouse emissions, European finance ministers may draw on shipping and airlines for money to help pay poor nations deal with climate change, according to draft proposals, report Reuters. EU finance ministers meeting in Luxembourg on June 9 are expected to identify possible finance sources for poor countries that could help develop drought-resistant crops or new water sources, according to Reuters.

Greenhouse gas emissions from shipping and airline sectors, which have been growing steadily over the past 15 years, will be evaluated at a United Nations meeting in Copenhagen in December to find a new global deal on fighting climate change, according to Reuters. The key issue will be finding the finance needed to persuade developing nations to cut their carbon dioxide emissions. However, poor nations would be expected to deliver concrete proof of emissions cuts in return for the cash, reports Reuters.

Renewable Energy took the lead

It’s like the passage from film to digital or from fixed phones to mobiles: there is a moment when the switch is done from Old to New and the curves cross themselves, the Upwards goes higher than the Downwads. It’s time for a toast: last year more money was invested in renewable energy sources than in fossils. Here goes:

Global investors spent about $250 billion building new power capacity in 2008, and for the first time the lion’s share of that money went to renewable sources, according to the United Nations Environment Program.

Renewable sources accounted for 56 percent of investment dollars, worth $140 billion, while investment in fossil fuel technologies was $110 billion, the U.N. program said in a report, Global Trends in Sustainable Energy Investment 2009, released on Wednesday and produced in collaboration with New Energy Finance, a research company based in London.

Renewable energy – 101

Yes. It’s done in the UK, but it’s the same everywhere.

Radu Voinescu

Energie eoliana

Bulgaria is praised as new renewable energy leader

An article on Bulgaria as a new, emerging leader.


Radu Voinescu

Energie eoliana

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