Romania is optimistic about receiving approval from the European Commission for its impending contract-for-difference (CfD) support scheme for renewable energy projects, according to statements made by Catalin Balan, the Deputy Secretary General of the energy ministry, on Monday.
The European Bank for Reconstruction and Development has been actively collaborating with the ministry to establish the legal framework for the CfD scheme, indicating earlier this year that operationalization was anticipated by August. However, Energy Minister Sebastian Burduja informed Reuters that the inaugural CfD auctions are more likely to be realized in 2024.
Romania, as a member of the European Union, is gearing up to initiate its premier auction, encompassing 2 gigawatts (GW) of onshore wind and solar energy projects. These projects will be financed through CfDs, a low-carbon energy-support mechanism that enables the determination of electricity prices at predetermined levels.
The approval from the European Commission, expected by January, is a crucial step for Romania's renewable energy ambitions.
The CfD system aims to provide a stable and incentivized framework for investment in onshore wind and solar projects, aligning with broader European efforts to transition toward sustainable and low-carbon energy solutions. The projected timeline for the first auctions in 2024 underscores the meticulous planning and regulatory processes involved in advancing renewable energy initiatives within the European context.
