Towards the energy transition. Romania bets on BESS energy storage to stabilize its electricity grid
Romania is experiencing its first wave of battery storage projects, driven by the need to balance an overloaded electricity grid and the financial opportunities offered by contracts for difference (CfD). Developers trust this segment as key to guaranteeing the stability of the system and attracting investments in a rapidly expanding market, according to Radu Eremciuc, CEO of Green Balkans Energy, in dialogue with Energía Estratégica España.
Romania’s renewable energy market is experiencing the first wave of BESS (Battery Energy Storage) projects, driven by strategic regulations and the need to stabilize the grid.
“The grid situation in Romania is in a very bad state and many photovoltaic parks are being built, which is destabilizing the grid.
Therefore, the only quick solution to solve the problem is battery energy storage solutions, because rebuilding a network in a country like Romania will take decades,” he says. Radu EremciucCEO of Green Balkans Energy, in dialogue with Strategic Energy Spain.
“Battery energy solutions are a fast, efficient and very accessible solution to balance the grid because we need to stabilize due to the many solar parks that will appear in the near future,” adds Eremciuc.
Furthermore, he points out that the network needs auxiliary services and that the profitability of these services is very high in Romania, providing an “excellent rate of return on investment” to promoters who are betting on this type of green energy segment.
“We, at the solar plants, are providing these services. “We are helping investors enter Romania and co-developing ready-to-build projects or we also participate in EPC services with them and bring the projects to the necessary stage,” the executive notes.
The executive emphasizes that the future of energy storage in the country is promising and that this stage of development is just the beginning. “This gives investors the possibility of entering a market where competition is not as high and those who arrive first will have better benefits,” he adds.
And he points out that the experiences of Poland, Denmark and Norway in storage matters could be replicated, and that they aspire to reach their levels of development.
Contracts for Difference (CfD) Scheme: Key Financial Boost
One of the most significant advances for the renewable energy sector are tax incentives such as contracts for difference (CfD) schemes and a modernization fund promoted by the European Union with subsidies for developers of photovoltaic plants and energy storage solutions. with batteries.
It should be noted that this CfD scheme was implemented for the first time in Romania this year, it is the first country in the EU that had this scheme sponsored by European funds. with 3000 million euros, saccording to Eremciuc.
The negotiations were closed on November 18, so now the sector is awaiting the results. The CfD scheme had price caps set at €82/MWh for wind projects and €78/MWh for photovoltaic projects. This mechanism seeks to generate price stability and minimize long-term financial risks for investors.
