Romania has set a target of phasing out the coal-fired power by 2032. This step is expected to aid the development of renewable power sector, particularly solar PV in the country. Solar PV capacity in Romania is projected to triple during 2021-2030, growing substantially from 1.39 GW in 2020 to 4.25 GW in 2030, forecasts GlobalData, a leading data and analytics company.
According to GlobalData’s report, ‘Romania Power Market Outlook to 2030, Update 2021 – Market Trends, Regulations, and Competitive Landscape‘, the Romanian Government is expected to establish a coal commission and phase out the coal power by 2032. Several oil-fired plants are also expected to be decommissioned by the government during the 2021 to 2030 period. With the phase out of coal power and decommissioning of oil-fired plants, the country will have to significantly depend on gas-fired plants for its thermal power generation.
Rohit Ravetkar, Power Analyst at GlobalData, says: “Romania has been proactively working towards the development of the renewable sector. Two major reasons for this proactive approach are the phase out of coal power plants in the country and to meet the energy and emission targets under the National Energy and Climate Plan (NECP). The government is looking to introduce Contract for Difference (CfD) scheme inspired by the UK’s CfD system for the renewable sector.”
The scheme is expected to be launched before the end of 2022 and the Romanian Government expects it to boost the renewable power development in the country. Offshore wind plants, which are expected to commence operations from 2029, will further aid in replacing the decommissioned thermal power capacity.
Ravetkar concludes: “Romania has set a target of 30.7% renewables share in its total power capacity mix by 2030. This is set to drive the renewable power market in the country, especially for wind power and solar PV technologies. This will also present opportunities for transmission and distribution infrastructure developers as the country would be keen on integrating renewable power sources in the national grid. Rapid solar PV capacity additions will help Romania in increasing its electricity generation, thereby reducing power imports from neighboring countries that have been high in 2019 and 2020.”