The European Bank for Reconstruction and Development (EBRD) and Raiffeisen Bank International have joined forces to provide a €110 million financing package aimed at developing two solar photovoltaic power plants in south-eastern Romania, with a combined installed capacity of approximately 300 MW. This significant investment reflects the growing confidence in Romania's renewable energy sector, bolstered by recent regulatory reforms designed to advance the country’s ambitious green energy agenda.
The financing package includes a €55 million loan from the EBRD, matched by another €55 million from Raiffeisen Bank International. The funds will be disbursed in two tranches of €25 million and €30 million, with the first tranche partially secured by a first-loss guarantee provided by the European Union under the InvestEU programme.
Once operational, these solar power plants are expected to generate around 386 GW/h of renewable electricity annually, offsetting approximately 160,000 tonnes of carbon dioxide emissions each year. The generated electricity will be sold on Romania's local market.
Grzegorz Zielinski, Head of Energy Europe at the EBRD, expressed enthusiasm for supporting Nofar Energy’s renewable initiatives in Romania, particularly with the backing of the InvestEU guarantee. He emphasized that these projects will significantly enhance Romania's renewable energy capacity, aligning with the country’s target to add 11.9 GW of new renewable capacity by 2030.
Favi Stelian, CEO of Nofar Energy Romania, highlighted the strategic importance of these projects in advancing Romania’s decarbonization efforts, which are crucial for a greener future for the region.
Romania's renewable energy sector is gaining momentum after a decade of limited investments, with the EBRD playing a pivotal role in the country’s green transition. This shift not only contributes to environmental improvements but also strengthens Romania’s energy security, especially in light of the ongoing geopolitical tensions related to Russia's war on Ukraine.
Romania’s increasing commitment to renewable energy is part of broader EU initiatives such as Fit for 55 and REPowerEU, which aim to boost renewable energy production and reduce emissions. In 2023, Romania set an ambitious target to raise the share of renewables in its total energy consumption from 24.3% in 2019 to 36.2% by 2030, adding 11.9 GW of new renewable capacity.
The Iepuresti and Ghimpati projects are owned by RTG Solar Energy and Solis Imperium, Romanian-registered companies that are majority-owned by OY Nofar Energy, an Israeli renewable energy firm listed on the Tel Aviv stock exchange.
The EBRD, a leader in climate finance, has invested nearly €11 billion in 524 projects in Romania to date, underscoring its long-term commitment to supporting the country’s sustainable development.
