Romania’s solar PV capacity to grow due to phasing out of coal-fired electricity


GlobalData’s latest report, “Romania Power Market Outlook to 2030, Update 2021 – Market Trends, Regulations, and Competitive Landscape” discusses the structure of Romania’s electricity market and provides historical and forecast figures for capacity, production and consumption up to 2030. Detailed analysis of the country’s electricity market regulatory structure, competitive landscape and a list of major power plants are provided.

The report also gives an overview of the electricity sector in the country on the main parameters of macroeconomics, security of supply, generation infrastructure, transmission and distribution infrastructure, import scenario and development. electricity export, degree of competition, regulatory scenario and future potential. An analysis of transactions in the country’s electricity sector is also included in the report.

Romania has set itself the target of phasing out coal-fired power plants by 2032. This should contribute to the development of the renewable energy sector, in particular solar photovoltaic energy. The country’s solar photovoltaic capacity is expected to triple over the period 2021 to 2030, from 1.39 GW in 2020 to 4.25 GW in 2030. The Romanian government is expected to establish a coal commission and phase out coal-fired electricity. by 2032. Thermal power plants are also expected to be dismantled by the government during the period 2021-2030. With the gradual phase-out of coal-fired power and the dismantling of oil-fired power stations, the country will have to depend significantly on gas-fired power stations for the production of thermal electricity.

The Romanian government has worked proactively to develop the renewable energy sector in the country. Two major reasons for this proactive approach are the phasing out of coal-fired power plants in the country and the achievement of the energy and emissions targets of the National Energy and Climate Plan (NECP). The government is seeking to introduce a contract for difference (CfD) program modeled after the UK’s CfD scheme for the renewable energy sector. The program is expected to be launched before the end of 2022 and the Romanian government expects it to boost the development of renewable energy in the country. Offshore wind power plants, which are expected to start operating from 2029, will further contribute to the replacement of decommissioned thermal capacity.

Romania has set a target of 30.7% renewable energy share in its total electricity capacity mix by 2030. This should boost the renewable energy market in the country, especially for technologies. wind turbines and solar photovoltaic. This will also present opportunities for transmission and distribution infrastructure developers, as the country would be keen to integrate renewable energy sources into the national grid. Rapid additions of solar PV capacity will help the country increase its power generation, reducing electricity imports from neighboring countries which were high in 2019 and 2020.

Romania has large reserves of fossil fuels and a well-developed electricity infrastructure. The country has a balanced mix between thermal energy, hydropower and nuclear energy. Oil and gas production in the country has declined due to depletion of reserves and unfavorable government policies. This makes the country dependent on Russia for gas imports. The government is also studying the possibility of producing shale gas. However, the recovery of shale gas has become a moot issue in the country due to environmental concerns, such as possible contamination of groundwater and earthquakes.

The country has been a net exporter of electricity for most of the past two decades. However, in 2019 and 2020, electricity imports increased sharply due to the reduction in annual electricity production caused by the closure of several thermal power plants in the country. Romania is seeking to derive more of its electricity needs from renewable sources. The country is considered to be a fast growing market for wind power in the south-eastern region of Europe and the start-up of offshore wind farms from 2029 will further strengthen the wind power market.

Source link


About Author

Leave A Reply