As you may read in our previous post Romania has really made a big progress in renewable energy sector recently. It recently finished its second CfD auction, supported by the European Union Modernisation Fund. In 2025, that auction attracted bids to build over 5,500 megawatts (MW) of solar- and wind-based project capacity. This milestone is further evidence of the country’s determination to strengthen and expand its renewable energy infrastructure.
The most recent auction allocated a staggering amount of 2,751 MW of CfD-backed capacity. This accomplishment went beyond Romania’s own national target of 3.5 GW set in the national Recovery and Resilience Plan. The creeping competitive bidding process led to stunning solar photovoltaic price reductions, slashing costs as low as €35 per megawatt hour. All signs point to a robust market for renewable energy investments.
Achievements and Future Prospects
The total awarded capacity from both auctions added up to a remarkable 4.2 GW. This cumulative amount is made up of 1.5 GW from the inaugural 2024 auction and 2,751 MW from the latest event. Romania’s renewed commitment to renewable energy shows that it too is still on the path towards decarbonisation, with ambitious long-term targets. Long-term revenue certainty The CfD scheme provides certainty for developers to invest by guaranteeing stable, long-term revenue. This support has a compounding effect by encouraging better integration of renewables into the energy market.
Victoria Zinchuk, a project leader from the European Bank for Reconstruction and Development (EBRD), expressed satisfaction with the auction results. She shared her appreciation loudly and happily.
“We are proud of the strong partnership we have fostered in this sector and congratulate our Romanian colleagues on the successful second auction.” – Victoria Zinchuk
The EBRD’s involvement underscores the importance of international support in advancing Romania’s renewable energy agenda. The bank was the lynchpin of the first CfD auction, which successfully awarded 2,750 MW of capacity. Now, it is prepared to go further by signing a memorandum of understanding with Romania’s Minister of Energy to support the upcoming 2025 auction.
Enhancing Market Integration and Storage Solutions
Romania’s CfD mechanism boosts renewable energy growth. It furthers efforts to open up storage solutions to participation in energy markets. This integration is key. It enhances grid reliability and ensures a robust energy supply as more variable renewable generation comes online.
Zinchuk praised the role of competitive auctions in providing smartly structured support for renewable projects.
“This highlights the Ministry of Energy’s commitment to competitive auctions and well-structured support mechanisms, and it sets the stage for further progress, including the development of storage support schemes.” – Victoria Zinchuk
Romania, meanwhile, is placing an emphasis on storage solutions as it seeks to bolster its energy resilience. Simultaneously, it hopes to meet its environmental goals.