SIMILAR ARTICLES

Document / PNL Government Program for next year

On Thursday, the appointed Prime Minister, Ludovic Orban, presented to colleagues from the National Office the document that he will submit to the Parliament, which… Mai mult

Ranking of discernment: Spectacular increase in August in the difference between Romania’s other EU countries’ borrowing costs

The long-term interest rate fell below zero in the Eurozone and dropped to only 0.28% on average at the EU level, half as compared to… Mai mult

Tourism balance drops to minus 36%, despite billions of public money that Government pumped into the market

Net costs for the state with holiday vouchers for public sector employees and the VAT cut for tourism will amount to RON 1,878 million in… Mai mult

Continuing quantitative easing: how justified is it? (III)

In this last article from the series devoted to the analysis of the quantitative easing performed by the European Central Bank (ECB), we will deal… Mai mult

Continuing quantitative easing: how justified is it? (II)

In this second article of the series dedicated to the analysis of the quantitative easing performed by the European Central Bank (ECB), we will focus… Mai mult

Cronicile

Another Energy Strategy for Romania: Hydroelectric power plant in Teleorman, among the only four objectives assumed. Experts’ reactions

de Adrian N Ionescu , 24.9.2018

Romania’s most recent energy strategy estimates total investments in the field “between EUR 15 and EUR 30 billion for the period 2018-2030, with a central estimate of about EUR 20 billion”.

The strategy identifies “substantial investments that are necessary for the modernization and upgrading of the Romanian energy system over the next 15 years,” according to the project launched on Thursday for public debate by the Ministry of Energy.

The Energy Strategy has eight objectives:

  • clean energy and energy efficiency;
  • ensuring the access to electricity and heat for all consumers;
  • protection of vulnerable consumer and reduction of energy poverty;
  • competitive energy markets, the basis of a competitive economy;
  • modernizing the energy governance system;
  • increasing the quality of education in the energy field and continuous education of the human resource;
  • Romania, regional energy security provider;
  • increasing Romania’s energy contribution to regional and European markets by capitalizing on national primary energy resources.

To achieve these objectives, the ministry proposes four strategic investments of national interest, “fixed and binding benchmarks in strategic programming; all the other measures needed to meet the strategic objectives will be operationalized assuming the implementation of strategic investment projects of national interest.”

The four investments are:

  • Completion of CNE Cernavoda Groups 3 and 4;
  • Construction of the pump-fed hydroelectric power plant from Tarnita-Lapustesti;
  • Construction of the 600 MW Group from Rovinari;
  • Construction of Turnu-Magurele-Nicopole Hydro-technical Complex (Teleorman County)

First reactions

The four <<strategic investments of national interest>> are not based on a cost optimization, they are only assumed at a political level without the support of an economic modelling.

They are assumed without any conditionality of economic efficiency, without detailing their impact on the market and the costs for the end energy consumer,” said expert Radu Dudau, director of Energy Policy Group.

It is very good that, finally, the public debate on the new strategy begins,” said another expert, Razvan Nicolescu, former Energy Minister.

Indeed, the experts consulted by cursdeguvernare.ro have long revealed that each day when Romania’s energy policy “runs” without a coherent development and integration strategy is a new day of improvisation and turbulent waters.

A strategy needs no context but implementation,” remarks Vasile Iuga, at the time senior advisor with PwC Romania, at the cursdeguvernare.ro conference “With the strategy on the table: Romania, in the European energy equation and the impact on the industry. Appropriate policies“.

Romania has not just “a huge potential for improving the energy efficiency” but also vulnerabilities, especially in the areas of governance, transparency and decision making,” said Razvan Nicolescu, and the current strategy does not address convincingly these challenges.

Uncertain financing

The chapter “Securing financial resources” of the new strategy invokes:

  • “Using the private and/or public capital,
  • European investment programs – structural funds and the one for strategic investment (which is expected to be extended by 2020 and supplemented),
  • The programs of investment and development banks (EIB, EBRD, etc.)
  • public-private partnerships, and investment schemes such as ESCOs for increasing buildings’ energy efficiency,
  • budget revenues related to tenders for ETS system emissions permits, which it estimates to “billions of euros”

The state can also define support mechanisms for certain types of investment, such as those for the revenue guarantee,” the document also says.

Other details – consumption, capacities

Romania’s gross energy consumption declined significantly after 1990, reaching 377 TWh in 2015, equivalent to about 19 MWh per capita, and the final energy consumption was 254 TWh, according to the Energy Strategy.

Gross energy consumption in 2030 is estimated to increase to 394 TWh and the final energy demand to 300 TWh. The consumption of energy resources as raw materials is to increase by 35%, while the consumption and losses related to the energy system will decrease by 4 TWh.

Evolution of energy demand by sectors of activity

*

  • Energy-intensive industry
  • Other industry sectors
  • Households
  • Agriculture & services
  • Transport

*

The results of some modelling show an increase in energy production from nuclear sources from 17.4 TWh in 2030 to 23.2 TWh in 2035. An increase to 29 TWh will be recorded in total renewable sources, which represents a share of 37.6 % of the total primary energy sources that will form the energy mix in 2030.

The energy produced from coal will record 15.8TWh and will have a share of 20.6%. The electricity production from hydrocarbons will record an increase of 1.9%, about 14.5 TWh.

*

  • Primary energy sources, as share in electricity production in 2017
  • Nuclear
  • Water
  • Wind and solar
  • Coal
  • Oil
  • Gas
  • Biomass
  • Primary energy sources, as share in electricity production in 2030
  • Nuclear
  • Water
  • Wind and solar
  • Coal
  • Oil
  • Gas
  • Biomass

*

Mergeți în homepage ›

Publicat la data de 24.9.2018

Lăsați un comentariu


NEWS

Transport Ministry announces it has sent to Brussels the financing request for Sibiu - Pitesti highway

The Transport Ministry, as the Intermediate Body in Transport, approved the financing request for the project "Construction of Sibiu - Pitesti highway", Sections 1, 4… Mai mult

Romania and Juncker Plan: EUR 720 million attracted, of which 35% by Transgaz for BRUA

(The map of investment financed through Juncker Plan, by GDP share. Darker colours mean higher shares) The operator of national natural gas pipelines, Transgaz (TGN)… Mai mult

Top 3 reasons why young people leave Romania

Lack of trust in authorities, corruption and low living standards are the main reasons why young people leave Romania. The data is part of a… Mai mult

IMM Invest Romania – program implementing rules have been published

The Ministry of Public Finance announces that it has issued the methodological norms for the implementation of the Program for supporting small and medium-sized enterprises… Mai mult

Pollution import and car park expansion: comparisons with the other EU states

Romania is the EU country with the fewest cars in terms of the number of inhabitants, according to data recently published by Eurostat. We appear… Mai mult

Government is trying to save budget deficit: reductions in public administration system, cancellation of bonus for harmful conditions, excise duty on soft drinks

The Government is preparing the public for the first measures aimed at avoiding the budget slippage, which would be applied by the PSD-ALDE government. News… Mai mult

Laura Codruta Kovesi remains alone in the race for European Chief Prosecutor

French Prosecutor Jean-Francois Bohnert will be appointed as head of the European Financial Prosecutor's Office, a position for which he was heard on Thursday, 11… Mai mult

Romania - EU country with highest risk of dying in a road accident, Bulgaria is quickly decreasing number of victims since it built motorways

Romania recorded the highest road deaths in the EU also last year, with 96 deaths per one million inhabitants in 2018, almost double the EU… Mai mult

Latest developments in progress at Health Ministry: Differentiated wages based on performance, competitions organised at a regional level not by hospitals

Sorina Pintea announced on Thursday further new changes that will be brought to the functioning of the health care system, including new rules for employment… Mai mult

ANAF changes selection procedure for liquidators. Main changes

The new order on approval and selection procedures for insolvency practitioners is an important step to a very good direction, industry experts say. ANAF is… Mai mult

Romania loses competition for a seat at UN Security Council. MAE Excuse: Campaign started too late

Romania lost to Estonia in the final vote to get the non-permanent member position within the UN Security Council for the period 2020-2021. On Friday,… Mai mult

Business internationalization / eMAG makes a step to entry five new international markets and targets a business of EUR 2 billion

eMAG hopes to get the opinion of the Hungarian Competition Council over the next two months for the acquisition of Extreme Digital, the market leader… Mai mult

"At a distance from books": 85,000 teachers (one third of educational staff) are graduates of distance learning

Approximately 85,000 teachers are graduates of distance learning (ID) programs, Education Minister Ecaterina Andronescu said at a meeting with school inspectors from Caras-Severin County. The… Mai mult