Scatec secures 15-year CfD for 190MW solar portfolio in Romania
Renewable energy solutions provider Scatec has entered into a 15-year contract-for-difference (CFD) agreement with Romanian electricity market operator Opcom.
CfD will generate 70% of the expected tariff from Scatec’s 190MW solar portfolio in Romania, with the rest of the electricity sold on the Romanian wholesale market.
The contracts were allocated during Romania’s first CFD auction, supported by the EU Modern Fund.
The fund is an EU initiative aimed at helping member states meet their energy targets.
In this first round, 1.5GW of solar photovoltaic (PV) and offshore wind capacity was awarded in Romania. The remaining planned 5GW total is expected to be commissioned by 2025.
Scatec CEO Terje Pilskog said: “We are very pleased with the award in Romania, which demonstrates our global track record in renewable energy tenders and our ability to apply them to new markets.
“Romania has supportive market fundamentals where Scatec can use its competitive strength to build a position. We look forward to continued cooperation with Defic Globe, which has a strong position in the Romanian renewables markets.”
This is Scatec’s first venture into the Romanian market, where it is developing projects in collaboration with the local entity Defic Globe.
The solar projects are located in Dolj and Olt counties in the southern region of Romania.
Romania’s position as a binding market is based on its commitment to energy transfer through CFD auctions, corporate PPAs and a developed electricity market for Power Purchase Agreements (PPAs).
The estimated capital cost of building the solar facilities is 140 million euros ($144.8 million).
Funding includes grants and contributions from Scatec and its partners, aiming to achieve a 75% leverage.
Project financial close and start of construction are set for the second half of 2025.
Scatec holds a 65% ownership interest in solar plants and is responsible for the purchase of critical components that represent one third of the total capital cost.
Emsolt Investments and YEO Teknoloji Enerji subsidiary Defic Globe Energy will hold a 35% stake and provide turnkey engineering, procurement and construction services for the project.
Scatec provides operations and maintenance and asset management services to the portfolio.
“Scatec secures 15-year CfD for 190MW solar portfolio in Romania” was originally created and published by Energy technologyA trademark owned by GlobalData.
