The European Investment Bank (EIB) is allocating 34 million euros to support the development of three photovoltaic parks in the south-western region of Romania, which will have a combined capacity of 190 megawatts (MW), enough to power over 160,000 homes in the country.

According to a press release from the EIB sent to AGERPRES on Monday, the planned production centres are located in Olt and Dolj counties, on the border with Bulgaria and the Danube River. The three photovoltaic parks will be situated in the rural towns of Dobrun and Sadova.

Construction works are expected to begin this month, with full commercial operation scheduled for September 2027.

'The project promotes Romania's and the European Union's objectives of combating the effects of climate change, increasing energy independence, and strengthening regional development,' the press release reads.

The new plants, which together rank among the largest solar energy projects in Romania, will accelerate the country's transition away from fossil fuels that contribute to climate change. This will support efforts across the EU to reduce dependency on energy imports and increase the market share of renewable energy.

Two of the three planned photovoltaic plants have already secured Contracts for Difference (CfD) through a government auction held in 2024, covering approximately two-thirds of the projected output for nearly 15 years.

The EIB loan is part of a 121 million euros financing package. The project also benefits from funding from the European Bank for Reconstruction and Development (EBRD) and the Romanian lender BCR.

'Accelerating investments in renewable energy is crucial for Europe's economic strength and energy security, as well as for its climate ambitions. By supporting a significant new solar energy portfolio in Romania, we are contributing to the provision of clean, affordable electricity, while also promoting economic cohesion. Our financing, together with EBRD and BCR, mobilises capital on a large scale to promote the green transition,' said EIB Vice President Ioannis Tsakiris, as quoted in the press release.

The EIB's support includes a loan of 34 million euros, granted to three Romanian solar energy companies, 65% owned by the Norwegian renewable energy developer Scatec ASA and 35% by Defic Globe BV.

'The completion of this transaction and the commencement of construction of our first projects in Romania represent an important step and confirm the attractiveness of the Romanian market and the robustness of the CfD scheme. Thanks to the long-term predictability of revenues and a strong financing structure, the projects are in a favourable position. We look forward to promoting the projects together with our partner Defic Globe and the financiers EIB, EBRD, and BCR, and contributing to Romania's energy transition,' said Terje Pilskog, CEO of Scatec.

In the field of clean energy, the project supports Romania's goal of ensuring that renewable energy sources account for over 38% of final energy consumption by 2030, as well as the EU's target of achieving a share of at least 42.5% from renewable energy sources over the same period. AGERPRES (RO - writing by: Oana Tilica; EN - writing by: Cristina Zaharia)