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Energy Investment: Moving to the Romanian Wind Energy Market
Coal, natural gas, nuclear power and large hydroelectric power stations are mainly controlled by the state. The pace of energy privatization and public-private partnership system reform has been stalled by successive governments. Investors have found it difficult to "exploit" the energy markets of EU member states. .The Romanian government is trying to meet the EU's carbon emission reduction target, and by 2020, renewable energy power generation will account for 20% of the total. The country's government gives priority to renewable energy development.
Some analysts say that government subsidies and a market of 22 million people are enough to attract foreign investors and utility companies to tolerate Romania's bureaucratic government and invest in the construction of wind farms. Construction plans for other power stations are still on hold.
Doina Visa, an energy analyst at the World Bank in Bucharest, Romania, pointed out that new conventional power stations have not been built and all construction plans have been shelved. Investors are turning to the wind power market because the government, by law, encourages the development of renewable energy.
This gives investors a guaranteed market. In addition to wind energy, investors will not consider other large-scale energy investments until the energy reform.
The Romanian Wind Energy Association predicts that the country's wind power generation capacity is expected to surge from 14 MW at the end of last year to 600 MW by the end of this year.
