SOLAR + WIND: Romania sets dates for first CfD auction

Romania’s Ministry of Energy has revealed the planned timeline for its first auction for renewables CfD tariffs, with the launch of the contest scheduled from April 1.

The government department confirmed the dates during a dedicated event held in Bucharest on March 25.

After the formal launch of the auction, which is set to support up to 2 GW of new renewables capacity, a market Q&A period will be held before bid submissions occur on July 1.

The ministry will then in late July provide notifications to successful applicants, with CfD contract signing set to be carried out in late August.

It was also outlined during this week’s event that the maximum capacity allowed per project or sponsor is set at 250 MW, while participation and good performance bonds would be set at EUR 20,000 / MW and EUR 25,000 / MW, respectively, among other points.

While the launch of Romania’s CfD framework has been much anticipated by those in the market, concerns persist around just how bankable it will turn out to be.

The current draft contract contains provisions that do not require the CfD counterparty to maintain liquidity to pay generators, includes a termination for convenience clause and lacks any real indexation due to the requirement for a 10% Eurozone CPI rise before inflation-linkage kicks in.

*This story was originally published exclusively for NPM Europe subscribers last month.

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