The Czech CEZ giant has the largest investment plans for energy production, worth some €2 billion, according to data gathered by Business Standard. The group is involved in the construction of two new reactors at Romania’s only nuclear plant, based in the southeastern city of Cernavoda, and a new 400 MW generating unit at a power plant based in Galati County. Furthermore, the group has a major wind energy project in the southeastern Dobrogea region.
Martin Roman, CEZ President, who was in Bucharest yesterday, said the company can sustain all its projects on the local market and is targeting further opportunities. He did not provide details, however,
“We can sustain all the projects. The financial crisis has not affected us very much, because our degree of debt is very low,” Roman added. According to available data, next year CEZ will become the first energy giant to deliver energy produced by the company in the local transportation network. “In April 2009 we will install the first turbines at [the wind park near the village of] Fantanele and in 2010, we will begin exploiting the existing groups at the Galati [power plant],” company officials said. Also in 2010, the company will start construction on new energy production groups at the Galati plant, they added.
CEZ is not the only company interested in production. All major energy groups plan to invest hundreds of million of euro to enter a market of which the Romanian state currently controls 99 percent of total production.
Nuclearelectrica, the company that controls the Cernavoda nuclear plant, currently with two functional reactors, yesterday accepted to participate in a company established for the construction of two new reactors. Groups GDF SUEZ, CEZ, Enel, Ibedrola, RWE and ArcelorMittal Romania are involved in the project, estimated to be worth €4 billion.
The Galati plant is owned by state-owned thermal energy producer Termoelectrica. The company yesterday signed an agreement with CEZ to build a new generating group, with a €400 million investment. CEZ will provide the funds, while Termoelectrica allows the Czech group to use its assets. A similar agreement was signed this summer with Enel and E.ON companies, for an 800 MW generating group. It is to sign a further agreement with GDF SUEZ for a 400 MW project.
“Major energy companies entered the local market more than three years ago, but their projects are now effectively starting,” a Tuca, Zbarcea si Asociatii law firm Partner Lawyer, Sorin Vladescu, told Business Standard.
Specialists interviewed by Business Standard said it is less likely that projects involving energy giants in Romania will be impacted by the global crisis. They added that the state production sector monopoly is to be replaced by a private producer in six to seven years.
‘Major energy companies entered the local market more than three years ago, but their projects are now effectively starting Sorin Vladescu Partner Lawyer, Tuca, Zbarcea si Asociatii
