Shareholders of Romanian nuclear operator Nuclearelectrica have approved plans to auction as much as 400 MW of future baseload production. The contracts are set to run from 2027 to 2046. The transaction is designed to generate predictable long-term revenue for the refurbishment of Cernavoda unit 1.
The Cernavoda reactor is scheduled for extensive modernization between 2027 and 2030. The work includes a temporary shutdown while major systems and components are replaced. The auction structure is intended to align long-term power supply with that refurbishment timeline.
Auction package size, block structure and delivery volume
The electricity offering will be divided into five blocks. It will include three products of 100 MW each and two products of 50 MW each. Full subscription would amount to approximately 3.5 TWh of annual electricity.
On a cumulative basis, full subscription corresponds to around 70 TWh over 20 years, before adjustments for maintenance and outage requirements. At the minimum auction price, the package is valued at approximately €5.6 billion, excluding future inflation adjustments. That valuation implies an average floor close to €80/MWh across the contractual delivery volume.
Trading venue and contract framework for long-term baseload supply
The auction will be conducted through the Romanian Commodities Exchange, known as BRM. Nuclearelectrica said it would use BRM rather than OPCOM for the transaction. The company concluded that BRM would involve lower transaction costs, greater contractual flexibility and a structure compatible with shareholder approvals for a long-term commitment.
The contracts will follow the EFET standard and will be limited to financially qualified counterparties. Potential buyers identified include electricity suppliers, international trading companies and large industrial consumers. These counterparties are expected to manage both long-term power-price exposure and credit risk.
Pricing corridor, settlement options and delivery flexibility
The pricing formula combines an inflation-indexed minimum price with an upper cap. Annual prices are expected to move with market conditions but remain within the contractual corridor. Buyers may also choose an alternative settlement mechanism linked to Romania’s day-ahead market.
Nuclearelectrica said the floor is intended to provide revenue protection during weak wholesale markets, while the cap is meant to protect buyers against extreme price increases. Compared with a conventional fixed-price power-purchase agreement, the structure retains more market exposure but provides greater predictability than merchant sales.
The contract terms allow Nuclearelectrica to reduce deliveries during planned maintenance and unplanned reactor outages. This flexibility is described as essential for a nuclear asset, while part of the replacement-power risk is transferred to buyers. Buyers are expected to assess volume tolerance, credit support and market-cover arrangements when participating.
Financing link and implications of committing 400 MW
The refurbishment financing package already includes approval for an €800 million European Investment Bank loan. Nuclearelectrica said the 20-year offtake contracts could improve debt-service visibility and reduce refinancing risk, although final agreements still require shareholder approval .
Nuclearelectrica noted that committing 400 MW would reduce output available for shorter-term transactions. It would also create a long-dated Romanian nuclear price reference through the auction process . The company described the auction as serving both financing needs for Cernavoda and demand testing for firm low-carbon electricity .
