A new high-efficiency cogeneration plant is under development on the site of the former CET Palas facility in Constanța, replacing infrastructure dating back to the 1970s. Valued at 120 million euros and largely financed through the National Recovery and Resilience Plan (PNRR), the plant will deliver 160 MW of capacity, producing both electricity and heat at high efficiency.
The project represents a strategic modernization for the city, providing a more reliable and sustainable supply of heating and hot water. The facility is designed to run on natural gas but is already equipped to operate with a hydrogen blend, making it one of Romania’s first plants capable of gradually integrating green hydrogen into district heating. Completion is expected by June 2026.
In parallel with the plant construction, rehabilitation of Constanța’s main thermal energy transport networks is nearly finished. Funded by the Large Infrastructure Operational Program, these works are over 98 percent complete, ensuring the new power plant will be supported by an upgraded and efficient distribution system.
The CET Palas facility, formerly operated by Electrocentrale Constanța, was transferred to state ownership in 2023 following the company’s insolvency. Replacing the old plant with a modern gas/hydrogen cogeneration unit represents not only a technological upgrade but also a key step toward cleaner, more sustainable energy for the city.