The European Bank for Reconstruction and Development (EBRD) and Raiffeisen Bank International are providing a €110 million financing package to support the construction and operation of two solar photovoltaic power plants in south-eastern Romania. The Iepuresti and Ghimpati projects, with a combined installed capacity of approximately 300 MW, highlight growing confidence in Romania’s renewable energy sector, bolstered by recent regulatory changes aimed at advancing the country’s green energy goals.
The financing consists of a €55 million loan from the EBRD, matched by €55 million from Raiffeisen Bank International. This will be divided into two tranches: €25 million and €30 million. The first tranche will be partially covered by a first loss guarantee from the European Union under the InvestEU programme. The solar plants are projected to generate about 386 GWh of renewable electricity annually and prevent approximately 160,000 tonnes of CO2 emissions each year. The electricity produced will be sold on the local market.
Grzegorz Zielinski, EBRD Head of Energy Europe, expressed enthusiasm for the project, stating, “We are excited to support Nofar Energy’s renewable energy investments in Romania, with the support of the InvestEU guarantee. These solar power plants will enhance Romania’s renewable capacity, aligning with the country’s goal to add 11.9 GW of new renewable capacity by 2030.”
Favi Stelian, CEO of Nofar Energy Romania, noted, “This achievement is not just a milestone; it represents a crucial step in Nofar’s ongoing journey of growth and excellence. Successfully completing these projects will significantly support Romania’s decarbonisation goals, contributing to a greener future for the region.”
Romania’s renewable energy sector is seeing renewed investment momentum after a decade of stagnation. The EBRD’s involvement underscores its role in Romania’s green transition, which is crucial for environmental improvement and energy security, particularly in the context of the ongoing geopolitical challenges related to Russia’s war on Ukraine. Romania aims to boost its renewable energy share from 24.3% in 2019 to 36.2% by 2030, supported by the EU’s Fit for 55 and REPowerEU initiatives.
The Iepuresti and Ghimpati projects are owned by RTG Solar Energy and Solis Imperium, Romanian companies majority-owned by OY Nofar Energy, an Israeli renewable energy firm listed on the Tel Aviv Stock Exchange. The EBRD has invested nearly €11 billion in 524 projects in Romania, reinforcing its leadership in climate finance.
