EC clears EUR 1.4 bln for financing projects in Romania under Modernisation Fund

Part of the investment projects of energy complex (CE) Oltenia, a coal and power complex that strives to diversify and phase off lignite burning, and of power grid operator Transelectrica (BVB: TEL) will be financed with over EUR 1.44 bln under the European Union's Modernisation Fund, the Romanian authorities announced.

In the first stage, "Romania has the highest approved value: EUR 0.97 bln for priority investments and RON 0.470 for non-priority investments," energy minister Virgil Popescu announced on May 26, Bursa.ro reported.

The Modernisation Fund is a programme from the European Union to support 10 Member States to meet 2030 energy targets by helping to modernise energy systems and improve energy efficiency.

For CE Oltenia, the EC approved not only the financing of the 8 projects of photovoltaic parks, built on ash and slag dumps resulting from the combustion of lignite, but also - partially, two projects of gas power plants.

The EC Oltenia restructuring plan, approved by the European Commission in the context of Russian threats, is based on gas-fired power plants. The projects of the photovoltaic parks will receive over EUR 469 mln, the gas-fired power plant from Turceni (475 MW) - EUR 167.5 mln, and the one from Ișalnița (850 MW) - EUR 253 mln.

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