Romania launches EUR 56 mln grant scheme to support geothermal energy projects for local authorities

Romania has launched a national funding program worth EUR 56 million to support local administrations in producing thermal energy from geothermal water, minister of investments and European projects Marcel Boloș announced on June 3. The financing call is aimed exclusively at local authorities and is intended to reduce dependence on gas by harnessing the country’s significant geothermal potential.

The initiative is backed by European funds and follows the example of a geothermal plant in Oradea, which supplies heat to hospitals, schools, and public buildings using geothermal energy.

“This model can be replicated, also with European money. We have launched the national call for projects for the production of thermal energy from geothermal water - a financing line open to local authorities,” Boloș stated.

Under the scheme, local governments can apply for funding for three categories of investment: construction, modernisation, or expansion of thermal power plants using geothermal water; infrastructure to transport the thermal energy to consumption points such as public buildings; and equipment for geothermal exploitation and reinjection, including drilling, heat exchangers and related machinery.

“Romania has a huge geothermal potential, and gas dependence can be reduced if we provide the city halls with the right tools,” Boloș said. “The Oradea model shows us that it is possible. Whoever has vision and mature projects can start the transformation.”

Romania is among the few European Union countries with substantial geothermal resources, particularly in the western and central regions. However, utilisation remains limited, with most heating still reliant on fossil fuels.

The program is part of broader efforts under the National Recovery and Resilience Plan (NRRP) to decarbonise energy systems and promote sustainable local infrastructure.

(Photo source: Facebook/Marcel Bolos)