Romania’s government on June 18 approved the negotiation and signing of a memorandum of understanding (MoU) with Serbia to facilitate information exchanges on the proposed Djerdap (Iron Gates) 3 pumped-storage hydropower plant on the Danube, following an invitation by the US Embassy in Serbia to companies interested in participating in the project.

The MoU is intended to support cooperation between the two countries by enabling the exchange of information among institutions and companies involved in the development of the project.

According to the government decision, Romania wants the project to be developed under conditions that protect the interests of both countries. Bucharest has proposed provisions ensuring that the new facility does not negatively affect the operation or electricity generation of the existing Iron Gates I and Iron Gates II hydropower plants on the Romanian side of the Danube.

Romania also seeks safeguards to ensure that the project does not interfere with the implementation of the FAST DANUBE II programme, which is coordinated by the transport ministries of Romania and Bulgaria and implemented by the waterway administrations AFDJ Galați and IAPPD Ruse.

Authorities have also highlighted the need to assess downstream conditions below Iron Gates II, including possible effects on riverbanks in Romania and Bulgaria, and implications for navigation on the Danube.

In August 2025, Serbian Minister of Mining and Energy Dubravka Đedović Handanović said after talks with then Romanian Energy Minister Bogdan Ivan that the two countries intended to sign an MoU on the construction of Iron Gates III “as soon as possible”.

The Romanian government also appointed interim Prime Minister and acting Energy Minister Ilie-Gavril Bolojan to negotiate and sign the agreement with the Serbian side.

The Djerdap 3 project has long been considered a strategic investment that could provide additional energy storage capacity and support the integration of renewable power generation in the region.

(Photo: Romania C Moruzx/ Dreamstime)

iulian@romania-insider.com