The Romanian Photoelectric Industry Association (RPIA) and the Romanian Wind Energy Association (RWEA) accuse the state authorities of trying to promote a regulation that violates competition principles and will affect the renewable energy sector. IS a draft emergency resolution that will allow the direct concession of land managed by the State Domain Agency (ADS) state portfolio companies.

According to industry associations, direct land concession is non-competitive. This is despite the fact that from 2022, private investors can only develop projects on areas of less than 50 hectares (maximum 42 MW) based on a restrictive interpretation of the Ministry of Agriculture and Rural Development’s (MADR) land fund law.

The RPIA and RWEA say repeated attempts to change the legal framework are discouraging investment, according to a message they are sending to private actors. “Such measures must respect the principle of transparency and fair competition, which involves the organization of open auctions for the granting of concessions and land rights, or at least the definition of clear and non-discriminatory selection criteria; direct negotiations between ADS and some selected companies are not able to ensure such fair conditions of competition,” said the RPIA and RWEA press release.

Renewable energy industry associations are calling for the removal of the 50-hectare barrier

According to them, the inclusion of projects to be carried out by state-owned companies (or private ones where the state is the majority shareholder) in the category of investment goals of national interest involves a simplification of the approval process, rather than a direct allocation of land. or surface rights.

Achieving the goals of climate neutrality remains a shared desire of the public and the private sector. Both associations demand a level playing field for all developers of renewable energy production capacity, which can be achieved by removing the 50-hectare barrier and inviting all interested parties to participate in a transparent and competitive process of land ownership by the state.

How unsuitable land can be used for agriculture

In the summer, the State Agency for Domains announced that it could provide investors with land on which renewable energy production facilities could be built. On this occasion, a project of NP is being prepared.

“Currently, the legislation does not allow us to use for this the lands under the administration of the ADS. Therefore, we are focusing on the promotion of the draft decree amending Law No. 268/2001 to create a legal basis for Class V land, unfit for agriculture, low productivity, for investment in green energy. We have the support of the Ministry of Investment and European projects to develop such energy projects that do not affect land suitable for agriculture, suitable for food production,” said Florin Nicolae, director general of the State Domains Agency, according to an ADS press release.

The State Property Agency disposes of state-owned lands that cannot be used for agricultural production due to the quality of the soil. They are intended to be used for investments under the REPowerEU Plan. In this context, the development of two projects is expected: one in Oltenia, in the district of Piskul-Sadova – Dabuleni, and the other in the county of Constanta, in Grindul-Chituk.

ADS has identified thousands of hectares that can be converted to solar and wind farms

In Oltenia, the goal is to build a photovoltaic park with an installed capacity of 1,500 MW. The expected annual production is approximately 2,160 GWh and the carbon reduction is 650,000 tons per year. The project will be developed on a total area of ​​1,830 hectares, of which the area of ​​actual electricity production from photovoltaic sources will occupy 1,790 hectares. The project is supported by the State Domain Agency in cooperation with the Ministry of Agriculture and Rural Development, the Ministry of Energy and the Ministry of European Investments and Projects, as well as other partners such as Transelectrica and Hidroelectrica.

In Grindul Chituk, Constanţa County, the State Domains Agency has identified approximately 2,300 hectares of degraded land that cannot be used for agricultural purposes. The development of wind turbines is being considered in this area. And this project is supported by the State Housing Agency in cooperation with the Ministry of Agriculture and Rural Development, the Ministry of Energy and the Ministry of European Investments and Projects.