Romania is preparing to introduce a new aid scheme for renewable energy producers, i.e. contracts for difference, similar to the green certificates we now pay for in our bills. But the state, trying to attract investments, should not exaggerate with the support scheme, so as not to repeat the mistake of 10 years ago, believes Bohdan Chiritsoyu, president of the Competition Council. At the time, renewable energy producers received too many subsidies, the bills went up, then the government changed its mind and cut back the scheme, but the companies were sued.

“From what we’ve learned so far, I think the most important thing is to ensure consistency. Looking at what we did well and not so well ten years ago, our green certificate scheme was very generous. This attracted investment, but it also had the opposite effect: at one point it became very expensive. Then the state intervened with certain measures, both here and in other states,” Chiritsou said during a conference on offshore wind energy organized by Income Magazine.

This has led to higher bills for consumers and unpredictability for investors, and Romania is litigating the companies.

“This is what we have to learn now in order to come up with something attractive, but not exaggerated, so that there is something tolerable for society, that is good for the state, and for society, and for investors. I understand the idea of ​​being attractive, but not being too attractive,” he explained.

Chiritsou expects the contract for difference (CfD) scheme to be approved next month by the European Commission.

The renewable energy producers who will receive these subsidies will be selected through tenders to be held later this year and in 2025.

“It is important that there will be auctions. Those who want less support will win,” added Chiritsou.

These subsidies will be paid from the Modernization Fund, as well as by energy consumers through the CfD contribution.