Battery storage investors in Romania rapidly expanding project pipeline

In an accelerating investment wave, companies in Romania are combining BESS with solar power, hydropower or wind power or building standalone energy storage facilities. The group includes R.Power, Hidroelectrica, Engie and more big names.

Recent updates about investments in battery energy storage systems (BESS) in Romania indicate the technology is becoming another pillar of the country’s energy transition alongside wind power. For several years now, photovoltaics, and prosumers in particular – including municipal authorities, have dominated the scene. Geothermal energy is another emerging segment.

The government has provided incentives both for households and utility-scale battery storage. Companies are combining batteries with solar and wind power as well as hydropower capacity.

Investing in BESS colocated with renewable electricity plants or as standalone facilities in Southeastern Europe enables income from high spreads between wholesale power prices in daily trading. It is especially significant given the increase in the occurrence of zero and negative prices.

Notably, neighboring Bulgaria has earmarked massive funds for support to BESS investments while also focusing on pumped storage hydropower projects. Greece also held several rounds of auctions for battery storage.

R.Power to start building 127 MW standalone battery

R.Power is investing in BESS in Romania, which is one of its strategic markets, together with Poland, where it is headquartered, and Italy, Germany, Spain and Portugal. Battery storage makes up 17.5 GW of more than half of its total development pipeline in Europe.

The company said it would hybridize its existing and future PV assets and scale the integrated capacity to several gigawatts in the coming years. It has over 1.2 GW of projects for standalone BESS in Romania. “And that’s just the beginning,” R.Power said.

It obtained EUR 15 million in funding for a future 127 MW facility. It is about to start building the BESS in Scornicești in Olt county west of Bucharest. R.Power is planning to complete it in a year. The battery energy storage system would have a duration of two hours, translating to 254 MWh in capacity. The project received funding from Romania’s National Recovery and Resilience Plan (NRRP or, in Romanian, PNRR).

Still, in the company’s view, further legislative changes are needed to fully harness the potential of the technology.

Hidroelectrica to add large battery to Iron Gate 2 hydroelectric plant

State-owned Hidroelectrica, the largest electricity producer in Romania, wants to install a battery storage system at Iron Gate 2 (Porțile de Fier 2) on the Danube. Located on the border with Serbia, it is the second-largest hydroelectric plant in the country, at 252 MW in nominal capacity. The complex, which the two countries share, is known as Đerdap in Serbian.

The BESS would have 64 MW in nominal power and a four-hour duration (256 MWh), Profit.ro reported. Hidroelectrica plans to use it for providing balancing services for the national electricity system (SEN), by changing the time intervals of hydropower production.

The contract for the installation of the facility is estimated at EUR 61.2 million plus value-added tax, according to the article. It would be integrated with the hydroelectric plant.

French Engie has BESS projects for its existing PV plant, wind park

France-based Engie’s subsidiary in Romania intends to install a BESS at its newest solar power plant of 37.2 MW in peak capacity in Ariceștii Rahtivani. It commissioned the PV facility in June. The location is north of Bucharest, in Prahova county.

The battery energy storage system project is for 20 MW in operating power and 80 MWh. It would consist of 16 containers, 192 inverters and four transformer units.

The wind park in Băleni will reportedly add a small BESS facility

Engie Romania is working on another investment, through its Alizeu Eolian project firm. It plans to add batteries to a 50 MW wind park in Băleni, Galați county, which was built in 2013.

The company obtained the building permit last year. Two months ago it also got clearance for connecting the BESS with a 110/20 kV transformer station with an underground line. Economica.net learned that the battery storage facility would have 5 MW and two-hour duration. costing the firm EUR 2 million.

Engie’s project was included in the reserve list last September after a public call for support to battery storage. The Ministry of Energy selected 13 applications for grants from NRRP. Another 25 passed, but remained below the line.

Government bolstering battery investments with grants

The state aid scheme was worth EUR 103.5 million, of which EUR 79.6 million is from the European Union’s Recovery and Resilience Facility (RRF).

Among the beneficiaries are Electrica, in which the government holds just under 50%, and Renovatio Trading. OMV Petrom, Public Power Corp. (PPC) and Verbund have projects on the B list.

For its 65 MWh project in Toplița in Harghita county, in eastern Transylvania, Renovatio Trading is buying the equipment from Trina Storage. The firm is part of Trina Solar.

Visual Fan is winning major contracts for the procurement and installation of batteries

Allview Energy, part of Romanian company Visual Fan, is handling the alternating current (AC) side in Renovatio Trading’s investment. In addition, Visual Fan became the contractor for a BESS within Eurowind Energy’s Teiuș solar park.

The Danish developer intends to deploy a 117 MWh energy storage unit with lithium-iron-phosphate (LFP) batteries, within a year. It valued the project at over EUR 16.6 million. The companies said they would carry out the works in partnership with TQM Services and Voltlink. The investment includes the battery management system and liquid cooling.

In June, the ministry approved a EUR 3.4 million grant from the EU’s Modernisation Fund to Termoficare Oradea. It has a project for a 10 MW solar park with a 15 MWh storage unit, worth EUR 18.6 million.

Austria’s Verbund conducting EUR 22.7 million investment

Verbund has almost all the permits for a BESS project at its 226 MW wind farm in Casimcea in Tulcea county. The company headquartered in Austria said it has secured financing as well and that it is already contracting the equipment.

The wind farm was commissioned in 2012. The energy storage segment would have up to 50 MW and up to 100 MWh. It would be located at the Alpha Wind Nord section of the existing facility, of 81 MW.

Still, the basic variant’s size will be 48.3 MW, with 76 MWh in capacity, according to Profit.ro. There would be 34 containers at the site determined for the BESS.

The majority government-controlled utility values the investment at EUR 22.7 million, of which more than EUR 10.7 million is for the storage facility itself. The site spans five hectares.

After coming up short in the public call, Verbund submitted the project for a grant from the Modernisation Fund.

In mid-May, Romania hosted 240.7 MW of battery capability and a total capacity of 404.9 MWh.