Hidroelectrica to set up joint venture with EDF for 1 GW pumped storage project

After numerous failed attempts for half a century, Romania intends to revive the Tarnița-Lăpuștești pumped storage hydropower project in tandem with France’s EDF. State-owned Hidroelectrica published a proposal to its shareholder assembly to establish a 50%-50% joint venture for the 1 GW endeavor. The utility also intends to buy the Frasin-Pângărați pumped storage facility when Hidro Blue Energy builds it.

The plans for Tarnița-Lăpuștești date back to mid-1970s. According to a feasibility study from 2008, updated in 2014, the pumped storage hydropower plant on the river Someşul Cald in Romania would consist of four units of 250 MW each. After numerous failed attempts, the Ministry of Energy sat with the representatives of Japanese Itochu and French EDF last year to discuss the project.

In November 2024, Romania signed a memorandum of understanding with Itochu. The latest update came from government-controlled hydropower plant operator Hidroelectrica. It has just scheduled an extraordinary general meeting of shareholders for January 27.

Romania may fast-track Tarnița-Lăpuștești project

In a stock exchange filing, Hidroelectrica said it is proposing a joint undertaking with EDF Power Solutions International, where both state-owned companies would have equal stakes.

The location for Tarniţa-Lăpuşteşti is 30 kilometers from Cluj-Napoca, Transylvania’s biggest city. The river is called Meleg-Szamos in Hungarian.

The old study envisages five to seven years of construction. Within a legislative push to unlock dormant hydropower projects, the project could be given a priority status. In that case, it would be exempted from some permits including the obligation to conduct the study all over again.

Hidroelectrica plans to buy Frasin-Pângărați pumped storage hydropower plant upon its commissioning

In another item for the meeting, Hidroelectrica seeks approval for obtaining advisory services with regard to its intention to acquire, upon commissioning, the Frasin-Pângărați pumped storage hydropower plant.

A company called Hidro Blue Energy is working on the project for 300 MW. The location is in Neamț County in the northeast. Lake Bicaz would be the facility’s lower reservoir.

Hidroelectrica said it would update shareholders about the upcoming refurbishment of pumped storage systems Petrimanu, Jidoaia and Lotru, downstream of the Dorin Pavel hydropower plant. The utility has awarded the contract to Electromontaj, with Elin Motoren, Voith Hydro and Butan Grup as subcontractors.

The project is worth EUR 97.9 million, excluding value-added tax.

Hidroelectrica is also rehabilitating hydroelectric plants Gogoșu, Bradișor and Stejaru.

The company has RON 56.23 billion (EUR 11.04 billion) in market capitalization, according to data from the Bucharest Stock Exchange. The government has an 80.1% share.