Minister of Energy Sebastian Burduja said that the Ministry aims to conclude the contracts for difference (CfD) by the end of this year or the beginning of 2024 at the latest.
Burduya said that the Ministry is preparing for the contracts for difference scheme, another important scheme where we encourage the production of green energy—solar and wind—with 1 GW of each. This scheme basically fixes a price for investors for a long-term horizon of 15 years, and this reference price is set in a competitive way, through a public auction. It is an important effort, and Romania has the support of the Bank for European Reconstruction and Development (EBRD).
He emphasised that the mechanism is simple: when the market price is below the reference price, the counterparty, namely OPCOM, will pay the difference to the producer, and when the market price exceeds it, the producer will pay OPCOM the difference.
Minister Burduja also signaled that Romania is in the middle of a green revolution and will reach three times the target assumed by the National Recovery and Resilience Plan.
