The European Bank for Reconstruction and Development ( EBRD ) has arranged a €192 million ( US$222.83 million ) financing package for the construction of three new solar power plants in Romania with a total installed capacity of 531 megawatts.

The EBRD will provide €64 million for the construction of the Slobozia, Corbii Mari and Iepuresti II solar power plants in southeastern Romania. The remaining €128 million comes from commercial lenders.

The new solar power plants represent another step forward in Romania’s efforts to decarbonize its energy sector and increase the share of renewables in its energy mix.

Located in Dâmbovița and Giurgiu counties, the solar power plants are expected to generate approximately 676 gigawatt-hours of clean electricity annually. This will significantly contribute to Romania’s target of achieving 38% of gross final energy consumption from renewables by 2030.

The Slobozia project will benefit from a 15-year contract for difference ( CfD ) awarded under Romania’s inaugural CfD auction, a scheme designed and implemented with technical assistance from EBRD. The energy produced from the other two solar power plants will be sold on Romania’s competitive Day-Ahead Market, demonstrating the growing commercial viability of unsubsidized renewable energy in the country.

The two-way CfD scheme, developed with EBRD support and launched in 2024, has awarded solar and wind capacity totalling 4.2GW to date, surpassing the national target of 3.5GW set under Romania’s Recovery and Resilience Plan. The CfD scheme incentivizes investments in renewable energy by providing long-term revenue stability to developers and strengthening the market integration of renewables.

“We are pleased to support Nofar Energy’s renewable investments in Romania,” says Grzegorz Zielinski, EBRD head of energy for Europe. “This financing demonstrates how we can scale up renewable investments and support Romania’s ambition to add more than 10GW of renewable capacity by 2030.”

Nofar had sourced debt from EBRD and Raiffeisen Bank for previous solar projects in Romania, and project financing from NordLB for German energy storage facilities. 

The solar projects are ultimately majority-owned by OY Nofar Energy, an Israeli renewable energy company listed on the Tel Aviv Stock Exchange.