Romania’s Solar Surge: Perspectives from RPIA on Driving Renewable Energy Growth
Within the framework of Energy Week Black Sea 2025 – a unique platform bringing together key stakeholders from Romania, Bulgaria, Moldova, Ukraine, Türkiye, and Georgia – we had the opportunity to speak with Andrei Manea, Executive Director of the Romanian Photovoltaic Industry Association (RPIA). During our conversation, they shared valuable insights into Romania’s rapid solar energy advancements, the pivotal role of prosumers, and the nation’s ambitious plans to further accelerate its renewable energy transition, creating opportunities for both local and international players in the sector.
In 2024, Romania achieved an important milestone by installing 1.7 GW of solar capacity. What do you attribute this remarkable growth to, and how does it align with Romania’s renewable energy targets?
Indeed, 2024 was a great year for solar, as we reached a second year of gigawatt installations. This significant growth is the result of the interplay of a series of factors, including a more cohesive legislative framework and available funding, which, coupled with the country’s natural potential and clean energy commitments, made Romania an attractive destination for investors. In terms of the permitting process for solar projects, we have one of the shortest times across the European Union, of one and a half to two years, which gives us a competitive edge compared to other markets. For distributed systems of up to 400 kW per consumption site, the approval is streamlined and takes around one month. In terms of financing opportunities, without counting the Contracts for Difference (CfD), around 1 billion EUR were made available for large-scale projects under the National Recovery and Resilience Facility and Modernization Fund. For rooftop PV, the budget for 2024 was 400 million EUR, and included, for the first time, storage.
Through the updated National Energy and Climate Plan, Romania committed to reaching an installed capacity of 10 GW in solar PV, out of which 6,4 GW in utility-scale projects and 3,5 GW in prosumers. Today, we stand at an even split of 2,5 GW for each segment. Based on our data and the appetite that we see in the market, we are confident that these targets can even be surpassed.
Distributed generation has been identified as a key driver of this growth, with prosumers contributing 1.1 GW of installed capacity. Could you elaborate on the role of prosumers in this expansion and the benefits they bring to the national grid?
Romania’s distributed generation segment totals over 2,5 GW, deployed mainly in the past three years. Prosumers are an integral part of our sector, highlighting the benefits of solar energy as an affordable, accessible, and cost-effective solution. Rooftop PV, irrespective of whether it is residential or commercial and industrial, is crucial for the decentralization and democratization of energy access, supporting also sustainable production and consumption practices at the local level. On the one hand, the prosumers segment increases the overall renewable energy penetration at the national level, helping us move toward the decarbonization goals. On the other, it contributes to Romania’s grid transformation, reducing the strain on centralized power plants and transmission lines during peak hours and creating a more adaptive electricity network that can better manage intermittent renewable energy sources.
The Contracts for Difference (CfD) mechanism has played a pivotal role in supporting solar projects. How do you assess the impact of the recent 1.5 GW CfD auction on the solar industry, and what are your expectations for the upcoming 3.5 GW auction in 2025?
In 2024, Romania organized its first CfD tender for 1,5 GW, out of which 1 GW for wind projects and 500 MW for solar. In terms of participation, close to 50 companies took part in the process, with 21 being declared winners, with weighted average prices of 65 EUR/MWh (for wind) and 51 EUR/MWh (for solar), significantly below the ceiling of 82 EUR/MWh and 78 EUR/MWh. Much more than the results, the CfD mechanism is important for the message that it sends to the industry. Whereas the prices were lower than expected, these results indicate confidence in the stability and predictability of the market. For solar, the competition was tight, which drove down the prices even more compared to wind, with 11 winners out of the 36 applicants. The second tender of 3,5 GW, with 2 GW allocated for solar and 1,5 GW for wind, is planned for this year. Based on the 2024 success, we are optimistic that we will see similar results for the second round. The CfD mechanism offers stability in terms of pricing and long-term revenue outlook. As such, we expect to see the materialization of new utility-scale projects complementary to the 5 GW total that will be auctioned.
In 2024, Romania updated its National Energy and Climate Plan (NECP), increasing the renewable energy target to 38.3% by 2030, with solar energy’s target raised from 5 GW to 10 GW. How do you view these policy changes, and what further steps are necessary to ensure their successful implementation?
When it comes to the updated NECP, we are happy to share that RPIA’s advocacy efforts contributed significantly to the increase in the targets for renewable energy – particularly solar. While a positive development, additional steps are required to ensure the materialization of these targets. First, like in many EU countries, the grid remains one of the main bottlenecks due to the postponement of some necessary reinforcement and expansion works. To address part of the problem, in August of 2024, the National Regulatory Authority (ANRE) introduced, through Order 53/2024, the requirement of a 5% guarantee of the connection tariff for the issuance of every new grid connection permit above 1 MW. Furthermore, starting with January 2026, the “first come, first served” rule will no longer apply for projects above 5 MW, being replaced by a capacity tender. In parallel with the regulatory developments, it is necessary for the grid operators to finalize the planned investments in the transmission and distribution networks to ensure that all of the renewable energy capacities finalized in the near future can deliver energy to the system.
Second, it is necessary to strengthen the existing regulatory framework, ensuring the timely transposal and implementation of the European legislation into the national law. Measures should be taken to increase accountability for potential delays by establishing mechanisms with stricter timelines, penalties for non-compliance, and transparent reporting systems is necessary.
Last but certainly not least, a skilled workforce represents another crucial aspect of successful renewable energy deployment. According to SolarPower Europe, the photovoltaic sector alone is projected to generate approximately 80,000 full-time jobs by 2030, positioning Romania among the top seven countries in this segment. Hence, it is necessary to invest in vocational training, encourage research and development, and support the skilling and reskilling programs. Without an adequate workforce, even projects without infrastructural barriers could face significant implementation challenges.
Romania’s solar market has become increasingly attractive to foreign investors. How does RPIA support the entry of foreign companies into the Romanian solar market?
Romania’s solar market has indeed become an increasingly attractive destination for foreign investors, and RPIA plays a pivotal role in facilitating their entry into the market.
As the leading association in Romania’s photovoltaic industry, we serve as the primary point of reference for stakeholders seeking to navigate the complexities of the market. RPIA provides a comprehensive platform for foreign companies to connect with key industry players, government representatives, and local partners. By joining the association, companies gain valuable recognition and visibility within the sector, enhancing their credibility and reach.
In addition to the networking opportunities, we offer extensive know-how on critical topics, ranging from regulatory changes to technical advancements, ensuring that foreign companies are well-informed and equipped to succeed. Our team is dedicated to sharing knowledge, facilitating industry dialogues, and promoting best practices, all of which are crucial to the sustainable growth of the solar market in Romania.
Furthermore, RPIA organizes well-renowned events that align with the specific needs and interests of our members. These events represent a platform for collaboration, innovation, and sharing of industry insights, ensuring that our members, including foreign investors, stay ahead of market trends and have access to the latest information. Our events serve as key networking opportunities and foster relationships that are essential to business success.
We also work closely with policymakers to ensure a favorable business environment for foreign investors, advocating for the right conditions to support both local and international market growth. By becoming a member of RPIA, foreign companies gain not only access to essential market insights but also a strategic partner in their entry and success in Romania’s solar market.