Energy Forum – Sustainable Opportunities in Romania and Cooperation with Norway/Iceland

The EEA and Norway Grants represent the contribution from Norway and Iceland to social and economic development in Europe. The Grants aim to reduce social and economic disparities in Europe and to increase cooperation between the countries involved. Through the EEA and Norway Grants, Norway and Iceland provide more than 100 million euro to programmes on Energy and on Business Innovation in Romania. The programmes are operated by Innovation Norway with an office in Bucharest.  

The Norwegian government’s website on the EEA and Norway Grants 2014-2021 (regjeringen.no) 

Innovation Norway’s website on the EEA and Norway Grants by Innovation Norway  

Offshore wind  

Norway has an extensive coast as well as expertise in offshore and maritime operations. Norway is a pioneer in floating offshore wind and has a complete offshore wind value chain, offering a wide range of services, equipment and solutions for offshore wind farms. See more on Offshore wind from Norway (businessnorway.com). 

Hydrogen 

Norway is a world-leading producer of green hydrogen and low-carbon hydrogen and a pioneer in hydrogen-powered vessels. Norway also offers high-quality solutions for hydrogen, transport, storage and distribution Hydrogen from Norway (businessnorway.com).  Another noteworthy development in this year’s CESEC is the initiative by Bulgaria, Romania and Greece to create a Regional Renewable Hydrogen Cluster. 

CCS  

Norway is leveraging its extensive experience from the offshore oil and gas industry to develop carbon capture and storage (CCS). Norwegian companies play a pivotal role in advancing the technology of CCS in Europe. See more on CCS on Business Norway. 

Geothermal energy  

Geothermal is considered a long-term investment for countries with geothermal resources for electricity production. In Iceland, all electricity is now produced with renewable energy. Geothermal is a vital part of the energy mix, powering about 90% of the nation’s central heating, and 30% of electricity. Iceland has both high-temperature and low-temperature geothermal resources, with six geothermal power plants generating electricity.  

In Iceland, geothermal resources create business opportunities in other industries, including the wellness industry, cosmetics, biotechnology, aquaculture, e-fuels and green methanol production.

Romania is emerging as a key player in Europe's transition to sustainable energy, with significant investments and initiatives across multiple sectors. The country's strategic positioning and substantial infrastructure are facilitating its transition towards hydrogen, offshore wind, carbon capture and storage (CCS), and geothermal energy.

Hydrogen 

Romania is on track to emerge as one of Europe's leading hydrogen hubs, with investments exceeding 1.6 billion euros in the early stages of development. Positioned to leverage its substantial gas transmission and distribution network, Romania anticipates utilizing hydrogen across multiple sectors, including steel production, chemicals, transportation, and aviation.  

Law no. 237, enacted by the Romanian Parliament in July 2023, paves the way for integrating renewable and low-carbon hydrogen into industry and transport. Notably, the Ministry of Energy recently announced a significant investment of EUR 50 million for the establishment of two green hydrogen production facilities at the Petrobrazi refinery. This initiative, backed by Romania's National Recovery and Resilience Plan, underscores the country's commitment to advancing hydrogen technologies and reducing carbon emissions. 

Offshore wind  

Advancing its decarbonization initiatives, Romania is engaged in offshore wind projects in the Black Sea, estimating its potential between 77 to 94 GW. With significant expansion plans for wind capacity by 2030, including offshore installations, the country is poised to contribute to regional efforts alongside Greece and Bulgaria. Recognizing the economic decarbonization potential, the three governments aim to pioneer offshore wind development in Southeast Europe.  

Minister of Energy Sebastian Burduja anticipates the establishment of the first wind farms in Romania's Black Sea region by 2027-2028, with corresponding offshore wind legislation expected in 2024. The Romanian Ministry of Economy, Energy, and Business Environment aims to add an additional 3 GW of wind capacity by 2030, aligning with broader sustainability objectives. Important to note that the law on Offshore wind has passed Parliament and awaits presidential approval. 

Carbon Capture and Storage

Romania has an important geological storage capacity for CO2, with estimates of theoretical storage potential amounting to 22.6 gigatons. The geological potential lies in depleted gas fields and saline aquifers. CCS technology can be implemented across sectors that are vital to the Romanian economy, including cement, steel and fertilizers. 

Dedicated Working Groups on CCS and CCUS have been established at governmental level in Romania. What follows next is the drafting of a CCS/CCUS National Action Plan, likely accompanied by financing from the state budget and European Funds. 

Geothermal energy 

Romania ranks third in Europe in potential for geothermal energy. Most deep geothermal energy can be found in the Western part of the country. Most geothermal resources in Romania are used for heating, with the small geothermal power generation unit in Oradea as the sole exception. The degree of capitalization of energy sources of geothermal origin is low, - today, only a small part of the geothermal potential is used (greenhouses, balneology and leisure) -, the main cause being determined by the lack of adequate financial support. 

Geothermal energy is highlighted in the latest version of the National Integrated Plan in the field of Energy and Climate Change (PNIESC), as a modern technology based on renewable energy sources, generating low or zero emissions. According to the plan, Romania benefits from several sources of geothermal resources, which can be used to produce electricity as well as to heat residential areas.