ROMANIA

Norway’s Renewable Energy Corporation (REC), one of the world’s largest makers of equipment for solar farms, whose revenue stood at about EUR1.8 billion in 2011, is interested in the Romanian market. Its goal is to start its first local photovoltaic projects this year.

Many specialists think solar power will be the next boom in the green industry, after wind farms. The reasons are the drop in the price of equipment and the scheme recently put in place by the Romanian government, which grants the highest subsidies for the production of solar power of all green energy types.

“Romania is considered a very attractive market for REC. We will build upon the strategic partnerships with local representatives in 2012 and we aim to realize our first projects here,” REC officials said.

The Norwegian-held group plans to sell solar panels in Romania, and is not considering an investment in a production facility in this country for the time being. Even when it does commit to the development of a solar power project, the company’s policy is to not remain the investment operator for too long but instead exit via a deal.

“There are no current plans to build a production facility in Romania. In November 2010, we opened one of the world’s largest integrated wafer, cell and module manufacturing facilities in Tuas, Singapore,” REC representatives said.

According to the data of national grid company Transelectrica, 62 solar projects with a capacity of more than 250MW had a grid connection contract signed until the beginning of this month. The investments announced are worth more than EUR500 million and some of them should be completed this year.

Even though REC has no plans for a production facility on the local market, other investors do, saying they can manufacture products up to European standards here but do it at costs comparable to those offered by Asia.

Such investors include Spain’s Siliken, which spent EUR5 million on a solar panel plant last year, which is currently employing 500 people directly or indirectly and Renovatio, a Cyprus-based group that invested EUR10 million in a solar panel plant in Satu Mare in 2010. The plant is now closed because of problems with equipment from certain suppliers, market sources say.

“REC plans to concentrate 20 percent of the marketing activities in Eastern Europe in 2012 on the Romanian market alone. One challenge in the Romanian market is the uncertain financial situation and the mistaken idea that solar investments are too expensive. We believe that investments in solar energy are becoming an increasingly attractive opportunity in Romania,” the Norwegian group representatives said.

(English version by Loredana Fratila-Cristescu)

By Roxana Petrescu

ZF

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