EBRD backs large-scale battery storage project in Romania

The Bank will provide up to €44 million in financing to support the project’s development, construction and operation, on a non-recourse project finance basis. Part of the EBRD financing (€29 million) will be supported by the InvestEU first loss guarantee.

Romania is rapidly expanding renewable energy generation under its updated National Energy and Climate Plan, which targets 38.3 per cent renewables in final energy consumption by 2030. This growth is increasing pressure on the grid and highlighting the importance of storage solutions.

By storing and releasing electricity as needed, the Scornicești project is expected to support greater integration of renewable energy, enhance grid stability and reduce curtailment of renewable generation. The project will be among the first large-scale standalone battery energy storage systems (BESS) to operate in this emerging market segment, and is expected to demonstrate the commercial and technical viability of energy storage in Romania, helping to unlock further investment in the sector.

The project will participate in Romania’s developing ancillary and balancing services market, with mainly merchant-based revenues generated through an optimisation agreement with regional energy trader GEN-I.

In addition, the project includes outreach activities with local educational institutions aimed at encouraging women and young people to pursue careers in the energy sector, which has traditionally been male-dominated. To mitigate the higher risk profile associated with merchant operations, the project includes an InvestEU first loss guarantee. The InvestEU programme, designed to accelerate sustainable transition across EU member states, provides risk-sharing support for innovative green infrastructure in line with EU sustainable transition objectives.

The financing is being provided to a project company incorporated in Romania. R.Power is headquartered in Warsaw, Poland and holds a significant portfolio of utility-scale BESS, hybrid and renewable energy generation projects across Europe.