ANRE has put up in public debate the draft Order that would introduce the PPAs and the aggregation

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Bogdan Tudorache

The transposition into the national legislation of the Directive 943 of the European Union will bring – under certain conditions, on the Romanian market, again the bilateral contracts (power purchase agreements – PPAs), sources from the market told energynomics.ro.

It is not yet clear whether all contracts or only those dedicated to new investments will be agreed, but certainly some of the market participants will enjoy them, say the sources. At the same time, new provisions for aggregation are introduced – however, the document being just released in public consultation, those interested in aggregation could not offer us comments, so far, on the subject.

In view of the provisions of Regulation (EU) 2019/943 of the European Parliament and of the Council of 5 June 2019 on the internal electricity market, ANRE has proposed the new rules “in order to eliminate and mitigate the impact of measures or policies applied at national level that can contribute to the restriction of price formation on the wholesale electricity market ”, is also shown in the document, which defines for the first time the concept of aggregation and the contract of aggregation, as well as new rules on the balancing market.

“It is clear to me that there must be a way for large consumers to have predictability, and then not to be exposed to this volatility which, I repeat, is natural, of the day ahead market (DAM). How do we ensure predictability – that we get to make bilateral contracts – maybe, but I am not convinced, because I am still afraid that we may return to the situation with the smart guys – I am not convinced that the country is cured, with all the DNA campaigns and with the passage of time, I am not convinced that things that happened in the 2000s can no longer happen – after 15 years, it does not seem to me that the quality of governance in our companies has been strengthened, and the quality of our administration has not increased,” previously told energynomics.ro the president of the Competition Council, Bogdan Chirițoiu.

“But I can see contracts on formulas, which gives flexibility and then I can make longer term contracts, I can see bilateral contracts for new investments. Essentially, it is ideal for the private investors to be allowed to do what they think, my concern is what will happen with the state-owned companies. So far, the bulk of electricity production comes from state-owned companies and that is why we need to pay a special, increased attention to it,” Chirițoiu said.

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