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ARBIO: A new law for biomass and biogas means cheaper heating for households and companies

11 June 2015
Past Events

For the first time, four ministries, ANRE and ARBIO, are working to prepare the new law for the biomass and biogas sector, while a parliamentary committee is working on the new law for heating. At the same time, we entered the final period of talks on the Feed-in-Tariff scheme (for projects with an installed capacity of up to 0.5 MW) and the fourth green certificate, for the Bioenergy projects for high efficiency cogeneration. Also, a new law for energy crops is under discussion and EU grants of 232 million euros were provided exclusively for the biomass and biogas sector.

The Romanian Association for biomass and biogas, organized the ARBIO BIOMASS AND BIOGAS FORUM + the ARBIO workshop dedicated to energy crops, on June 9 at Capital Plaza Hotel, Bucharest, with 164 participants, of which 87 investors in Romania and from other 11 countries. The investors in the room confirmed that “once legislation is in place, we are ready to invest in dozens of projects, as we have agreements with farmers, factory waste etc”. During the event the latest information on developments in the bio-energy sector were presented and references were provided by the top Romanian and European experts regarding the most promising sector in the coming years. Also ARBIO presented in detail its proposal for the new law principles bioenergy.

We work together to find a solution for biomass, Anca Bujor, Ministry of Energy
In her message at the ARBIO FORUM, Anca Bujor, counselor at the Ministry of Energy confirmed that “the Romanian state considers biomass a priority for the country in the years to come, also in accordance with principles of the new energy strategy that it develops. Its evolution so far has not been satisfactory and we want to change this by preparing and voting on a new law for the biomass sector, or other solutions that we find together.”

Also, thousands of farmers and waste companies will avoid the penalties of 80 Euro / ton (as of 01/01/2017) and 120 lei / ton (as of 01.01.2018), which will be charged for waste that will not be treated under the new EU directive. The creation of thousands of new jobs may be added also, the environment will become more clean, basic energy will be produced, plus it will save money in imports of fossil fuels, we will become more independent in terms of energy. The advantages of biomass and biogas are 40 in number. We offer Romania back much more than we receive. “The President of the Romanian Association of Biomass and Biogas, Ilias Papageorgiadis, stressed out that the new Law for the biomass and biogas is extremely important, not only for the energy sector, but especially for Romania. “By receiving what we deserve, a stable income and no surprises, our sector will offer Romania a lot more. We want to use waste and energy crops for our projects. The new law for biomass and biogas means cheaper methods for heating for thousands or even millions of citizens, but also for companies with production units. We estimate that the effect will be a reduction of 20-30% of the invoice for the citizens and we already have concrete examples that confirm this.

The new law for biomass and biogas for heating means cheaper methods for energy, for citizens and for companies, Ilias Papageorgiadis
Secretary General of COPA – COGECA, Pekka Pesonen stressed out the importance of biomass and biogas in the agricultural sector across Europe. “Now it is the time for Romania to implement what the rest of Europe did in the previous years and we are here to support this progress, which provides many benefits for all citizens.”

Board member of the European Biomass Association, Mr. Didzis Palejs, offered an excellent example of what biomass can provide for a country: “In Latvia we are exporting and importing biomass for fossil fuels. But I noticed that we import the equivalent of 7 TWh of natural gas for 55 euro / MWh and exporting wood for energy matters 7 TWh to 13 Euro / MWh. This means that annually we lose 280 million euros. Romania, with a much larger consumption is facing the same problem and a greater loss for sure. Therefore, biomass is the solution for energy efficiency and fewer imports.”

Board member of the European Association for Biogas, Attila Kovacs presented the status of biogas and biomethane in Europe, he analyzed the long list of benefits to agriculture and manufacturing and focused on the potential of Romania. “In Romania there is an economy based on agriculture and manufacturing. Both have waste to manage and the solution is the biogas. Europe has already adopted the biogas and biomethane direction by transforming an environmental problem into a solution. There are more than 7,900 MW of biogas, spread in 14,600 projects that have created 69,000 jobs. Romania has more than 10 projects, so you can achieve the existing potential here.”

Bogdan Alecu, Director, LEADER Sector, at The National Network for Rural Development presented financing options for the sector in the new RDP.

Laurentiu Baciu, President of LAPAR, requested more information and examples for farmers, before taking a decision and asked rhetorically: “Why is this sector developed across Europe and in Romania is not yet?”

Also, the presidents of professional associations and federations have joined the ARBIO Forum and expressed the support for the Bioenergy sector:

  • Costel Olteanu, co-President of Business Employers’ Confederation Romania
    Emil – Florian Dumitru, the new President of the National Federation PRO AGRO
    Stefan Padure, President APAR
    Catalin Dragostin, President ESCOROM
    Investors and experts were also present, including:
  • Serban Ţigănaş, CEO of TEB Energy Business
    Cristinel Popescu, Director of Genesis BioPartner
    Loredana Mihailescu, Head of Energy Department, CMS Cameron McKenna Romania, the law firm that ARBIO collaborates to develop its proposal for the Biomass and Biogas Law, for the ministries.
    Gabriela Soare, Senior Manager, Department of EU funds and grants, Baker Tilly Romania
    After the ARBIO Biomass & Biogas FORUM, the ARBIO Workshop for energy crops has joined over 60 participants interested in the sector, who appreciated the discussion structure, with 10 questions and answers common, accelerated by the 4 speakers, all experts in the sector. The moderator was Speranta Liliana Neagu, Councillor for European Affairs in the Ministry of Agriculture and speakers were:
  • Sandor Benko, Kontrastwege
    Andrei Apetrei, PFA Andrei Apetrei
    Ruben Budău, Î.I. Kopacz Nandor
    Martin Bikfalvi, Paulownia International Greene

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