ELCEN has launched the procurement process for the EPC contract related to the project “Implementation of high-efficiency cogeneration units using thermal engines at CTE Progresu,” part of the program to modernize the capital’s energy infrastructure. The investment aims to develop a new cogeneration plant with an installed capacity of 74.2 MWe and 72.8 MWt, based on modern thermal engines.

The company presents the project as a necessary step to increase the efficiency, flexibility, and reliability of Bucharest’s energy supply. The new capacity will also help strengthen the National Energy System by introducing modern units capable of responding more quickly to fluctuations in demand.

The plant will run on natural gas, with the possibility of using hydrogen in the fuel mix as technology allows. According to ELCEN, the proposed technical solution will ensure optimized fuel consumption, reduced emissions, and an overall efficiency of over 85%.

The estimated value of the investment is approximately 825 million lei. The project is funded by non-repayable grants, supplemented by external and internal sources. The grant agreement with the Modernization Fund was signed in November 2024, and the contract for Owner’s Engineer services has been in effect since October 2025. At the same time, the procurement procedure for the repayable financing is also underway.

According to the data from the procedure published on SEAP, the procurement will be conducted through competitive dialogue, and the contract in question is a “turnkey” works contract. The estimated value of the contract is 504 million lei, and the deadline for submitting bids is June 8, 2026. The new power plant is scheduled to become operational in September 2029.