Energy has become an issue of security, economic competitiveness and, ultimately, living standards because high energy prices affect companies, reduce investments and are directly or indirectly reflected in the costs borne by citizens, said Acting Prime Minister Ilie Bolojan, Acting Minister of Energy, on Thursday, at the signing of the Memorandum of Understanding between the Government of Romania and the Government of the Republic of Serbia to facilitate the exchange of information on the Djerdap 3 pumped storage power plant project.

“Today we are opening the discussion on a possible new project. The memorandum we signed today creates the necessary framework for an exchange of information on the Djerdap 3 pumped storage power plant project and to understand exactly what benefits it can bring, but also what impact it can have. We need this approach because energy has become an issue of security, economic competitiveness and, ultimately, living standards. High energy prices affect companies, reduce investments and are directly or indirectly reflected in the costs borne by citizens”, said the prime minister, according to Agerpres.

According to him, Romania also needs capacities that can balance the energy system when production varies.

“Pumped storage plants can play an important role in this equation. They can store energy when there is a surplus and make it available to the system when needed. In short, they can contribute to the stability of the network and to the more efficient use of the energy we produce”, explained Bolojan.

The prime minister believes that Djerdap 3 is a project that deserves to be analyzed with all seriousness.

“It is important for Romania that its development is compatible with the operation and production of energy from Iron Gates I and II, to ensure the protection of riparian areas (…) and to take into account navigation on the Danube. Romania wants closer cooperation with Serbia in the field of energy. We are neighbors, we have common infrastructure, we have common interests and we face many of the same challenges. It is natural for us to seek together solutions that increase energy security and competitiveness of our economies. I thank the Minister and my colleagues from Serbia for their openness to dialogue and cooperation. The experience from Iron Gates shows us that Romania and Serbia know how to work together on important energy projects”, the Romanian Prime Minister also said.

In turn, the Minister of Mining and Energy of Serbia, Dubravka Dedovic Handanovic, thanked Romania for the support provided to Serbia during its European integration process, stating that, to date, the Romanian-Serbian technical commission has had 104 working sessions, the most recent in September 2025.

“The document we are signing today represents an important step forward in our cooperation, an essential pillar of ensuring energy security for our citizens, for the economies of our countries. The project represents a strategic initiative that will place our region in a much more advantageous position on the Eastern European market. This hydropower plant will be able to integrate a larger capacity of renewable energy, thus supporting the energy transition and promoting a cleaner energy sector. When built, Djerdap 3 will become the largest storage facility in this part of Europe, if not the largest in Europe. Therefore, in this regard, we are pleased to be able to cooperate with Romania on this project “cross-border project of major importance,” said Dubravka Dedovic Handanovic.

She noted that, during this year, Serbia will carry out “a supply and technical planning for the feasibility study of this project.”

The Minister of Mining and Energy in Belgrade added that “Djerdap 3 or Iron Gates III, as we call it, is being developed in accordance with the Strategic Agreement on Energy Cooperation signed between Serbia and the United States, which entered into force in March 2025.”

She specified that a call for projects has already been launched in this regard for companies wishing to participate in the construction of the hydropower plant, with six companies so far signing up for the ongoing process.

“Serbia and Romania have started a new cooperation initiative in the energy sector by signing the Memorandum of Understanding for the construction of the Serbia-Romania interconnector, with a capacity of at least 1.6 cubic meters per year. We also have an agreement between the national gas production companies of the two countries and over the next ten months we intend to complete a 31.6 km pipeline from Mokrin to the border with Romania. This will allow Serbia to connect to the BRUA gas corridor,” said Dubravka Dedovic Hand.