Hidroelectrica wants to cancel the privatization of several micro hydroelectric plants

Alina Toma Vereha
Ziarul BURSA #English Section / 14 decembrie 2010

The management of Hidroelectrica has taken the necessary steps to cancel the contract for the privatization of several micro hydroelectric plants, which it signed in 2008 with Eviva. Mihai David, the managing director of Hidroelectrica, yesterday said, in a conference, that the company failed to perform the investments it had committed to as part of the privatization contract.

Last year, Mihai David stopped the privatization process for the micro hydroelectric plants, on account of their importance to the company. The micro hydroelectric plants provide Hidroelectrica with green certificates and ensure production flow, by allowing the storage of water in the major lakes.

Hidroelectrica currently still own 162 micro hydroelectric plants, after selling 80 of them. These low power plants have an installed capacity of approximately 300 MW.

Mihai David said that the investment strategy of Hidroelectrica includes the construction of new micro hydroelectric plants and the upgrading of the existing ones. The company has submitted for approval a project to be financed using European grants for the construction of micro hydroelectric plants in the region of Neagra Şarului in Northern Moldavia, and it also plans to retool two micro hydroelectric plants and prepare the preliminary studies for the construction of three more.

The managing director of Hidroelectrica states that the energy output from renewable sources is expected to reach approximately 1 TWh. Green certificates will be issued for this volume of energy which will be included in the price paid by end users. Mihai David claims that the authorities should debate the issue of stimulating investments in renewable energy given the fact that they will need to be recouped from the tariffs paid by all the end users. Thus, the costs of constructing the equivalent of over 3000 MW of wind energy will have a significant influence on the price paid by consumers.

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