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Romania Seeks Five-Year Delay in Coal Phase-Out Amid Energy Transition Challenges

Romania is negotiating with the European Commission to postpone its planned 2026 coal phase-out by at least five years, Energy Minister Bogdan Ivan said Tuesday, citing delays in replacement projects and risks to energy security.

Under its EU-funded recovery aid package, Romania had pledged to retire 2.6 gigawatts of lignite and hard coal generation within the next year. However, Ivan told reporters that the timeline is “unrealistic,” as new gas-fired and renewable capacity will not be connected in time.

State-owned lignite power producer CE Oltenia is working with OMV Petrom, Tinmar, and Alro Slatina to build solar parks and gas plants, but construction has lagged behind schedule. In central Romania, MAS Group Holding is also developing a 1.7 GW steam and gas power plant to replace older hard coal facilities.

“Right now we are having fairly intense negotiations to postpone the deadline by at least five years, a realistic deadline for when we will connect new gas-fired energy units,” Ivan said. Romania has been requesting an extension since 2023 and plans to submit a study to Brussels outlining the negative economic and power market impacts of an early shutdown.

Looking further ahead, Ivan said Romania expects to install 12.96 GW of new generation capacity by 2032 across gas, nuclear, wind, and solar projects, supported by EU funds and both public and private investment. This includes 2.25 GW of storage, which would transform the country from a net electricity importer to an exporter.

A major offshore gas development, due online in 2027, is also set to make Romania a net gas exporter. The country already produces about 90% of its gas needs through Romgaz, OMV Petrom, and Black Sea Oil & Gas (BSOG).

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