Rovinari power station

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Rovinari power station is an operating power station of at least 990-megawatts (MW) in Rovinari, Gorj, Romania with multiple units, some of which are not currently operating.

Location

Table 1: Project-level location details

Plant name Location Coordinates (WGS 84)
Rovinari power station Rovinari, Rovinari, Gorj, Romania 44.910633, 23.134754 (exact)

The map below shows the exact location of the power station.

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Unit-level coordinates (WGS 84):

  • Unit 3, Unit 4, Unit 5, Unit 6, Unit 7: 44.910633, 23.134754

Project Details

Table 2: Unit-level details

Unit name Status Fuel(s) Capacity (MW) Technology Start year Retired year
Unit 3 retired coal: lignite 330 subcritical 1976 2023
Unit 4 operating coal: lignite 330 subcritical 1976 2030 (planned)[1]
Unit 5 operating[2] coal: lignite 330 subcritical 1977 2030 (planned)[1]
Unit 6 operating coal: lignite 330 subcritical 1979 2025 (planned)[1]
Unit 7 cancelled coal: lignite 600 unknown 2020

Table 3: Unit-level ownership and operator details

Unit name Owner Parent
Unit 3 Complexul Energetic Oltenia SA [100%] Ministry of Energy (Romania) [77.2%]; Fondul Proprietatea SA [21.6%]
Unit 4 Complexul Energetic Oltenia SA [100%] Ministry of Energy (Romania) [77.2%]; Fondul Proprietatea SA [21.6%]
Unit 5 Complexul Energetic Oltenia SA [100%] Ministry of Energy (Romania) [77.2%]; Fondul Proprietatea SA [21.6%]
Unit 6 Complexul Energetic Oltenia SA [100%] Ministry of Energy (Romania) [77.2%]; Fondul Proprietatea SA [21.6%]
Unit 7 Complexul Energetic Oltenia SA [100%] Ministry of Energy (Romania) [77.2%]; Fondul Proprietatea SA [21.6%]

Financing

  • Source of financing: Romania Exim Bank, China Huadian (equity)[3][4][5]

Background on existing power station

The subcritical coal-fired power station first consisted of two 200 MW units and four 330 MW units, built in 1976-1979. The first two 200 MW units have been retired.[6]

The plant is owned by SC Complexul Energetic Rovinari, owned in part by the Government of Romania. The Rovinari power station, along with the Craiova power station and Turceni power station, merged into the Oltenia Energy Complex in 2012.[7]

In November 2018 Greenpeace Romania and ClientEarth filed a complaint asking the Gorj Environmental Protection Agency to cancel the plant's permit, saying it does not comply with new, tougher EU pollution laws and fails to consider the impact on public health and environment.[8]

In October 2024, Unit 5 had completed refurbishment to comply with European environmental standards. The work had cost €100 million (US$110 million).[9]

Coal retirement

A Restructuring Plan for the Oltenia Energy Complex was approved by the European Commission in January 2022. According to this plan, Rovinari Unit 3 would be decommissioned by December 2022.[10]

In July 2022, the government opened the possibility that the plan's retirement could be postponed due to energy security concerns in light of the war in Ukraine.[11]

In December 2022, Unit 3's decommissioning was officially delayed until October 2023.[12]

In March 2023, the Romanian government announced that Unit 3 would be mothballed in June 2023 as part of its commitments under the National Recovery and Resilience Plan. The unit would be offline for at least three years and possibly fully decommissioned.[13] However, May 2023 reports said that Unit 3 would indeed be fully retired in June of the same year.

As of May 2023, Unit 5 would reportedly operate from 2024 through 2026. The unit would then return to mothballed status until 2030. Unit 6 would be decommissioned in 2025, and Unit 4 was planned to operate through 2030.[14] These plans were in accordance with the January 2022 Restructuring Plan.[15]

As of June 1, 2023, Unit 3 was retired.[16]

In October 2023, Romania's Minister of Energy agreed to a request from unions to seek support from the European Commission for a two-year extension of operations at Complexul Energetic Oltenia's Rovinari power station and Turceni power station. The extension would allow the continued operation of the Gorj mine.[17][18]

Expansion plans

In May 2012 Rovinari selected China Huadian Engineering Co. Ltd to build a 600 MW coal-fired plant worth US$1.3 billion (1 billion euro) at the station. Rovinari and China Huadian plan to set up an independent power producer (IPP), which will implement the project. Rovinari plans to replace two 200 MW energy blocks at the station that are currently out of use.[19][20]

According to Romanian press reports, Rovinari is one of several power investment projects for Chinese investors. Others include Hunedoara, Turceni, Cernavoda and Tarnita.[21]

Construction was expected to begin in 2014, and be completed five years later,[22] although as of 2014 the company is still preparing its environmental impact assessment toward required permits. The energy produced by the new plant would be exported to Austria and Turkey.[23]

On October 31, 2014, Energy Complex Oltenia and China Huadian Engineering agreed to set up a joint venture for the construction of a new unit at the Rovinari station, at an investment of almost one billion dollars. Construction is expected to begin in 2015 and take three to four years.[24]

However, the steps to create a Romanian-Chinese joint-venture were later frozen, according to Oltenia Energy Complex CEO Laurentiu Ciurel. Concerns were raised about the plant's profitability, once the feasibility study was completed. According to the organization Bankwatch: "The main concern appears to be that the Oltenia Energy Complex – the company that represents the Romanian side of the joint-venture – on several recent occasions had to sell its energy for a price way under production costs. There were times when the energy complex sold its electricity for as little as EUR 0.25 /MWh - not even one per cent of the production costs of EUR 35-55/ MWh. This price is not only too small to cover the production costs for any existing power plant but will never be able to cover investment and production costs of a new power plant which in this case are estimated to rise above EUR 1 billion."[25]

A completed feasibility study for the project is mentioned in an October 2015 Complexul Energetic Oltenia shareholder document.[26]

According to the NGO Bankwatch, the project was revamped by the new Energy Ministry in 2017, with an expected commissioning around 2020.[27] Negotiations between Romania and China Huadian Engineering resumed in August 2017, after almost a year of stagnation.[28] In November 2018 it was reported that negotiations are still ongoing.[8]

According to the Energy Strategy of Romania for 2019-2030, realization of the new 600 MW unit at the Rovinari Plant is considered a strategic investment of national interest.[29] In a March 2019 report, the NGO Bankwatch argues "if this unit were built, it would hardly (if ever) be economic. Fuel, CO2 and limestone costs will eat up 82% of the total revenue, leaving little room to cover the other costs – salaries, operation etc. – not to mention making a profit."[30]

The ash remains

The country's National Energy and Climate Plan (NECP) through 2030 – released on January 31, 2020 – removes plans for new coal projects that appeared in earlier drafts, including the 600 MW unit at Rovinari.[31] In November 2020, Romania’s Minister of Economy and Energy, Virgil Daniel Popescu, confirmed to Euronews that no more coal plants will be built in the country, confirming that the proposed 600 MW expansion project has been cancelled.[32][33]

Coal ash spill

In December 2013, a coal ash deposit belonging to the Oltenia Energy Complex flooded 15 hectares of agricultural lands and 10 households in the Submaidane area of the Turceni and Ionesti settlements.[34]

Articles and Resources

References

  1. 1.0 1.1 1.2 (PDF) https://www.ceoltenia.ro/documente/Transparenta/2023/Plan%20restructurare%20CEO%202023.pdf. {{cite web}}: Missing or empty |title= (help)
  2. https://www.economica.net/un-grup-energetic-al-ce-oltenia-se-inchide-definitiv-luna-viitoare-altul-trece-in-conservare-pana-in-2025_667226.html. {{cite web}}: Missing or empty |title= (help)
  3. "Bankwatch Romania Warns of Potentially Unlawful State Aids Granted to Complexul Energetic Oltenia". Energy Industry Review. 2020-03-16. Retrieved 2020-12-02.
  4. "Chinese Coal Power in Romania's Rustbelt | Echowall". www.echo-wall.eu. Retrieved 2020-12-02.
  5. "Chinese-financed coal projects in Europe" (PDF). December 10, 2019.{{cite web}}: CS1 maint: url-status (link)
  6. "Coal- and Lignite-Fired Plants in Romania," Industcards, accessed April 2016
  7. "The study for the power plant in Rovinari to be ready this autumn," Romania Scout, May 22, 2013.
  8. 8.0 8.1 "Environmentalists Challenge Permit for Romanian Coal Plant," Balkan Insight, Nov 2, 2018
  9. “Romania ready to launch 330MW coal-fired unit after EUR 100 mln refurbishment,” Romania Insider, October 7, 2024
  10. "Planul de restructurare a Complexului Energetic Oltenia a fost aprobat de Comisia Europeană. Compania va beneficia de 2,7 miliarde de euro," Targu Jiu, January 27, 2022
  11. "Romania to switch its coal plants to reserve as it closes them, without decommissioning," Balkan Green Energy News, July 6, 2022
  12. "Romania delays closure of 660MW coal-fired plants to Oct '23," SeeNews, December 29, 2022
  13. "Government decides to sideline 660 MW of lignite-based electricity generation capacity for 3 years," Agerpres, March 15, 2023
  14. "Un grup energetic al CE Oltenia se închide definitiv luna viitoare, altul trece în conservare până în 2025," Economica.net, May 9, 2023
  15. "Planul de Restructurare Revizuit al Complexului Energetic Oltenia 2021-2026 Cu Perspectiva 2030," Complexului Energetic Oltenia, January 26, 2022
  16. "Complexul Energetic Oltenia oprește două grupuri pe cărbune, din această noapte, unul definitiv, iar altul intră în conservare / Proiecte fotovoltaice și un grup pe gaze în loc," Economedia, May 31, 2023
  17. "Romania seeks coal plant closure delay from EU," Balkan Green Energy News, October 13, 2023
  18. "Ministrul Sebastian Burduja: România va cere aprobarea CE pentru păstrarea în funcțiune a unor grupuri pe lignit la Turceni și Rovinari. Vom avea argumente în baza unui studiu de adecvanță a SEN, la care lucrează Transelectrica," INVESTenergy, October 16, 2023
  19. "Romania's Rovinari Picks Chinese Co to Build 1.0 Bln Euro Power Plant," Power Market, May 10, 2012.
  20. "The Article 10C Application of Romania, Bankwatch, Feb. 21, 2012.
  21. "Sova: Works on Rovinari power plant to start in 2014," Nine O'Clock, September 5, 2013
  22. "Works on the Rovinari power plant to start in 2014," nineoclock, Sep 5, 2013.
  23. "Energy Complex Oltenia and the Chinese company will build a power plant that will export energy in Austria and Turkey," Romania News Flash, Jan 25, 2013.
  24. "CE Oltenia and China Huadian signed the agreement of construction of the new energy group in Rovinari," Act Media, November 6, 2014
  25. "Rovinari power plant put on ice," Bankwatch Network, Nov 3, 2014
  26. Annex 5 to Extraordinary General Meeting of Shareholders, October 19, 2015 (not publicly available)
  27. Personal communication with Bankwatch, April 2017
  28. "Au fost reluate negocierile cu chinezii pentru centrala de la Rovinari," Agerpres, 9 Aug 2017
  29. "Accelerated negotiations for building a new energy group at Rovinari Power Plant," Energy Industry Review, Feb 12, 2019
  30. "Coal in the Romanian National Energy and Climate Plan (NECP)," Bankwatch, March 13, 2019
  31. "Mixed messages in Romania's energy and climate plan, as new coal projects are shelved but no date set for a coal phase-out". Bankwatch. 2020-02-17. Retrieved 2020-06-30.
  32. Hans von der Brelie, "Romania’s coal-black heartland embraces Europe's Green New Deal," Euronews, Nov. 13, 2020
  33. "As Romania's last new coal project is cancelled, a larger gas threat looms". Bankwatch. 2020-11-19. Retrieved 2020-12-17.{{cite web}}: CS1 maint: url-status (link)
  34. "The future is ash-grey for people in Turceni, Romania," Bankwatch, Sep. 9, 2014.

Additional data

To access additional data, including an interactive map of coal-fired power stations, a downloadable dataset, and summary data, please visit the Global Coal Plant Tracker on the Global Energy Monitor website.