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Arcelor Mittal' Press Statement on the negative effects generated by the support scheme awarded for renewable energy projects deployed in Romania
“ArcelorMittal Galati re-affirms its concern regarding the negative effects generated by the support scheme awarded for renewable energy projects deployed in Romania. The current system – not aligned with the other EU states - does not take into account the impact on the main energy consumers and might lead them beyond the limits of their operational sustainability.
We are supporters of renewable energy but these projects are not contributing to the schemes in the range that the big consumers are doing. They are not competitive enough to get only their revenue from the electricity market. Moreover, the required level of investment and limited operating time of the plant (one third of a year) oblige the countries to set up support mechanisms to assure the return of investment to investors.
In Romania, a windmill receives two green certificates (amounting 2 x 58 €) for each MWh generated on top of the revenue it receives from selling electricity on the market while the spot market price is at €40 /MWh. However, this support is financed mainly especially by the large Romanian industrial producers and also other consumers, which are now severely impacted due to this scheme. This scheme is not sustainable and threatens the continuity of the industrial activity in Romania. Moreover, as renewable energy generation depends on external factors (wind, sun), back up flexible assets are needed to guaranty a reliable electricity supply in the country. The required investments and their corresponding additional costs due to their reduced operating times should be also be assessed”.