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Energy Storage: A Challenge Romania Must Overcome

The present report analyses the status, challenges, and opportunities for energy storage in Romania, focusing on technological, regulatory, financial, and business aspects. It emphasizes the urgent need to accelerate storage deployment in parallel with the expansion of renewable energy sources (RES) and proposes policy measures to support this effort.

A review of available technologies is provided, with focus on pumped hydro energy storage (PHES), lithium-ion batteries, and vehicle-to-grid (V2G). PHES remains the most mature and cost-efficient solution for large-scale, long-duration storage but faces environmental and geographic barriers.

Lithium-ion batteries, whose costs have declined significantly, offer rapid response for short-and medium-term applications. V2G, though still emerging, could transform Romania’s growing electric vehicle fleet into a valuable distributed storage
resource.

Storage’s role in supporting grid ancillary services – including frequency regulation, voltage control, congestion management, and black start – is highlighted, along with its potential to complement or replace conventional generation. International case studies showcase proven integration of batteries and PHES in stabilizing renewable-heavy systems.

Despite its potential, Romania’s installed total storage capacity remains low. Barriers include the absence of explicit national targets, regulatory ambiguity, lengthy grid connection approvals, limited funding, and weak market incentives. Investor interest is present but constrained by low project bankability and lack of proven business models.

This report recommends strategic alignment of Romania’s energy strategy with the EU objectives, adoption of clear storage targets, and policies supportive of storage deployment. It proposes regulatory reforms, streamlined approvals, support schemes such as capacity markets, contracts for difference, and the use of EU funding. Additionally, pilot projects and incentives for emerging solutions like V2G are encouraged to diversify the storage mix.

Romania’s decarbonisation path, energy security, and investment attractiveness hinge on the rapid and diversified deployment of energy storage. A favourable and coherent policy framework will likely turn storage into a cornerstone of the country’s clean energy transition.


Radu Cîrligeanu EPG thinktank
Radu Cîrligeanu, EPG Senior Researcher

Radu works as a Senior Researcher in the Energy Systems Department of EPG, focusing on the role of hydrogen in the energy mix. 

Radu is an aerospace engineer, specialized in propulsion. He holds an MSc. degree from Cranfield University (UK) in Thermal Power, with a focus on aircraft propulsion.

He has more than ten years of experience in the field of aerospace engineering. He worked as gas turbine performance engineer at Rolls-Royce, in the UK, both for civil and military applications. He also acquired experience in the development of novel thermal and hybrid propulsive cycles at Safran Tech, the R&D department of Safran, in Paris.

Radu is convinced that the solution to developing a more sustainable society is not novel technology, but its development and implementation greatly speeds up the process.

Contact: radu.cîrligeanu@epg-thinktank.org

Seven Organisations Call for the Industrial Accelerator Act to Drive Industrial Transformation in Central and Eastern Europe

Energy Policy Group, Bellona Europa, Reform Institute, Clean Air Task Force, Institut Cirkulární Ekonomiky, Asociace pro mezinárodní otázky, and Center for the Study of Democracy have released a joint statement about the Industrial Accelerator Act and its potential benefits for advancing a competitive and clean industrial base in Central and Eastern Europe.

Signed by seven organisations, the statement is addressing the potential opportunities offered by the Industrial Accelerator Act (IAA) to support decarbonisation, strengthen competitiveness, and develop clean manufacturing in Central and Eastern Europe. The statement calls for clear EU labels for green and low-carbon steel, cement, and chemical; green public procurement mandates for low-carbon industrial products; private offtake agreements; and equitable access to funding to ensure a resilient and regionally balanced industrial transition that benefits both CEE and Europe as a whole.

Central and Eastern European (CEE) economies who relied more on energy-intensive industries, now face problems in modernising their industrial base to remain competitive in a low-carbon world. Industry accounts for between 21% and 33% of national GDP in the region, making it more important for domestic economies than in some other EU member states. CEE produces nearly one-fifth of EU’s steel and one-third of its cement, accounting for a third of EU’s consumption of these materials. Yet, growing challenges such as rising energy costs, tight public budgets, demographic trends, labour shortages, a lack of political drive, and limited institutional capacity hinder industrial transformation in the region.

The Industrial Accelerator Act (IAA) represents a unique opportunity to address these challenges by speeding up permitting procedures for industrial decarbonisation, improving the business case for clean projects and technologies, de-risking investments, and creating demand for clean, high-value industrial products. If tailored appropriately, the IAA could transform CEE’s traditional manufacturing-dependent economies into strategic clean industry hubs integrated into European value chains.

To ensure industrial competitiveness without deepening intra-EU disparities, the EU must pay attention to the narrower fiscal margins and increased barriers to attracting private capital in the CEE region. The same applies to the potential implications of “EU content” requirements, which must be designed carefully to avoid inadvertently widening competitiveness gaps within the Single Market.

In these circumstances, the organisations have the following recommendations:

  1. Combine carbon content and circularity criteria with EU content requirements for procurement policies, to prioritise clean European production and strengthen the value chains of downstream industries that rely on these products.
  2. Develop clear common EU labels for green and low-carbon steel, cement, and chemicals aligned with long-term climate commitments and relevant proposed sectoral legislation (such as ESPR and CPR), going beyond the existing benchmarks of the EU Emissions Trading System.
  3. Open the way for GPP mandates for low-carbon industrial products and for introducing annual gradual national targets, beginning with requirements to incorporate green criteria in the evaluation and award phases of public procurement (i.e. bonus points to bids using low-carbon materials), eventually leading to mandatory quotas. Priority sectors should include construction works for highways, roads, railways, bridges, and public buildings, where public procurement in CEE amounts to  4.5 Mt of steel and 15.6 Mt of cement annually. Impact of procurement costs can be manageable – procurement costs would increase by 0.4 – 0.9% for cement, and 0.6 – 1.3% for steel if low-carbon criteria were adopted for these products, while the impact on public procurement budgets in CEE would range from +0.11% in Austria to +1.35% in Romania
  4. It is important that the private sector gradually moves beyond voluntary green procurement commitments and increases its use of offtake agreements since most industrial materials are sold through private supply chains (69% of the EU’s cement and 89% of its steel).
  5. Contribute to scaling up funding and streamlining permitting for cross-border projects, such as electricity grids, the development of hydrogen and CO2 infrastructure, and foster regional cooperations and integrated planning, with particular attention to addressing disproportionately high energy costs in Central and Eastern Europe.
  6. Bring clear commitments to ensuring equitable and regionally fair access to EU-level funding, to ensure that the IAA enables industrial transformation across the EU.

The joint statement signed by seven organisations details the importance of implementing the Industrial Accelerator Act in Central and Eastern European, tailored to the needs and factors of the region.

România poate câștiga din tranziția către un sistem de transport cu emisii reduse

România are oportunitatea de a-și consolida sistemul de transport și de a-și spori competitivitatea pe termen lung prin trecerea la transport cu emisii reduse. O nouă analiză realizată de experții EPG, intitulată „Powering Clean Mobility – Pathways for the Future of Transport in Romania”, prezintă modul în care țara se poate alinia la obiectivele climatice europene, îmbunătățind în același timp securitatea energetică și sprijinind creșterea economică.

Transport curat ca motor al competitivității

Studiul arată că transportul mai curat nu este esențial doar pentru reducerea emisiilor. Acesta poate reduce și costurile de exploatare, dependența de combustibilii importați și poate încuraja inovarea în tehnologiile moderne. Aceste beneficii ajută România să treacă la o economie mai durabilă și mai rezilientă.

Planul Național Integrat pentru Energie și Climă al României (PNIESC) pentru perioada 2025-2030 stabilește obiective sectoriale clare pentru extinderea combustibililor regenerabili, dezvoltarea infrastructurii durabile și promovarea mobilității curate, în conformitate cu obiectivele UE.

Cu toate acestea, în ciuda progreselor înregistrate în ultimii ani, România rămâne în urma planului național de decarbonizare. Ritmul electrificării transporturilor rămâne prea lent, ceea ce evidențiază necesitatea unor politici publice mai puternice și a unor măsuri de piață mai eficiente.

Concluziile principale ale analizei EPG

EPG subliniază că un mix energetic echilibrat și utilizarea pe scară mai largă a vehiculelor cu emisii zero vor fi esențiale pentru tranziția României. Studiul solicită soluții practice pentru îmbunătățirea accesului la mobilitate curată, inclusiv scheme de leasing social care să facă vehiculele electrice mai accesibile pentru gospodăriile cu venituri mici.

După evaluarea tendințelor globale, europene și naționale în domeniul transporturilor, EPG oferă o serie de recomandări menite să ajute România să construiască un sistem de mobilitate mai curat și mai competitiv:

• Crearea unei strategii naționale pentru încărcarea vehiculelor electrice, cu opțiuni de încărcare rapidă, acoperire teritorială completă și planificare anticipată a capacității, în conformitate cu normele UE.

• Creșterea utilizării combustibililor regenerabili în transportul rutier și aerian până în 2030, prin îmbunătățirea lanțurilor de aprovizionare și prin sisteme clare de certificare.

• Accelerarea adoptării vehiculelor cu emisii zero prin măsuri care sprijină gospodăriile cu venituri mici și medii și încurajează electrificarea flotelor în companii.

• Construirea unui ecosistem integrat de întreținere pentru vehiculele electrice prin formarea tehnicienilor și stabilirea unor norme de reciclare care să asigure recuperarea responsabilă a materialelor critice.

• Introducerea de programe de sprijin care să ajute industria auto românească să rămână competitivă, cum ar fi stimulente pentru producție, finanțare pentru cercetare și dezvoltare și regimuri fiscale preferențiale pentru vehiculele electrice produse local.

• Aplicarea unor standarde de eficiență mai stricte pentru vehiculele noi cu motor cu ardere internă și corelarea subvențiilor și impozitelor cu indicatorii reali de performanță ai vehiculelor, inclusiv eficiența consumului de combustibil și amprenta de carbon.

O cale către viitor

EPG concluzionează că România poate accelera trecerea la un sistem de transport durabil și competitiv prin reunirea factorilor de decizie, a industriei și a sectorului privat. O abordare coordonată va contribui la reducerea emisiilor, va stimula inovarea și va răspunde atât obiectivelor climatice europene, cât și nevoilor economice interne.

Versiunea completă în limba engleză a analizei este disponibilă AICI.

Powering Clean Mobility – Pathways for the Future of Transport in Romania

Romania has a major opportunity to strengthen its transport system and boost long term competitiveness by moving towards low emission mobility. A new analysis by the Energy Policy Group (EPG), titled Powering Clean Mobility – Pathways for the Future of Transport in Romania, outlines how the country can align with European climate goals while improving energy security and supporting economic growth.

Clean mobility as a driver of competitiveness

The study shows that cleaner transport is not only essential for cutting emissions. It can also lower operating costs, reduce dependence on imported fuels and encourage innovation in modern technologies. These benefits help Romania shift towards a more sustainable and resilient economy.

Romania’s Integrated National Energy and Climate Plan for 2025 to 2030 sets out clear sectoral targets for expanding renewable fuels, developing sustainable infrastructure and promoting clean mobility in line with EU objectives.

Yet despite progress in recent years, Romania still lags behind the decarbonisation path outlined in the national plan. The pace of transport electrification remains too slow, which highlights the need for stronger public policy and more effective market measures.

Key findings from the EPG analysis

EPG stresses that a balanced energy mix and the wider use of zero emission vehicles will be central to Romania’s transition. The study calls for practical solutions to improve access to clean mobility, including social leasing schemes that make electric vehicles more affordable for low income households.

After assessing global, European and national transport trends, EPG offers a set of recommendations designed to help Romania build a cleaner, more competitive mobility system:

• Create a national strategy for electric vehicle charging with fast charging options, full territorial coverage and forward looking capacity planning consistent with EU rules.
• Increase the use of renewable fuels in road and aviation transport by 2030 through better supply chains and clear certification systems.
• Speed up the adoption of zero emission vehicles with measures that support low and middle income households and encourage fleet electrification in companies.
• Build an integrated maintenance ecosystem for electric vehicles by training technicians and setting up recycling rules that ensure responsible recovery of critical materials.
• Introduce support programmes that help the Romanian automotive industry remain competitive, such as production incentives, research and development funding and preferential tax regimes for locally produced electric vehicles.
• Apply stricter efficiency standards for new internal combustion vehicles and link subsidies and taxes to real vehicle performance indicators, including fuel efficiency and carbon footprint.

A coordinated path forward

EPG concludes that Romania can accelerate its shift to a sustainable and competitive transport system by bringing together policymakers, industry and the private sector. A coordinated approach will help cut emissions, spark innovation and meet both European climate targets and domestic economic needs.


Luminița Gabriela Horga EPG Thinktank Profile Picture
Luminița Gabriela Horga, EPG Senior Researcher

Luminita Gabriela Horga is a Senior Researcher in industrial decarbonisation within the Clean Economy Department of EPG.

Luminita has cross-sectoral experience spanning strategy consulting, private equity, venture capital, and academic research. She brings a multidisciplinary perspective to the EPG team, with a strong commitment to evidence-based work and a focus on green technologies, sustainable innovation, and policies that support industry’s transition toward a just and climate-resilient future.

Luminita holds a PhD in Biotechnology, undertaken in collaboration with industry, from the University of Manchester, UK. Before joining EPG, she worked at Roland Berger, a global strategy consulting firm, where she contributed to multiple industrial projects with large companies in Romania and abroad, with a focus on the CEE and GCC regions. She also gained experience in venture capital, working with climate and sustainability start-ups and developing early exposure to the evolving innovation landscape.

Contact: luminita.horga@epg-thinktank.org

Market Making pe piața românească de energie electrică: Ce înseamnă, cum poate fi implementat, ce să avem în vedere

Ce ar trebui să includă o schemă de market making pentru a îmbunătăți lichiditatea pieței de energie?

Ca parte a unui pachet de măsuri menite să reducă prețul energiei electrice, Ministerul Energiei a anunțat în luna septembrie intenția de a introduce un mecanism de market making pe piața de futures a energiei electrice din România, afectată de un deficit de lichiditate. 

EPG alături de CRE lansează o analiză care explică schemele de market making și sintetizează bune practici internaționale relevante. În lipsa unor clarificări ulterioare cu privire la forma finală pe care o va lua acest mecanism, studiul de față servește drept introducere în aspectele fundamentale ale politicilor de market making în energie.

Deși există exemple internaționale pozitive de market makeri, care au îmbunătățit semnificativ condițiile de piață pentru toți participanții, există și cazuri în care încercările de market making au adus puține beneficii pieței. Ca viitoarea schemă de market making a României sa aibă un efect pozitiv asupra lichidității din piață, experții celor doua organizații recomandă:

  • Autoritățile responsabile pentru selecționarea market maker-ului să considere exclusiv entități cu:
  • Experiență în tranzacționarea pe piața angro ca generator și furnizor de energie electrică;
  • Ocuparea unei cote de piață semnificativă;
  • Resurse suficiente pentru a absorbi șocuri financiare, încât să poată să opereze efectiv pe o piață cu volatilitate ridicată;
  • Autoritățile trebuie să elaboreze un sistem clar și stimulativ de remunerare activității de market making.
  • Autoritățile trebuie să stabilească în detaliu responsabilitățile market maker-ului, clarificând următoarele elemente: tipurile de produse tranzacționate, diferența dintre prețul de cumpărare și cel de vânzare, perioada operațională (în timpul zilei de tranzacționare), condițiile de conformitate și decontare.
  • Arhitectura juridică a operatorului pieței (OPCOM) trebuie extinsă cu instrumente de interacțiune cu un market maker.
  • Autoritățile trebuie să stabilească și să anunțe un termen înainte de punerea în aplicare, odată ce faza de proiectare a politicii este finalizată, cu o perioadă recomandată pentru pregătire de 12 luni.

Citiți întregul studiu semnat de Noah Murray, Radu Dudău, Corneliu Bodea (CRE) și Mihai Macarie (CRE) AICI.

Market Making pe piața românească de energie electrică: Ce înseamnă, cum poate fi implementat, ce să avem în vedere

Ca parte a unui pachet de măsuri menite să reducă prețul energiei electrice, Ministerul Energiei a anunțat în luna septembrie intenția de a introduce un mecanism de formare a pieței (market making) pe piața de futures a energiei electrice din România, afectată de un deficit de lichiditate. Anunțul a venit la câteva luni după Ordinul ANRE nr. 15 din 29/4/2025 , care a stabilit un cadru general de reglementare pentru market making pe piețele centralizate de energie. În lipsa unor clarificări ulterioare cu privire la forma finală pe care o va lua acest mecanism, studiul de față servește drept introducere în aspectele fundamentale ale politicilor de market making în energie, cu exemplificări din practica internațională.

Deși există exemple internaționale pozitive de market makeri, care au îmbunătățit semnificativ condițiile de piață pentru toți participanții – de la producători până la consumatorii finali – există și cazuri în care încercările de market making au adus puține beneficii pieței. Pentru a evita acest din urmă scenariu, este important ca factorii de decizie să ia în considerare următoarele cerințe:

  • Entitatea desemnată ca market maker ar trebui să aibă experiență în producția și comercializarea energiei.
  • Market maker-ul ar trebui să dețină o cotă de piață semnificativă și să dispună de resurse suficiente pentru a absorbi schimbările bruște în dinamica pieței.
  • Autoritățile trebuie să elaboreze un sistem clar și stimulativ de remunerare activității de market making.
  • Autoritățile trebuie să stabilească în detaliu responsabilitățile market maker-ului, clarificând următoarele elemente: tipurile de produse tranzacționate; diferența dintre prețul de cumpărare și cel de vânzare; perioada operațională (în timpul zilei de tranzacționare); condițiile de conformitate și decontare.
  • Arhitectura juridică a operatorului pieței (OPCOM) trebuie extinsă cu instrumente de interacțiune cu un market maker.
  • Autoritățile trebuie să stabilească și să anunțe un termen înainte de punerea în aplicare, odată ce faza de proiectare a politicii este finalizată, cu o perioadă recomandată pentru pregătire de 12 luni.

Noah Murray EPG Profile Picture july 2025 epg thinktank
Noah Murray, EPG Researcher Assistant

Noah Murray is a Research Assistant at the Energy Systems Department, working on power markets and district heating. He holds a Bachelors degree in Global Governance, Economics, and Legal Order at ESADE Business and Law School in Barcelona, and is interested in electricity market design and development of renewable energy sources, specifically wind, solar, and battery storage.

Noah has had international academic experiences at SciencePo, Paris campus and Georgetown University, Washington D.C.. Previously Noah worked for a solar power development company, with experience in projects in Ukraine and the United States. He also has had past experiences working in consultancies in the United States and Spain.

Contact: noah.murray@epg-thinktank.org

ETS2 In Romania: Turning Climate Policy into Economic Opportunity

The expansion of the EU Emissions Trading System (ETS) through a dedicated system for the buildings and road transport sectors (ETS2) is one of the most impactful and contentious decisions in EU climate policy in recent years. These sectors are major sources of emissions: buildings account for approximately 36% of the EU’s energy-related GHG emissions, while road transport contributes around 20%, with emissions rising in Romania over the past three
decades.

The ETS2 is designed to complement existing regulatory instruments, most notably the Effort Sharing Regulation, which has so far been the main policy setting emissions targets on the transport and building sectors, among others. Under the ETS2, fossil fuel suppliers will be required to purchase emissions allowances, with the overall supply of allowances diminishing progressively over time. This mechanism is intended to introduce a carbon price signal to households and businesses, encouraging a shift towards lower-emission alternatives for heating and transportation.

To address the potential burden on lower-income households, the EU has created a EUR 65 billion Social Climate Fund. The fund would primarily support investments aimed at reducing greenhouse gas emissions from heating systems and road transport, and, to a limited extent, provide direct income support. The ETS2 is expected to have a considerable impact on the short term on vulnerable households, exacerbating fuel poverty, if not addressed in a timely manner. Similarly, certain companies, especially transport service providers and small industrial producers are expected to be impacted, prompting the need for protective measures.

Even though it is a policy of considerable impact on the citizens, no large-scale public information campaigns have yet been organised in Romania. Studies on the domestic impact are also scarce, with only two having discussed the Romanian context so far. The timing is also tight, as the ETS2 is scheduled to be fully operational from 2027. However, during the Environment Council of 4th November, Member States agreed to a postponement of one year, with the new starting date in 2028. The extra time could give governments more room for preparing the implementation and ensuring a smooth start, but may increase costs in the long run.

Romania has transposed the revised directive with a delayed start of the ETS2 in 2031, as per the Government Decision no. 907 from 23 October 2025. This entails serious consequences, such as the potential loss of financial allocations under the Social Climate Fund and foregone ETS2 revenues, delaying crucial investments targeted to the vulnerable households, as well as likely leading to an infringement procedure. As the Just Transition Fund will end in 2027 with no foreseen continuity in the new Multiannual Financial Framework, the Social Climate Fund (SCF) stands as the only available financial instrument to deliver a just transition. At a time of high fiscal deficit, losing an important source of funding and revenue would be a missed opportunity, especially for the transition to cleaner and future-proof heating and transport, but also for stimulating domestic production of low-carbon technologies. The SCF and ETS2 revenues are also one of the only sizeable opportunities to ensure that lower income socio-economic groups can feel the benefits of the transition through improved living conditions and modern, clean and efficient transportation.


Ana Maria Niculicea EPG thinktank
Ana-Maria Niculicea, EPG Researcher

Ana-Maria Niculicea is a Researcher at Energy Policy Group, in the Clean Economy Department. She coordinates research activities on climate governance with a focus on  enhancing national climate governance and the social acceptance of the transition to a low carbon economy. Additionally, she conducts research on social acceptance of CCUS technologies in the Horizon2020 ConsenCUS project.  

She holds a MSc in Politics, Economics and Philosophy from University of Hamburg and a bachelor’s degree in Political Science from National University of Political Studies and Public Administration.

Contact: ana.niculicea@epg-thinktank.org

National Study on Capacity Gaps in Carbon Management: Emphasising Carbon Capture and Storage Deployment in Romania

The European Union has introduced a set of instruments that support the deployment of CCUS technologies. The EU Emissions Trading System (ETS) remains a central pillar, and its upcoming inclusion of carbon removals will have direct implications for CCUS deployment. For industrial operators in hard-to-abate sectors, this shift increases the importance of permanent CO₂ storage as a cost-effective compliance strategy. In this context, CCUS becomes a necessary solution for maintaining competitiveness under stricter emissions rules. 

The Net-Zero Industry Act (NZIA), in force since June 2024, reinforces these dynamics by setting a binding EU-wide target of 50 million tonnes of annual CO₂ injection capacity by 2030. It mandates open-access storage and contributions from oil and gas producers, aiming to address one of the major barriers to CCUS scale-up: the lack of accessible, shared CO₂ storage infrastructure. 

Complementary initiatives such as the Clean Industrial Deal, the Projects of Common Interest (PCI) framework, and the Innovation Fund are also designed to support new CCUS projects by improving access to funding. They aim to streamline and simplify permitting procedures through the Net Zero Industry Act and foster cross-border cooperation. These instruments can benefit Romania, provided national frameworks are aligned and capable of absorbing such support. 

At the same time, the general landscape of CCS project development in the EU remains uneven. Infrastructure and investment are heavily concentrated in Western and Northern Europe, leaving Central and Eastern European (CEE) countries dependent on storage capacity developed in other Member States – a solution that is not desirable in Romania’s case. While the EU-level framework offers a strong foundation, its effective implementation depends on national action. The following assessment analyses how Romania is responding to these developments and what remains to be done to enable CCUS deployment at scale.  

In this regulatory context, Romania’s three main oil and gas operators, OMV Petrom1, Romgaz2, and Black Sea Oil & Gas3, must collectively account for over 20% of the EU’s total CO₂ storage targeti, despite Romania’s currently limited domestic CO₂ storage infrastructure. While the NZIA obligation has been introduced without a fully defined business model, feasibility studies, or established financial instruments to ensure cost recovery, it marks an important step forward for accelerating CCS deployment in the EU. By creating a clear demand signal, it encourages investment in CO₂ infrastructure that might not have progressed otherwise. Nonetheless, successful implementation will require greater clarity on cost recovery mechanisms, regulatory conditions, and long-term viability to support industry commitment. 

The delegated regulation defines who must contribute but leaves enforcement and penalties to individual Member States, potentially resulting in inconsistent implementation and legal uncertainty for cross-border operators. In Romania’s case, the lack of precedent and administrative readiness in this area could further delay the development of a clear and predictable compliance environment. Without guidance on proportionality, timelines, or acceptable justifications for delays, companies may struggle to assess their risk exposure and investment timelines, potentially discouraging timely engagement in CO₂ storage development. 

The environmental and safety aspects of CCS storage in the EU are governed by three key directives. First, the CCS Directive establishes the core framework. Second, the Environmental Liability Directiveii addresses environmental damage from CO₂ storage, excluding climate impacts covered under the EU ETS. Third, the Environmental Impact Assessment Directiveiii ensures thorough ex-ante evaluation, public consultation, and regulatory oversight for CCS projects. 

At national level, the Romanian Energy Strategy outlines two possible scenarios available to the economic operators concerned, in line with NZIA’s provisions: 

  • Scenario 1: Invest in the development of their own CO₂ storage projects; 
  • Scenario 2: Enter into agreements with existing storage project developers or third-party investors (mainly from other countries) to meet their storage target. 

This paper was written as part of the GreenHorizon CEE Project: Industrial Carbon Management for a Sustainable Future in CEE. The project is funded by the European Climate Initiative (EUKI) of the German Federal Ministry of Economic Affairs, Climate Action, Nature Conservation and Nuclear Safety.  


Ioana Maria Vasiliu EPG thinktank
Ioana Vasiliu, EPG Senior Researcher

Ioana Maria Vasiliu is Senior Researcher within the Clean Economy Department at EPG, where she leverages her extensive expertise in climate policy. She holds a bachelor’s degree in public administration management and a post-university diploma in sustainable development, both from the Economic Academy of Bucharest.  

Before joining EPG, Ioana worked as a European Affairs Advisor in the Climate Strategies and Reporting Department at the Romanian Ministry of Environment, Waters and Forests, where she was responsible for developing policies aimed at reducing greenhouse gas emissions and enhancing climate resilience. Her work reflects a strong focus on climate change, sustainable development and international cooperation. 

Notably, Ioana played a key role in formulating Romania’s national position on EU climate legislation, helping align the country’s climate goals with broader EU objectives. She actively participated in expert-level EU negotiations, advocating for Romania’s specific needs and ensuring they were represented in final policies. She also coordinated Romania’s climate-focused efforts during its accession to the OECD, representing the country in key working groups, including the Environment Policy Committee, the Working Party on Climate, Investment and Development, and the Inclusive Forum on Carbon Mitigation Approaches. 

She also played a role in preparing international reports on Romania’s environmental performance, such as the UNECE Environmental Performance Reviews and the OECD Economic Surveys 2024, with a focus on decarbonizing Romania’s industry and the EU report on Strengthening cultural heritage resilience for climate change – Where the European Green Deal meets cultural heritage and she contributed to the development of the UNIDO Strategy for Climate Change. 

In addition to international work, Ioana supported significantly the development of Romania’s National Strategy for Adaptation to Climate Change, the National Strategy for Disaster Risk Reduction and the Climate Change Strategy for Ministry of National Defense. She also served as Romania’s rapporteur for Articles 17 and 19 of EU Regulation 2018/1999. 

Further, as a member of the interministerial Working Group for the Social Climate Fund, Ioana provided recommendations to address energy poverty and the socio-economic impacts of Romania’s green transition. She also contributed to the review and amendment of Romania’s Emergency Ordinance 64/2011, ensuring it remained aligned with EU legislation and national priorities. 

Contact: ioana.vasiliu@epg-thinktank.org

Meeting Romania’s Biomethane Moment

The new biomethane ordinance is a step forward, despite a key drawback

The new draft emergency ordinance on the support of biomethane production is a real step towards the development of a biomethane market in Romania. It introduces a legal definition for biomethane producers and sets out their rights and obligations in alignment with that of natural gas producers. They are required to meet strict quality and safety standards to inject into the gas grid, secure the needed licence and ensure responsible facility operation. These conditions make it possible for Romania’s first biomethane production facility to connect to the gas grid.

The ordinance will undoubtedly contribute to Romania’s 5% biomethane target by 2030. However, it includes a contradiction which threatens to undermine the sector’s growth. The ordinance requires natural gas producers and biomethane producers to be treated equally despite different cost recovery mechanism allowances between the two kinds of producers. Natural gas producers are allowed to recover their investment in grid connections and upgrades through tariffs, while biomethane producers are deprived of this privilege.

Biomethane producers must bear every cost of connection, injection facilities and related infrastructure and reinforcement costs, despite delivering chemically identical gas to the grid.

Romania has some of the highest biomethane potential in the EU

Romania’s gas distribution grid is extensive and could be adapted for renewable gas adoption. According to Romania’s biomethane fiche published by the European Commission, the country has the technical ability to replace about a quarter of current natural gas imports with biomethane, representing a significant win for energy security and emissions reductions. Romania has an estimated 5.5 bcm of biomethane production potential by 2040 – one of the highest in the EU.

Romania’s biogas production briefly rose to 30 MW and dropped again to 21 MW in 2023 while biomethane production has not yet begun. Biomethane production has multiple benefits: it supports job creation in rural areas, increased energy security in a decarbonised world and puts a price on waste products, which stimulates the circular economy. Therefore, asking investors to pay for connection to the gas grid undermines multiple strategic interests.


Nadia Maki EPG thinktank
Nadia Maki, EPG Senior Researcher

Nadia Maki is a Senior Researcher within the Energy Systems Department of EPG. She is an energy policy researcher focused on renewable energy financing, green technology and innovation and emerging economies.

Before joining EPG, Nadia worked as an independent evaluator for renewable energy financing schemes for the UK Department of Energy Security and Net Zero, evaluating schemes such as the Contracts for Difference scheme and the Capacity Market scheme. Nadia has extensive experience using theory-based evaluation methods. She has also contributed to projects for DG CLIMA, DG Environment, the Research Council of Norway, UN Women, the World Health Organization and ActionAid.

Nadia holds an MSc in Climate Change, Development and Policy from the Science Policy Research Unit and the Institute of Development Studies at the University of Sussex and a Bachelors of Arts degree from Queen’s University in Canada. 

Contact: nadia.maki@epg-thinktank.org

Poate România să își reia producția de metanol? Principalele provocări și oportunități

Energy Policy Group a publicat o analiză de politici publice privind potențialul României în producția de metanol. Elaborată de Mara Bălașa, Sabina Strîmbovschi și Mihnea Cătuți, publicația examinează perspectivele relansării producției interne în contextul tranziției energetice și al transformărilor din industria chimică europeană. Studiul analizează principalele provocări economice, tehnologice și de infrastructură, precum și oportunitățile oferite de potențialul regenerabil al României, baza industrială existentă și infrastructura portuară.

Având în vedere prețurile ridicate la energie și concurența internațională tot mai mare, producția europeană de produse chimice pe bază de combustibili fosili va rămâne sub presiune.

Deși politicile climatice ale UE vor stimula cererea de produse cu emisii reduse de carbon, nu există nicio garanție că aceasta va fi satisfăcută prin producție internă. Europa deține avantaje importante în ceea ce privește tehnologia, infrastructura și politicile publice, însă competitivitatea sa depinde de asigurarea unei energii curate la prețuri accesibile și a unor materii prime alternative.

Metanolul este atât un element chimic de bază, cât și un vector emergent de energie verde. Totuși, modalitățile de producție cu emisii reduse de carbon se confruntă cu provocări semnificative: asigurarea unei cantități suficiente de energie regenerabilă și hidrogen curat, implementarea tehnologiilor CCUS și gestionarea pierderilor mari prin conversie; producția de biometanol este limitată de disponibilitatea redusă a biomasei durabile și de necesitatea de a redirecționa parțial utilizarea sa actuală de la încălzirea rezidențială către aplicații de materii prime chimice.

Deși metodele alternative de producere a metanolului cu emisii reduse de carbon implică costuri mai mari, densitatea energetică și versatilitatea metanolului îl fac o opțiune viabilă pentru sectoare dificil de electrificat, cum ar fi petrochimia, transportul greu, transportul maritim și aviația.

România prezintă atât riscuri, cât și oportunități: odată producător de metanol, acum depinde în totalitate de importuri, ceea ce indică declinul industrial și ridică întrebări despre securitatea aprovizionării. În același timp, potențialul României în materie de energie regenerabilă, infrastructura portuară și istoricul în acest sector oferă o platformă pentru o renaștere a producției de metanol, dar cu emisii reduse de carbon. Este puțin probabil ca producția pe bază de combustibili fosili să devină viabilă. O strategie industrială orientată spre viitor ar trebui să se concentreze mai degrabă pe metanolul verde, produs din hidrogen curat, CO2 capturat și biomasă durabilă. O fabrică de e-metanol care să satisfacă cererea actuală a industriei chimice ar necesita o capacitate de 44 MW și 11.500 de tone de hidrogen pe an. Alternativ, metanolul verde ar putea fi produs la fața locului de către utilizatori, mai ales dacă sunt necesare cantități mai mici.

Atât e-metanolul, cât și biometanolul implică costuri suplimentare și provocări în materie de infrastructură, ceea ce subliniază necesitatea unor măsuri de sprijin specifice. Fezabilitatea și competitivitatea producției de metanol verde în România vor depinde de trei factori principali: o mai bună prioritizare a utilizării biomasei, stimularea cererii și reducerea costurilor de producție. Pentru a realiza acest lucru, va fi necesară o mai bună prelucrare a biomasei, utilizarea pe scară largă a energiei din surse regenerabile, accesul la hidrogen curat, dezvoltarea infrastructurii pentru hidrogen și CO2, precum și modernizarea și extinderea rețelelor de energie electrică.

Studiul poate fi citit integral, în limba englează, AICI.