Navigate the energy transition in Romania and SEE 2025-2026: policy response and strategic financing for electrification

IN PROGRESS

Navigate the energy transition in Romania and SEE 2025-2026: policy response and strategic financing for electrification

Project Description

This project analysis Romania’s energy landscape evolution during the 2025 – 2026, when policy frameworks must translate into effective delivery mechanisms amid unprecedented economic turbulence and geopolitical pressures. As Romania navigates the expiration of electricity price caps (July 2025) and natural gas caps (March 2026), implements RED III transposition, and grid investment gap, EPG will provide evidence-based analysis to inform decision-making process.

The project addresses Romania’s transition from policy design to implementation, tackling persistent obstacles including outdated grid infrastructure, slow development of energy communities, and funding allocation inefficiencies highlighted by business stakeholders.

The work encompasses four complementary streams: quick-reaction capacity for evolving EU and national policies, comprehensive grid infrastructure analysis addressing modernisation and investment gaps, strategic assessment of public funding allocation across the electricity value chain, and establishment of a regional Southeast European platform for think tank coordination.

Topic

Energy transition, electrification, grids, strategic financing

Period

01/07/2025 - 30/06/2026

EPG Project Manager

Alina Arsani

Head of Energy Systems Programme

Project objectives

Provide rapid policy analysis during critical transition points by monitoring EU developments (Affordable Energy Action Plan, MFF negotiations) and national implementation challenges (RED III transposition, price cap expiration),
Address grid infrastructure bottlenecks through targeted stakeholder engagement and policy recommendations that tackle the investment gap
Propose public funding allocation efficiency by systematically mapping EU and national funding streams across the electricity value chain (generation, transmission, distribution, end-use), identifying gaps and developing a strategic roadmap that maximises value-for-money as major funding sources diminish
Establish a regional coordination platform by convening leading Southeast European think tanks to identify shared energy transition challenges, develop joint initiatives, and amplify civil society voices in policy processes across EU Member States and energy community countries.

Countries

Romania

Funding

European Climate Foundation