EBRD Backs Sustainability Upgrades of Romania’s Electrica Group
Reinforcing its position as a green development bank, the European Bank for Reconstruction and Development is supporting greater network efficiency and the digital transformation of electricity distribution in Romania’s regions with new financing. The Bank is extending a EUR 40 million loan in RON-equivalent to Distributie Energie Electrica Romania SA, the electricity distribution subsidiary of Electrica Group. DEER serves more than 3.8 million users,residential and industrial, in the regions of Northern Muntenia, Northern Transylvania and Southern Transylvania. It operates 198,988 km of electric lines in 18 counties, representing just over 40 per cent of Romanian territory.
DEER is implementing a comprehensive investment programme to upgrade its distribution network as well as improve the quality of its services and operational safety. Priorities in this upgrade also include digital transformation through systems such as SCADA, which is used to monitor and control industrial processes.
The investment programme supports the roll-out of smart meters and will enable more renewable capacity to be connected to the distribution network. It will significantly improve the network’s reliability, reduce grid losses and consistently contribute to increased renewable energy use to the detriment of conventional energy, saving about 67,100 tonnes of CO2 equivalent a year.
The guarantee and loan agreements were signed by Mark Davis, EBRD Regional Director for Romania and Bulgaria; Corina Popescu, CEO of Electrica; and Valentin Branescu, Deputy CEO of DEER, on the side lines of the EBRD’s 2021 Annual Meeting and Business Forum.