Energy companies will be more careful with the money they allocate to project development because of the international crisis, considering investments in this field take a very long time to recoup, say the officials of CEZ, one of the leading players on the domestic energy market that posted more than 416 million euros in turnover last year.
Other than this effect, the local energy market seems quite sheltered from the international storm.
"Energy-wise, because of its balanced generation portfolio, where hydropower and nuclear power account for a large share, and the thermoelectric power plants run mostly on domestically obtained fuel, Romania has a low exposure to the international financial crises," says Adrian Borotea, corporate affairs manager of CEZ Romania.
The company is part of the Czech CEZ energy group and is currently involved in the distribution and supply of electrical power and is set to start generation operations, as well. It is currently developing the biggest wind farm project in the whole of Europe in Dobrogea, with an installed capacity of 600 MW, in which it will invest 1.1 billion euros.
"In Romania, CEZ continues its programme of massive investments in the distribution network. It is also working hard on the Fantanele wind farm, to make it operational at the announced date. I could say the financial market crisis has a very low impact on the business of CEZ in Romania," Borotea adds.
As for prices, CEZ Romania representative says that both natural gas and electrical power prices will maintain over the coming period at the same level as today.
"As expected, the petroleum price fell on the international markets, which will reflect in Romanian gas prices in about nine months. The exchange rate has gone through major changes in a short time, but with the safety measures taken by the central banks, it will stabilise at a normal rate. Therefore, the imported fuel prices should not change," Borotea says.
The local electrical power market is helped by hydroelectric power and by the two reactors of the Cernavoda nuclear plant, which can allow generation prices to keep constant.
"A low impact will be that of the import of the energy equipment compared to the fluctuation of the exchange rate. The harsher loan granting conditions will make a negative impact on institutions, i.e. credits will become more expensive. Investors are more cautious, considering energy investments take a very long time to recoup," Borotea says.
CEZ Romania official adds that energy consumption could stagnate next year given the weaker business of economic operators.
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