Romania is moving forward with plans to revitalize a long-stalled hydroelectric project, signaling a renewed commitment to energy independence and renewable sources. Discussions are underway with French utility EDF and Japanese trading firm Itochu regarding substantial investment in the Tarnița-Lăpuștești pumped storage power plant, a project initially planned during the communist era. The potential development promises to considerably bolster the nation’s energy storage capacity and stabilize its power grid amidst a broader European shift towards cleaner energy solutions.
Tarnița-Lăpuștești. Romanian energy officials are in discussions with French utility EDF and Japanese trading firm Itochu regarding a major investment in a large-scale energy storage project, potentially revitalizing a decades-old hydroelectric power plant. The move signals Romania’s increasing focus on bolstering its energy security and integrating renewable energy sources.
On November 26, Cristian Bușoi, Secretary of State in the Romanian Ministry of Energy, announced on his social media page that he had met with representatives from EDF France. “We had constructive discussions about the common interests of Romania and France, as well as new perspectives for development and collaboration in the energy sector,” Bușoi stated.
EDF is planning a significant investment in partnership with Hidroelectrica, Romania’s state-owned hydropower producer, dedicated to energy storage. According to Bușoi, the project will “contribute significantly to stabilizing the energy market and balancing the national energy system.” He added that energy storage is “an essential component for integrating renewable sources and increasing Romania’s energy security,” supporting infrastructure modernization and accelerating the transition to a cleaner, more efficient, and resilient system.
While Bușoi did not specify the details of the “major investment project,” sources close to the matter have confirmed that discussions centered on the Tarnița-Lăpuștești pumped storage hydroelectric power plant, a project originally conceived during the communist era. The project represents a substantial undertaking for Romania, which currently has 256 MW (441 MWh) of installed battery storage capacity, and an additional 200 MW of reversible turbine-pump capacity within Hidroelectrica’s portfolio on the Olt River.
In November 2024, then-Minister of Energy Sebastian Burduja announced the signing of a memorandum of understanding with EDF and Itochu for the Tarnița hydroelectric plant project, following the failure of a tender process organized by SAPE to update the plant’s feasibility study. The memorandum outlined a potential path forward for the 1,000 MW plant.
“We are implementing Plan B, because we always have a backup plan,” Burduja said at the time. “We continued discussions with our strategic partners in Japan and France, the consortium formed by Itochu-EDF, two global energy giants. EDF is the most important utility company in Europe, producing over 16% of the electricity in the European Union. EDF is the world’s largest operator of nuclear assets, with approximately 180,000 employees. Itochu, the Japanese giant, has total revenues of nearly $90 billion, which is 28% of Romania’s GDP. Both companies are interested in the project and willing to fund the feasibility study, and then complete the design and construction of the plant.” Burduja described the hydroelectric plant as “my heart’s project.”
Following the initial agreement, EDF and Itochu representatives visited Transelectrica, Romania’s national electricity transmission company, to request data related to the project.
Current Status of the Tarnița Project
Sources indicate that an agreement has been signed with the European Bank for Reconstruction and Development (EBRD) to conduct a study on financing large-scale energy storage in Romania. The EBRD has reportedly already selected a contractor to carry out the study, with one of the objectives being to identify solutions for the Tarnița pumped storage hydroelectric plant.
Both EDF and Itochu remain committed to the project, and Hidroelectrica, which previously declined to participate, now expresses interest in joining the venture. A memorandum of understanding between the three companies is expected to be signed. According to sources, EDF is seeking to handle the commercial operation of the future hydroelectric plant, while Itochu aims to oversee its construction and supply the turbines, though a tender process for turbine supply is planned, with interest from European manufacturers.
Beyond EDF and Itochu, there is growing interest in energy storage projects utilizing pumped hydro. Sources suggest that Bechtel, the American construction giant previously involved in Romania’s Transylvania Highway project (later terminated), has also expressed interest in Tarnița, as have companies from Turkey. These reports remain unconfirmed.
The Tarnița-Lăpuștești project is located 30 kilometers from Cluj-Napoca, on the Someș River. Initially conceived in 1979, the plan calls for a 1,000 MW hydroelectric plant with pumping capabilities. Construction costs were estimated at around €1 billion several years ago, but are likely higher today.