The contracts target projects for investments in the electricity distribution infrastructure in the counties of Ilfov, Ialomita, Calarasi, Caras Severin, Arad and Hunedoara.
The six investment projects to be carried out by the electricity distribution operators have a total value of about RON558.3 million (VAT not included), of which the amount covered by the Modernization Fund nears RON433.7 million (VAT not included). The projects of transformation, reconfiguration and modernization of power grids aim to improve the quality of services for almost 35,000 customers.
Muntenia Electric Networks will implement a project with a total value of almost RON169 million, VAT not included, and the maximum value insured from the Modernization Fund is RON131.8 million. The project aims to modernize and increase the transmission capacity of several 20kV and 0.4kV overhead lines in the area of Balotesti, Ilfov County, for the benefit of 15,000 customers. Works aim to modernize the medium voltage network (20kV) by moving it underground, effectively replacing and reconfiguring the network on a length of 103 km, in the perimeter of Balotesti, Saftica, Magura, Ghermanesti, and the area of the Ana Aslan Institute. Under the same project, 89 new transformers will be installed and 40 existing transformers will be upgraded. Also, new sections of low-voltage network with a length of 26 kilometers will be put into operation, which will serve mainly household customers.
Retele Electrice Dobrogea will carry out in the counties of Calarasi and Ialomita two projects to benefit almost 11,000 customers, with a cumulative value of about RON181.9 million, of which the value of the non-reimbursable financing nears RON140 million.
In Calarasi County, parts of the medium and low voltage networks in five localities will be modernized, the value of the project is RON106.7 million, of which the maximum value from the Modernization Fund is RON131.8 million. Approximately 7,600 customers from Frumușani, Vasilați, Galbinasi, Plataresti and Fundeni will benefit from the modernization of 37 km of medium voltage network, over 7 km of low voltage, 59 transformers and about 150 connections. At the same time, the network in the area will be extended by over 32 km for the medium voltage segment, respectively by another 8 km for the low voltage segment and four new transformers will be installed.
In Ialomița County, Dobrogea Power Grids will carry out a project with a value of 45.3 million lei, of which the maximum insured value from the Modernization Fund is about 33 million lei. Approximately 3,200 customers in the Manasia area will have improved services following the modernization of the existing medium voltage network by moving it underground on a length of 23 km, and 12 existing transformers and 1,960 connections will be upgraded or replaced. At the same time, 34 km of new low-voltage grids will be built.
Retele Electrice Banat will implement three projects worth a cumulative amount of RON209.3 million in the counties of Arad, Caras Severin and Hunedoara, targeting networks serving over 9,000 customers. The value of European funding for these projects is over RON162 million.
In the Aradul Nou area, the project to be carried out by the electricity distribution operator will consist in modernizing and moving partially underground 16.5 km of medium voltage network, respectively of 40.5 km of low voltage network; Also, 23 transformers and 1,770 connections will be modernized. These works will benefit existing and future customers in the area. The value of the project is RON86.7 million, of which the maximum value insured from the Modernization Fund is RON67.4 million.
In Caras Severin County, works will be carried out in Berzovia, Duleu, Remetea Poganici, Valea Mare and Bocsa, with a total value of RON74 million, of which the maximum insured value from the Modernization Fund is RON57.7 million. In Berzovia, 65.7 km of 20 kV overhead lines will be upgraded by partially moving underground. The work will also include the modernization of 21 transformers, by replacing them with new stations in concrete enclosures. In the other four localities, the low-voltage network will also be modernized, benefiting 4,700 customers.
In Hunedoara County, Retele Electrice Banat will carry out a project worth RON48.6 million, out of which the maximum value financed from the Modernization Fund is RON36.9 million. It targets the modernization of medium and low voltage power grids in Geoagiu, Geoagiu Bai and eight other localities: Aurel Vlaicu, Bozes, Cigmau, Homorod, Mermezeu-Valeni, Renghet, Poienari and Valeni. In total, 37 km of medium voltage networks and 86 km of low voltage networks will be upgraded. At the same time, 33 transformers and 1,700 electrical connections will be modernized.
The validity of the six contracts ends upon expiry of the sustainability monitoring period of the projects, i.e. 5 years from the date of commissioning of the investments.
So far, the total value of the projects from non-reimbursable funds signed by the three companies Electric Networks (including those referred to above) exceeds RON1.1 billion, VAT not included, of which the value of grants tops RON780 million, VAT not included.
Retele Electrice Companies operate networks with a total length of over 133,000 kilometers covering three important areas of the country: Muntenia Sud (including Bucharest), Banat and Dobrogea, covering one third of the local distribution market, and carry out an investment program aimed at improving service quality, network safety and performance and local implementation of PPC Group’s environmental standards. The power grids operated by the three Power Grids companies include 287 primary stations and over 24,000 transformer substations.