“1 MW of installed capacity costs around EUR1 million, which means 2,500 MW translate into costs of EUR2.5 billion. The difference up to EUR4 billion (the value of total wind power investments – e.n.) goes into road works, electrical networks, technical studies, land acquisitions, costs for obtaining permits, local transportation and so on.,” Ionel David, executive manager of the association, told MEDIAFAX Wednesday.
David said the planned tax of 1.5% of the asset’s value on “special” building structures, applied to EUR2.5 billion, translates into nearly EUR37.5 million.
David also said that all wind power projects completed in 2013 and all the projects that will be slated into service in 2014 were put in motion in 2012 or ever sooner, because the new changes to Romania’s green energy law do not allow for new investments in the sector.
The Romanian government in November announced plans to levy a tax of 1.5% of the asset’s value on “special” building structures, including oil and natural gas wells, drilling platforms, power plants, oil and gas pipelines, mineshafts, electricity poles and telecom cables, etc. So far, these types of constructions have been excluded from the list of taxable assets.
The government decided in June to reduce state support for renewable energy producers. The measure will be valid until March 2017 for hydropower units and photovoltaic power stations, and until 2018 for wind farms.