Energy-intensive production companies can receive up to 80% of European energy efficiency funds

Energy-intensive production companies can receive up to 80% of European energy efficiency funds

The Ministry of European Funds has extended the submission of projects on the High Infrastructure Operational Program (Order 990 / 28.05.2015, specific objective 6.4) on increasing savings in primary energy consumption produced in high-efficiency cogeneration systems by December 31, 2019.

It will fund projects that aim to implement one of the following POIM actions:

• Realization / modernization of high efficiency cogeneration power plants (maximum 8 MWe) on natural gas and biomass
• Realization / modernization of high efficiency cogeneration plants using waste gases (maximum 8 MWe) from industrial processes

Eligibility is the acquisition of equipment / equipment for the construction / modernization of high-efficiency cogeneration plants and constructions that are the subject of the cogeneration power generation project related to the upgraded equipment.

Other installations / equipment than the above may be considered eligible only if the applicant proves that they are absolutely necessary for the implementation of high-efficiency cogeneration systems in accordance with OS 6.4.

The eligible companies within OS 6.4. are:

1. Companies in the industry that record energy consumption of over 200 toe / year and which can prove useful heat demand for industrial processes with a minimum of 4,000 h / year.

2. Designated representative of an industrial park, which has an energy consumption of over 200 toe / year and which can prove to be a useful heat demand for industrial processes with a duration of at least 4,000 h / year.

Biomass handling and processing facilities as well as biogas production are not eligible.
According to the second edition of the study "Energy Efficiency in Romanian Companies", conducted by EnergyPal with the support of Valoria, only 4 out of 10 companies say they have invested in an energy efficiency program. At the industry level, the fewest companies with such investments are from construction / real estate (20% in 2019 vs. 19% in 2018), followed by food / agriculture (21% vs. 29%) and professional services (32% vs. 27%).
The EnergyPal study also shows that the percentage of respondents who say they have made an energy audit of buildings is 51% in 2019, up 9 percentage points from last year. Most companies that have carried out an energy audit of buildings are those in industrial production (69%).

The budget allocated to the call for projects, according to mfe.gov.ro, is divided as follows:

The aid is granted in RON in the form of reimbursement of the expenses incurred and can not exceed 15,000,000 euros equivalent in RON at the Inforeuro exchange rate in the month before the application for financing / investment project.

The intensity of the support measure can not exceed:

  • 80% of the eligible costs of the project, for micro-enterprises and small enterprises;
  • 70% din costurile eligibile ale proiectului, pentru intreprinderile mijlocii;
  • 60% of eligible project costs for large enterprises.

Aid is not granted to firms in difficulty.

State aid granted for projects aiming at investments in high efficiency cogeneration capacities within the specific Objective 6.4 will be granted only if they have a stimulating effect and have not started the investment.

The following activities are not eligible:

  •  fisheries and aquaculture;
  • the processing and marketing of agricultural products, in the following cases:
  • when the amount of aid is set on the basis of the price or quantity of such products purchased from primary producers or placed on the market by the respective enterprises; or
  • when aid is conditional on their partial or full transfer to primary producers;
  • the primary agricultural production sector.

Companies that want to deposit must prepare very quickly the feasibility study, on a free load, if we want to finance a construction related to the energy efficiency equipment and to ask for offers for the equipment they want to propose for financing.

We also need rigorous preparation of the documentation as we have a minimum score of 70 points, and if we do not get this score, the project is rejected.

We have to reach at least 20 points out of 40 in relevance and opportunity, 28 out of 40 in terms of maturity and quality of documentation and at least 12 out of 20 in sustainability, says Roxana Mircea, consultant of European funds and state aids.

Projects are submitted to the MYSMIS platform, administrators or legal representatives must purchase their electronic signature.