Axpo signs a PPA contract with CEZ for the largest onshore wind farm in Europe located in Romania

Axpo announced the signing of a long term electricity purchase agreement (PPA) with CEZ’s Fântânele-Cogealac-Gradina wind farm, part of the energy portfolio held by Macquarie Asset Management in Romania.

The 7-year agreement with CEZ's onshore wind farm is the largest concluded by Axpo in the region to date and covers over 4 terawatt-hours (TWh) of electricity production. Axpo will cover about 50% of CEZ's total installed capacity of 600 megawatts (MW) in the three parks owned and managed by Macquarie Asset Management. The units are located in Dobrogea, next to the Black Sea.

Domenico Franceschino, from Axpo Western & Eastern Europe Origination, said: “I am delighted that we managed to sign this long-term contract to set the price of energy in Romania. We are seeing an increasing number of owners of renewable projects seeking stability prices and guarantees that allow them to further develop their renewable energy production.

Given our expertise and know-how in the PPA market and the fact that we are present in the market local and we understand what our customers need, Axpo is ideally positioned to support in further increase the renewable energy sources required by the energy transition. ”

Radu Rat, General Manager of Axpo Energy Romania, added: “This country has great potential for renewable energies in general and wind energy in particular. PPA contracting is an important step, both for the energy market in Romania and for Axpo's activity in this country. Our long history in PPA in many European markets, means we are well positioned to play a key role in Romania's energy transition. ”

Ondrej Safar, CEO of CEZ Romania, commented: “This long-term financial agreement contributes directly to the stability and resilience of our renewable portfolio. And, being the first of its kind in Romania, is a positive signal to the fast-moving local renewable energy market maximum towards the energy transition. ”