Rehabilitation and Repair

Hidroelectrica announces €188 million investment in Vidraru hydropower refurbishment

Hidroelectrica announces €188 million investment in Vidraru hydropower refurbishment
(photo courtesy Hidroelectrica)

Hidroelectrica in Romania has signed an order to start refurbishment work at the 220 MW Vidraru hydropower project, a project of strategic importance for the National Energy System (SEN).

The contract — awarded by the association formed by Electromontaj, Koncar – Engineering Co. Ltd. and Butan Grup — has a value of €188,382,021 (US$204 million). This investment will bring state-of-the-art technologies and innovative solutions for the modernization and optimization of operation of the Vidraru project, significantly contributing to the stability and efficiency of the national energy grid, Hidroelectrica said.

The objectives of the refurbishment are to:

  • Increase the active power of each hydro turbine-generator unit from 55 MW to a minimum of 58.8 MW, while maintaining the maximum discharged flow of 22.5 cubic meters/s (90 cubic meters/s total);
  • Increase efficiency of the units and implicitly overall efficiency of the development;
  • Increase the performance and return on investment above the initial level;
  • Increase the reliability, availability and safety in operation for all the equipment and installations and ensure the volume and quality of the ancillary services provided by the project;
  • Introduce a system that allows centralized monitoring and control, thus achieving the premises of flexibility of monitoring the operation of the project; and
  • Prepare the equipment and installations in the Vidraru hydropower projects and in the other objects of the development for a new operating cycle.

Prime Minister Marcel Ciolacu and Minister of Energy Sebastian Burduja underlined the importance of this project for Romania’s energy future and expressed their support for the initiatives that promote sustainability and energy efficiency.

“This investment will allow us to modernize this masterpiece of Romanian engineering. I am convinced that if the investment of 1966 was amortized in 28 years, the one signed today will be recovered in a few years. … I assure Hidroelectrica of all the support of the Romanian Government, we support any major investment in clean energy, because it is the best investment in the future of this country,” said Ciolacu.

“It is an honor to announce that after 12 years, we are signing the first refurbishment contract for a powerplant. The development of this contract will challenge everyone,” said Karoly Borbely, chief executive officer of Hidroelectrica. “The success of the listing is a proof of Hidroelectrica’s progress. The most important objective of my mandate is the development of investment projects in the core assets of the company’s business, thus significantly extending the life of the equipment to produce green energy. The refurbishment works will last seven years, during which time we aim to achieve outstanding performances. After 58 years of operation of one of the main hydropower plants that has contributed greatly to the balancing of the national energy system, this project marks a new chapter of development and innovation. It is a responsibility that we assume with determination, at a time when the production of renewables brings challenges.”

The Vidraru Hydropower Plant on the Arges River was inaugurated in December 1966 and contributes about 400 GWh of electricity production annually.

Hidroelectrica is the largest producer of green electricity in Romania and provides ancillary services for SEN. The company operates 187 plants with a hydropower capacity of 6.3 GW and owns a wind farm with an installed capacity of 108 MW. The company also holds a 13.09% share of the supply market.