Galatui Project: Onshore Floating Solar Plant in Romania
This document outlines the Galatui Project, an onshore Floating Solar Plant located on Galatui Lake in Calarasi County, Romania. The project has a total permitted capacity of 259 MW cc, 185 MW a.c. on 170 Ha of Galatui Lake, with an additional 50 MW in storage. Key aspects include investment rationales, project status, environmental considerations, and financial highlights. The project aims to be one of Romania's most valuable onshore solar plants, offering significant benefits in terms of energy production, environmental impact, and economic opportunities.

by gianluca pozzobon

Investment Overview
The Galatui Project is an onshore Floating Solar Plant, located on Galatui Lake, close from Rasa village -Gradistea, Calarasi District in The South East of Romania. The Project has a total permitted capacity of 259 MW cc, 185 MW a.c. on a 170 Ha from the Galatui Lake developed on one single SPV - SC Piscicola Prod Com SRL, and 50 MW in Storage.
Investment Rationales

Pioneering Location
The project location was identified and developed following an extensive and robust analysis of the solar resource and geographical parameters. The region is now regarded as one of the prime locations for onshore solar development in Romania.

Grid Infrastructure
The grid infrastructure is less congested (compared with Dobrogea region or The South – West part of Romania) as it has a significant amount of available utilization and transportation capacity. Low density of wind farms in the region decreases the risk of 'shadowing' from other farms and also lowers the risk of an overloaded grid.

Scale and Profile
The Project is sizeable enough to have a noticeably positive impact on the local community and economy, creating jobs in the short and long term. As a landmark project for the region it has the potential to obtain high profile visibility both within Romania and globally.

Competitive Cost
Very competitive turn key cost/MW installed (EUR th 0,650 /MW updating prices) considering that it is in line with the benchmark of similar solar power built on water surface projects.
Permitting Status
  • The Solution Study Obtained
  • TEHNICAL CONNECTION APPROVAL (ATR) - OBTAINED 26.02.2024
  • Registration Certificate in 2022
  • Constitutive act – 15.12.2022
  • Assessor's certificate 16.03.2022
  • Concession contract 18.08.2006
  • Extract to the land Register – 31 December 2023
Additional environmental steps include:
  • Address to The Environment (Submission of initial Memorandum)
  • The decision of the initial Environmental evaluation stage
  • Memory frame content with environmental additions
  • Public announcement of the Environmental Town Hall
  • Environmental initial presentation memory frame content
Urban Certificate and Documentation
The project has obtained or is in the process of obtaining the following documents:
  • URBAN CERTIFICATE FOR THE CONSTRUCTION OF 50-100 MW SS
  • Land surface contract (storage)
  • Cadastre for the construction of CEF Galatui
  • Cadastral plan extract
  • Extract of land certificate
  • Geotechnical land study (storage)
  • Technical memory (storage 50 MW)
  • Land topo survey
  • Technical documentation supporting environmental approval
  • Management plan ROSPA 0055 Lac Galatui Environment (April 2023)
  • Detailed evaluation study, final report 2023
  • Study on the Abiotic environment of the Natura 2000 Site (2023)
CTES Approved Solution Study
Additional technical documents:
  • 01 - Inverter technical sheet.pdf
  • 02 - FT Technical Spec PUMA 670w.pdf
  • 03 - Substation technical sheet.pdf
  • 04. Annex no. 7 - CEF Galatui.bun.docx
  • Application for Transelectrica connection.docx
  • Superficiecontract.pdf
  • CU Teren Baterii.pdf
  • Galatui connection application.docx
  • Technical data for CEF
Environmental Advantages of Water-Based Solar
Increased Efficiency
Placing photovoltaic panels on water allows them to be more efficient, as the water acts as a natural cooling system. The lower temperature of the solar panels increases their efficiency, which leads to a higher production of electricity.
Evaporation Reduction
Floating photovoltaic panels cover part of the lake's surface, thus reducing water evaporation. This aspect is particularly important in arid climate areas, where water conservation is essential.
Limited Land Use
Placing the panels on the lake allows efficient use of the water surface, without occupying valuable land. Thus, the project does not interfere with other agricultural or industrial activities and does not affect terrestrial biodiversity.
Reduced Environmental Impact
Floating photovoltaic panels do not require deforestation or destruction of natural habitats. By using solar energy, the project contributes to reducing greenhouse gas emissions and combating climate change.
Solar Radiation and Environmental Impact
Some solar radiation is reflected by the Earth and the atmosphere. Some of the infrared radiation passes through the atmosphere. Some is absorbed and re-emitted in all directions by greenhouse gas molecules. The effect of this is to warm the Earth's surface and the lower atmosphere.
To mitigate risks of electrical discharges in the water, the installation is provided with a grounding system for electrical discharges and lightning.
Advantages of 259 MW Solar with 50/100 MW Battery Storage

1

Stability and Reliability
By adding storage capacity in batteries, the project can ensure a stable and reliable electricity supply, even during periods when solar energy production is low or non-existent, such as during at night or in adverse weather conditions. Storage capacity allows solar energy generated during the day to be accumulated and used during peak times or periods of high electricity demand.

2

Grid Independence
The storage capacity in batteries allows the project to operate independently of the power grid or to reduce dependence on it. This can be particularly useful in isolated areas or areas with poor electrical infrastructure. The project can provide a safe and stable supply of electricity to communities or industries without the need for grid expansion or additional infrastructure investment.

3

Maximized Solar Energy Use
The storage capacity in batteries allows maximizing the use of the generated solar energy. During peak periods when electricity demand is high, the project can supply the energy stored in batteries, thus reducing the need to use other energy sources such as thermal or nuclear power plants. This contributes to reducing greenhouse gas emissions and protecting the environment.

4

Business Opportunities
Adding storage capacity to batteries can open up new business opportunities. The project can provide energy storage and management services for other energy producers or for the power grids, thereby generating additional revenue. The project can also participate in energy markets, such as reserve energy markets or variable price energy markets, to obtain additional revenue from the sale of energy stored in batteries.
We can supplement the storage part with another 150 MW if the beneficiary wants. At the same time we offer the buyer a company authorized as an energy trader, thus having the opportunity to trade energy directly on the OPCOM market at much more advantageous prices.
Lake Concession and Advantageous Price

1

Long-Term Concession
Concession for 33 years plus 24 years. The lake was concessioned for a period of 33 years, with the possibility of extension for another 24 years, thus offering stability and security to investors. This long concession period allows for investment recovery and a significant long-term profit.

2

Exceptionally Low Concession Price
We have the privilege of enjoying an inordinately low price for the lake concession. 14,000 euro per year for entire lake surface, this represents a unique opportunity to gain a significant competitive advantage and maximize project profitability.
The lowest concession price in Romania for a 259 MW project on the land would be over 500,000 euros per year.
CAPEX Breakdown
OPEX Annual Breakdown
Electricity Price and Energy Storage
The specifics of the photovoltaic plant mounted on water surface, through natural cooling, will increase its efficiency by 15 - 17%, to which is added a 5 - 7% increase in efficiency, through the use of bifacial panels. The efficiency of the solar installation will increase by at least 5%, as the difference between DC (installed) and AC. We will take into account a weighted average of the increase in efficiency, of 23%, even if this is higher!
Energy Trading and Production Strategy
The SPV will be authorized as a trader and then as an energy producer in order to streamline the sale of produced energy on the OPCOM market. In this scenario, with the energy stored from own production, with the energy absorbed from the grid in the storage facility and with the purchased energy, the sale of the produced green energy, will be highly efficient. We took into account a weighted average of 110 Eu / MW.
The sale of the project will be done by selling all the shares of the company, which means that the fish farming activity will also be taken over by the buyer. If the buyer is not interested in the fish farming activity, we undertake by contract to coordinate and ensure this activity throughout the concession period. If the buyer wants to take over this source of income as well, we will negotiate a separate price for this activity.
Project Location and Geographical Advantages
The Galatui Project is strategically located on Galatui Lake, close to Rasa village in Gradistea, Calarasi District, in the South East of Romania. This location was chosen after extensive analysis of solar resources and geographical parameters, making it one of the prime locations for onshore solar development in Romania.
Key geographical advantages include:
  • Optimal solar exposure in the South East region of Romania
  • Proximity to Galatui Lake, allowing for floating solar panel installation
  • Less congested grid infrastructure compared to other regions
  • Low density of wind farms, reducing the risk of 'shadowing' and grid overload
Technical Specifications and Equipment
The Galatui Project utilizes state-of-the-art technology to maximize energy production and efficiency:
  • Total permitted capacity: 259 MW cc, 185 MW a.c.
  • Storage capacity: 50 MW (expandable to 100 MW)
  • Area covered: 170 Ha of Galatui Lake
  • Photovoltaic panels: Bifacial panels for increased efficiency
  • Inverters: High-efficiency inverters (specifications detailed in technical sheets)
  • Battery storage: Advanced energy storage systems
  • Grid connection: Customized infrastructure for optimal integration
The use of bifacial panels and the natural cooling effect of the water surface contribute to a 15-17% increase in efficiency, with an additional 5-7% gain from the bifacial technology.
Environmental Impact and Sustainability
The Galatui Project is designed with a strong focus on environmental sustainability:

Reduced Carbon Footprint
By generating clean solar energy, the project significantly reduces greenhouse gas emissions compared to traditional power sources.

Water Conservation
The floating solar panels reduce water evaporation from Galatui Lake, contributing to water conservation efforts in the region.

Land Preservation
Using the lake surface for solar panel installation preserves valuable land that can be used for agriculture or other purposes.

Biodiversity Protection
The project includes measures to protect and enhance the local ecosystem, as detailed in the environmental studies and management plans.
The project adheres to all environmental regulations and has undergone rigorous environmental impact assessments, including studies on the Natura 2000 Site.
Economic and Social Impact
The Galatui Project is expected to have significant positive impacts on the local and regional economy:
  • Job Creation: The project will generate both short-term construction jobs and long-term operational positions.
  • Local Economic Boost: Increased economic activity in the Calarasi District during construction and operation phases.
  • Energy Security: Contribution to Romania's energy independence and security.
  • Technology Transfer: Introduction of cutting-edge solar and energy storage technologies to the region.
  • Revenue Generation: Potential for increased local government revenues through taxes and fees.
  • Fish Farming Continuation: The existing fish farming activity can be maintained, providing additional economic benefits.
The project's scale and profile make it a potential landmark for the region, attracting attention and possibly spurring further investment in renewable energy projects.
Investment Opportunity and Future Prospects
The Galatui Project represents a unique investment opportunity in the renewable energy sector:

Competitive Advantage
The exceptionally low concession price of 14,000 euros per year for the entire lake surface provides a significant cost advantage over land-based projects.

Long-Term Stability
The 33-year concession with a 24-year extension option offers long-term stability and security for investors.

Scalability
The potential to expand storage capacity to 150 MW offers room for future growth and increased revenue.

Market Access
The inclusion of an authorized energy trading company provides direct access to the OPCOM market at advantageous prices.
With the growing demand for renewable energy and the strategic location of the project, the Galatui floating solar plant is well-positioned for long-term success and profitability. The combination of innovative technology, environmental benefits, and economic advantages makes this project an attractive proposition for investors looking to capitalize on the expanding green energy market in Romania and the broader European region.

Disclaimer

Disclaimer This document has been prepared solely for informational purposes from confidential material created by the company management and from information that is publicly available and is being furnished solely for the use of interested parties to determine whether they would like to proceed with further investigation of the Project. By accepting this document, the recipient acknowledges and agrees that all the information contained herein is confidential and the recipient will not distribute or reproduce this document, in whole or in part, or disclose any non-public information contained herein to any party, if the recipient does not wish to pursue this matter, or at the request of the Client, the recipient will return this document, to the Client as soon as possible, together with any other material related to the Client which the recipient may have received from the Client, any proposed action by the recipient which may be inconsistent in any respect with the above will require the prior consent.