Romania to facilitate trading in guarantees of origin. “A breakthrough step,” says Czech fund

The Romanian government has announced that it plans to join the European electricity guarantees of origin system from June 2026. The country will thus join most EU countries that have already implemented the system. Both the government and investors expect the move to further accelerate the development of renewable energy sources in the region. The plan also includes the introduction of local auctions and the reinvestment of proceeds into modernising energy infrastructure. 

The Romanian government announced that it intends to join the AIB (Association of Issuing Bodies) in 2026, enabling the issuance and trading of guarantees of origin for electricity (GO – Guarantees of Origin). The move is intended to enable the country’s full integration into the European guarantees of origin system, paving the way for a standardised pan-European market. The country plans to fully open its guarantees market at the beginning of 2027.

The Romanian government’s plan also includes the creation of a local guarantees of origin market, with regular quarterly auctions. Under the plan, proceeds from these auctions will be reinvested in the energy sector. The government expects this arrangement to accelerate the overall transformation and decarbonisation.

The obligation to implement guarantees of origin stems from European Union directives. The country is thus joining most EU member states, including Czechia, which are already members of the association and have successfully implemented the mechanism. Guarantees of origin are one of the EU’s main pillars for supporting renewable energy generation. They provide producers with additional financing that does not then have to be granted through subsidies.

Investors expect stable prices and renewable energy development from the move

Romania’s accession to the European system is expected to bring a number of benefits to market participants. A functioning guarantees market is expected, for example, to support the conclusion of power purchase agreements (PPAs). These enable companies to buy renewable energy at stable prices.

"This is a breakthrough step for the Romanian renewable energy market, as it enables the cross-border transfer of guarantees of origin within the EU, which is a crucial mechanism for multinational companies seeking to secure stable, green energy through long-term power purchase agreements (PPAs) rather than investing in their own generation facilities," said Alastair Hammond, chief executive of Rezolv Energy, which is developing several projects in Romania with a combined installed capacity exceeding 1 GW.

PPA contracts provide companies with long-term price stability, protect them from volatile energy markets and allow them to plan more easily. Last year, Rezolv Energy signed six major corporate PPAs covering 460 GWh annually. More PPA agreements will lead to greater development of solar and wind power plants.

The market is expected to continue growing as a result of new regulation

The European market for certificates for electricity generated from renewable energy sources was long considered relatively insignificant due to persistently low prices. However, after an unprecedented price surge in 2022, it is now attracting investors’ attention.

According to a study by research firm Aurora from last year, the market could reach a value of EUR 3.7 billion by 2030. The company expects demand for electricity guarantees of origin to rise by 80% by 2030, while supply is expected to increase by only around 50%.

An increase in the number of guarantees is expected particularly in connection with Europe’s decarbonisation ambitions, the overall rise in electricity demand and the expansion of European hydrogen production. In its outlook, news portal Montel expects that new regulation related to non-financial sustainability reporting will also play an important role. This will affect more than 50,000 companies operating in Europe in the coming years.