Iberdrola and Sinovel in talks over Romanian pipeline

ROMANIA: Iberdrola is in negotiations to sell its 1.2GW project pipeline in Romania to Chinese turbine manufacturer Sinovel.

Speaking to Windpower Monthly, Christoph Kapp, chairman of Eolica Dobrogea, the firm developing the projects for Iberdrola said: "There is not yet an agreement although everyone is interested in reaching one."

Kapp says projects are at various stages of development, adding: "Some already have the construction licence, others are close to getting it and still others are a bit further away."

While it’s early to talk about a sale price he notes Iberdrola "won’t walk away from these projects without adequate remuneration". Romanian incentive prices for wind production are widely seen as generous.  

Iberdrola had no immediate comment.  

A deal for Sinovel to acquire the 1.2GW pipeline was prematurely announced earlier this summer. Two firms related to Eolica Dobrogea — C-Tech and Rokura — announced a strategic agreement with Sinovel.

However, these projects were part of a 1.5GW pipeline for which Eolica Dobrogea had signed an exclusivity agreement with Iberdrola in 2008. After Kapp intervened and noted the Sinovel deal was invalid, Iberdrola and Sinovel began negotiations directly.

Eolica Dobrogea, C-Tech and Rokura are also involved in current talks, while Sinovel would still need a development partner.

A delegation including officials from Sinovel and Chinese export credit agency Sinosure is set to arrive in Romania tomorrow.  Sinovel is said to also be eyeing other Romanian wind projects.

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