(MENAFN- AzerNews) by Alimat Aliyeva

Romania is set to become home to one of the largest renewable energy projects ever developed onshore in the European Union.

According to Romanian business publication Ziarul Financiar, renewable energy company Rezolv Energy, backed by British investment firm Actis, has secured up to €561 million to finance the construction of the Dama Solar photovoltaic power plant in Romania's western Arad County.

With a planned capacity of 1.3 gigawatts (GW), the facility is expected to become the largest onshore renewable energy project in the EU once completed.

The project has an estimated total cost of around €728 million. The European Investment Bank (EIB) is providing €100 million in financing, backed by an InvestEU guarantee. In total, 14 lenders, including commercial banks and international financial institutions, are participating in the financing package.

Dama Solar is expected to generate approximately 1.8 terawatt-hours of electricity annually. According to project estimates, that would be enough to cover the yearly electricity needs of more than 280,000 households, equivalent to roughly one million people.

The solar plant will be connected to Romania's high-voltage electricity grid, increasing the country's domestic renewable generation and helping diversify its energy supply. The project is particularly significant as European countries continue to invest in new generation capacity to reduce dependence on imported fossil fuels and strengthen energy security.

Construction of Dama Solar is also expected to provide a substantial economic boost to the region, with more than 1,500 jobs projected during the construction phase. The development will additionally include an 82-hectare nature restoration area, designed to support biodiversity alongside the energy infrastructure.

Commercial operations are currently scheduled to begin in the second half of 2028.

If completed as planned, Dama Solar will not only transform the renewable energy landscape in western Romania but could also become a major example of how large-scale solar projects can combine energy production, private investment and environmental restoration.

An interesting aspect of the project is its sheer scale: 1.3 GW of solar capacity means the plant could produce enough electricity to make a noticeable contribution to Romania's national power system, particularly during periods of high daytime demand.

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