INTERVIEW Alex Gospodinov, hooracan energy: “Our goal is a 500MW+ onshore wind energy portfolio across Romania”

“We estimate that Romania will need to deploy 20GW of new renewable energy capacity over the next 10-20 years, just to support its EU commitment around phasing out of thermal power generation,” Alex Gospodinov, CEO hooracan energy told The Diplomat-Bucharest.

“Romania is one of our core markets. Our ambition is to create and start development of both offshore and onshore wind energy projects in the country.”

What are the plans and objectives of hooracan energy on the Romanian market?

“We launched hooracan energy in February 2022 with a mission to drive the energy transition in emerging markets. This naturally led us to two domains that we understand the most – wind energy and Eastern Europe. Romania is one of our core markets. Our ambition is to create and start development of both offshore and onshore wind energy projects in the country.

In addition to 1GW offshore wind project that we are championing in the Romanian exclusive economic zone in the Black Sea, hooracan are also in the process of screening for prospective project sites onshore with the goal of assembling a 500MW+ onshore wind energy portfolio across the country.

Romania is the country and a business culture where we were not native. It was critical for us to learn as much as we can about what we did not know before commencing with development activities in this market. And we are lucky to have poked curiosity and patriotism of Bogdan Bilaus, who has been chaperoning, in the capacity of a local partner and strategic market adviser, our endeavours in Romania. Bogdan’s drive and desire to see Romania energy secure and prosper align well with our vision for the legacy that we strive hooracan to create. Together we believe we can clear everything in our path.”

How would you describe the Romanian energy market? What about the wind energy sector?

“The Balkans region is at the intersection of climate change and geopolitics. And Romania, once one of Europe’s most prolific sources of energy, is yet again becoming an increasingly assertive member of European energy security.

We estimate that the country will need to deploy 20GW of new renewable energy capacity over the next 10-20 years, just to support its EU commitment around phasing out of thermal power generation. In addition, we expect Romania’s per capita electricity consumption to increase materially as the country is going through the heating and mobility electrification and the Government continues to deliver on its stellar work of creating a vibrant domestic energy-intensive technology sector.

Rapid scale up of renewables onshore is problematic, however, because of extensive network of environmentally protected areas and importance of agricultural sector. That is why we believe that offshore wind will play a key role in Romania’s energy transition. And we can help make it happen today.”

What is the status on your Black Sea project?

“Following months of extensive prospecting, research and analysis, in September we have made an unsolicited proposal to the Ministry of Energy to commence exploration activities on our carefully selected site in the Black Sea.

Currently we are actively engaging with multiple relevant stakeholders – Ministries, authorities and NGOs – in order to piece together various regulatory frameworks and chart a pathway for the project to start exclusive on-site surveys, exploration works and consenting.”

How do you see the current legislative framework from an investor perspective?

“When it comes to offshore wind, there is a legislative vacuum in Romania today. Which is understandable given that the impetus for renewable energy in the country has just returned a couple of years ago.

We see absence of a definitive regulatory process as the opportunity for hooracan energy. That is exactly the environment where we can leverage on our emerging markets’ pedigree to unlock value.

In Romania we have to be particularly mindful of existing economic activities associated with oil & gas exploration. Robust legislative delineation of rights of economic operators will be required for offshore wind energy sector to develop at scale.”

What are your main concerns for the foreseeable future?

“Are we doing enough? That is always the question at the back of our heads.

We would love to see Romanian businesses participate in the economic value creation in offshore wind, and not merely compete for supply chain opportunities with razor-thin margins down the line. That is why we strive to arise interest in the sector from the local business community, whom we can guide on offshore wind specific technology and commercial matters. Unlocking offshore wind energy in Romania is a journey. And as with many journeys, it is best travelled together.”