CEZ WIND PARK IN ROMANIA
Energie verde, Bucharest, ROMANIANovember 29th, 2010
ADRIAN BOROTEACORPORATE AFFAIRS DIRECTOR - CEZ ROMANIA
Date: 11.11.2009 Version: Presented
CEZ GROUP IS STABLE INTERNATIONAL UTILITY ACTIVE IN MORE THAN 10 COUNTRIES OF CSEE
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Date: 11.11.2009 Version: Presented
Timisoara
Arad
Oradea
Satu Mare
Alba lulia
Bistrita
Tîrgu Jiu
Deva
Drobeta-
Turnu Severi
n
Suceava
Botosani
Iasi
Vaslui
Sibiu
Zalau
Miercurea
Ciuc
Rîmnicu
Vîlcea
Brasov
Pitesti
Sfîntu Gheorg
he
Slatina
Focsani
Galati
Buzau Ploies
ti
Slobozia
Calarasi Giurgi
u Alexandria
Braila
Tirgoviste
Tulcea
Tîrgu Mures
Piatra Neamt
Bacau
Resita
Baia Mare
Cluj-Napoca
Constanta
Craiova
Bucuresti
Sales and distribution services
CEZ GROUP IN ROMANIA
Sales servicesFantanele & Cogealac wind farms
Fantanele and Cogealac Wind Park will be together the largest onshore wind park in Europe
The total capacity: 600 megawatts Total investment of CEZ Group into the project will reach € 1.1 billion
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Date: 11.11.2009 Version: Presented
Law no.139/2010
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It updates law 220/2008, incentivizing more such investments and answering to EC questions on notification
Some “clean” producers receive for each 1 MWh produced more than 1 GC: 2 GCs for wind energy for the electricity generated until 2017 and 1 GC starting 2018, 3 GCs for new hydro, 2 GCs for rehabilitated hydro and 6 GCs for solar energy
Supporting scheme applicable for units to be commissioned/rehabilitated until end of 2016: 15 yrs to new units, 10 yrs for rehabilitated hydro units below 10 MW, 7 yrs for second hand units and 3 yrs for non-rehabilitated hydro below 10 MW)
GC may be traded within price limits: from 27 EURO/CV to 55 EURO/CV in 2010; starting 2011 (until 2025), limits will be inflated with EU27 inflation index; after 2025, minimum value cannot be lower than 2025 one
If suppliers will not achieve mandatory quota at end year, they will pay 110 EURO/CV (inflated starting 2011 by EU27 index) to TSO who will allocate the amounts to residentials who will invest into renewable sources below 100 kW
New quota values to be supported until 2020 are:2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
5,26% 6,28% 8,30% 10% 12% 14% 15% 16% 17% 18% 19% 19,5% 20%
Date: 11.11.2009 Version: Presented
0 8 14
7,000
Water Wind
MW/ Fuel
6,000
8,000
0
2,000
3,000
5,000
4,000
Coal Hydro-carbons
Nuclear
1,000
FANTANELE WIND PARK MULTIPLIED INSTALLED WIND CAPACITY IN ROMANIA BY 25 TIMES
Overview of the installed capacity and annual electricity production
Installed capacity Annual Electricity Production
2007
2008
2009
1 7 11
24,000
28,000
GWh
NuclearHydro-carbons
Coal Wind
20,000
16,000
Water0
4,000
8,000
12,000
2006
2008
2007
Source: CEZ research
Date: 11.11.2009 Version: Presented 6
MONTHLY EVOLUTION OF TRADED GC AND THEIR PRICES
Source: OPCOM
Date: 11.11.2009 Version: Presented 7
CV Total Eolian Hidro Biomasaianuarie 27532 1538 23068 2926februarie 21195 1396 15392 4407martie 28259 2334 21736 4189aprilie 33238 2133 26710 4393mai 35203 2077 28036 5090iunie 41278 2113 27206 11958iulie 36306 1620 24591 10095august 49840 22139 18718 8981
Sept. 77757 39775 20878 17103
GREEN CERTIFICATES ISSUES IN 2010
Date: 11.11.2009 Version: Presented
Two wind farms projects in Dobrogea county, between villages of Fantanele and Cogealac (north of Constanta, 17 km west of the Black Sea coast);
Total projected size: 240 WTGs(1) of 2.5MW– installed capacity of 600MW; The project will be the largest onshore wind farm in Europe; Once wind farms are operational, CEZ will have 10 % share on the Romanian market with renewable
energy, including big hydro.
WIND FARMS PROJECT IN FANTANELE AND COGEALAC WILL BE THE LARGEST ON-SHORE WIND FARM BUILT IN EUROPE
Basic information about wind farms CEZ project
Both wind farms
1st phase of the project – 139 wind turbines; Construction has started in October 2008 Currently, we have erected 120 WTGs, build 100
km of roads, laid more than 140 km of cables 33 kV and 110 kV
4 Transformer Substations 110 / 33 kV One Transformer Substation 400 / 110 kV,
connected to Transmission Grid
Fantanele Project Cogealac Project
2nd phase of the project – 101 wind turbines; To be finished in 2012; Signed contract for with GE for supply of 101
WTGs (same as for Fantanele project) more than 130 km of cables 33 kV and 110 kV 4 Transformer Substations 110 / 33 kV
Note: (1) WTG – Wind Turbine GeneratorSource: CEZ
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Date: 11.11.2009 Version: Presented
FANTANELE & COGEALAC PROJECT IS DESIGNED TO PROVIDE 600 MW CAPACITY OF THE ECOLOGICAL ENERGY
Overview of the key technical parameters of Fantanele & Cogealac project
Technical parameter Description
Total generation capacity 600 MW
Wind turbine generators composition
240 generators (generation capacity 2.5 MW each) – 100m hub height, 99m rotor diameter
Energy transformation
Generators are connected to seven 33 kV/110kV substations, which deliver on 110kV level to the Main Transformer Station which connects the Fantanele wind farm on the 400kV grid line Constanta -Tulcea operated by Transelectrica.
Selected technical information on Wind Turbine Generators (WTG)
Producer: General ElectricMaximum speed: 73.6 m/sBlades material: fiber glass – epoxy resin/polyesterCut-in wind speed: 3 m/sCut-out wind speed: 25 m/sRated power output: 2.5 MWTower: tubular steel, 100m
Source: CEZ; General Electric
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Date: 11.11.2009 Version: Presented
CEZ IS KEEPING A CONSISTENT PUBLIC FRIENDLY POLICY TO THE COMMUNITIES
Selected public related activities of CEZ
Long-term partner for the communities
Acknowledging its role and supporting their development
Partnership with communities
CEZ is currently building its relationship and involvement as partner, discussions with both the authorities and citizens
The village's infrastructure and facilities for the people are just some of the focus subjects
Dedicated to improving the quality of life in the community
Supporting the local infrastructure
projects
Creating jobs for local citizens
Choosing local companies as partners (Eraos, Fantanele – construction works)
Supporting commerce (economical development) of the area
Sub-constructing work to local companies
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Date: 11.11.2009 Version: Presented 11
SUMMARY OF WIND PROJECT
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Useful Life of wind farm - 25 years
Efficiency of Wind Turbines comparable with the most efficient Wind Farms
Positive trends in develpment of prices of energy and green certificates refflecting also inflation
2 Green certififcates till 2017
1 Green certificate for 2018-2025
Repairs and maintenance costs comparable with European standards
Start of full operation of Fantanele part in 10/2010
Only 12 full time employees
Positive legal environment supporting investments into green technologies
KEY ASSUMPTIONS USED IN PROJECT
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Date: 11.11.2009 Version: Presented
CEZ TRADE responsible for ELECTRICITY OFF-TAKE, IMBALANCES and BROKER FOR GREEN CERTIFICATES MARKET
TOMIS TEAM
MW INVEST
ČEZ, a.s. Trading OTC market
DAM
MWh MWh
Balancing Market
Power plant
Power plant
Power plant
CEZ Trading team
Advisory and/or brokerage
Mutual delivery
agreements
Green certificates CEZ Vanzare
Other suppliers – OTC
OPCOMManagment of agreements, deliveries
Trading model – green certificates
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Date: 11.11.2009 Version: Presented
Pouring of blinding concrete Mounting of ring for foundation
Pouring of blinding concrete Construction of adapter ring and steel installation
PICTURES FROM THE SITE (1)
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Date: 11.11.2009 Version: Presented
Installation of cablesInstallation of adaptor ring
PICTURES FROM THE SITE (2)
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Date: 11.11.2009 Version: Presented
Installation of first WTG (FE8) Installation of first WTG (FE8)
PICTURES FROM THE SITE (3)
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Date: 11.11.2009 Version: Presented
Installation of blades
PICTURES FROM THE SITE (4)
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Date: 11.11.2009 Version: Presented
PICTURES FROM THE SITE (5)
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MTS 400kV side
Date: 11.11.2009 Version: Presented
PICTURES FROM THE SITE (6)
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Date: 11.11.2009 Version: Presented
PICTURES FROM THE SITE (7)
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Thank you very much for your kind attention!