April 9 (SeeNews) - Romania's majority state-owned power grid operator Transelectrica [BSE:TEL] said on Tuesday that it signed a 56.2 million euro ($61.1 million) contract for the modernization and digitization of the transmission network, to be funded through the REPowerEU component of the National Recovery and Resilience Plan (NRRP).
The company signed the financing contract with the General Secretariat of the Government, which acts as reform and/or investment coordinator for the NRRP, Transelectrica said in a statement filed with the Bucharest Stock Exchange.
"The investment aims at the installation of photovoltaic plants and storage facilities in 29 electrical energy stations, at the refurbishment of the SMART SA subsidiary and the optimization of the communications network managed by the Teletrans subsidiary, and at creating a data centre," Transelectrica said.
The company added that the modernisation works will address jams in Romania's power grid, increasing its flexibility and allowing for the integration of additional renewable energy capacity. The digitization works will increase the electricity network's capacity to respond to cyber attacks.
In 2023, Transelectrica booked a consolidated net profit of 217.4 million lei ($47.54 million/43.76 million euro), down 58% year-on-year, on consolidated operating revenues of 4.725 billion lei.
The Romanian state owns 58.69% of Transelectrica, with the remainder in free float on the Bucharest Stock Exchange.
Blue-chip Transelectrica's shares traded 1.54% higher at 29.6 lei as at 1645 CET on Tuesday.
($=0.9204 euro)
CNTEE Transelectrica SA is among the biggest companies in SEE. You can download our SEE Top 100 ranking
here or subscribe to our free Top 100 newsletter
here