This matter involves an ICSID dispute between EP Wind and the Republic of Romania with respect to an investment in an onshore wind farm in Romania (ICSID Case No. ARB/20/15). The claimant alleged changes to the renewables support scheme in Romania harmed its investment and resulted in losses that should be compensated by Romania.

The Republic of Romania retained NERA to provide expert testimony on damages. The NERA team consisted of Senior Managing Director Richard Hern, Managing Director James Grayburn, Director Zuzana Janeckova, and Consultant Ricardo Rodrigues.  NERA was asked to present an independent assessment of damages arising from Romania’s changes to the renewables support scheme and to respond to the opposing experts’ quantification of damages.

NERA provided an assessment of damages using a discount cash flow methodology, comparing the wind farm’s cash flows in two scenarios—one with and one without the changes to the renewables support scheme. Key areas of dispute included renewable subsidy revenues and the appropriate valuation date and interest at which to carry forward historical losses from an economic point of view.

Dr. Hern and Mr. Grayburn presented NERA’s assessment of damages in two expert reports and provided oral testimony at a hearing in Paris in May 2023.