Vestas and Romania's Vifor Wind Farm: A Strategic Cornerstone in Europe's Onshore Wind Expansion

In the heart of Europe, where the winds of change are reshaping energy landscapes, Vestas Wind Systems A/S (VWS.CO) is positioning itself as a linchpin in the continent's renewable energy transition. The company's flagship project in Romania—the Vifor Wind Farm—represents more than just a surge in clean energy; it is a calculated move to anchor Vestas as a dominant player in the fast-growing Eastern European renewables market. With the Vifor Wind Farm nearing completion and Romania's renewable energy policies accelerating, the case for Vestas as a long-term investment is gaining momentum.

Vifor Wind Farm: A Blueprint for Scalable Renewables

The Vifor Wind Farm, with its two-phase rollout totaling 461 MW of capacity, is a testament to Vestas' engineering prowess and strategic foresight. The first phase, comprising 30 V162-6.4 MW turbines, is on track for 2025 commissioning, while the second phase will add 42 turbines by late 2027. This 72-turbine project will power 270,000 homes annually and reduce CO2 emissions by 540,000 tonnes per year—equivalent to removing 120,000 cars from the road.

What makes Vifor strategically significant? Romania's energy transition hinges on projects like this. The country aims to install 5.3 GW of wind capacity by 2030, and Vestas' role as EPC partner and service provider ensures a 15-year AOM 5000 agreement for performance optimization. This long-term commitment aligns with the EU's climate goals and locks in recurring revenue for Vestas, a critical factor for investors seeking stability.

Romania's Renewable Energy Policy: A Tailwind for Growth

Romania's renewable energy market is set to expand at a compound annual growth rate (CAGR) of 5.66%, reaching 26.47 gigawatts by 2030. The government's Integrated National Plan for Energy and Climate Change (PNIESC) targets 5.1 GW of solar and 5.3 GW of wind capacity by 2030, supported by a Contract for Difference (CfD) mechanism that stabilizes pricing for developers.

Financing is another tailwind. The Vifor project has secured €622 million in loans from institutions like the EBRD and Erste Group, reflecting investor confidence in Romania's energy transition. Meanwhile, the EU's Modernisation Fund is injecting €815 million into renewables, with Korkia and Econous Green Energy already planning 600 MW of solar projects. For Vestas, this ecosystem of policy support and capital availability creates a fertile ground for scaling its operations.

Vestas's Competitive Edge in Eastern Europe

Vestas' dominance in Romania is underpinned by its nearly 2 GW of installed or under-construction capacity, making it the leading wind OEM in the country. The company's Bucharest-based regional headquarters employs over 550 people and operates five service hubs, ensuring localized expertise. This infrastructure is critical in a market where grid connectivity and maintenance are key challenges.

The company's restructuring into the MED East unit—covering Romania, Bulgaria, the Balkans, and Central Asia—further amplifies its growth potential. By centralizing operations in Bucharest and appointing Srdan Cenic as General Manager, Vestas is streamlining decision-making and deepening its market focus. The integration of Ukraine into the MED region, with projects like the 498 MW Tyligulska wind farm, adds another layer of diversification.

Investment Case: Why Vestas Deserves a Place in the Portfolio

For investors, Vestas' exposure to Eastern Europe offers a unique blend of macroeconomic and geopolitical advantages. Romania's renewable energy market is projected to grow at double the EU average, while Vestas' 15-year service agreements provide recurring revenue visibility. The company's 2023 order from Eurowind Energy for 23 V162 turbines and a 20-year service contract—delivered by 2027—further underscores its ability to secure long-term partnerships.

From a valuation standpoint, Vestas' P/E ratio of 12.3x (as of July 2025) is attractive compared to its European peers, and its EBITDA margin of 14.7% reflects robust operational efficiency. The company's focus on high-capacity turbines (like the 6.4 MW EnVentus platform) also positions it to benefit from economies of scale as global wind energy demand rises.

Risks and Mitigations

While Vestas' prospects are strong, risks such as regulatory shifts in Eastern Europe or supply chain bottlenecks exist. However, the company's diversified portfolio—including 214 MW of operational capacity in Ukraine and a 1.2 GW footprint in the Balkans—reduces regional dependency. Additionally, its long-term service agreements and partnerships with local developers (e.g., Rezolv Energy for Vifor) mitigate execution risks.

Conclusion: A Wind of Opportunity

The Vifor Wind Farm is not just a project—it is a microcosm of Vestas' broader strategy to dominate the Eastern European renewables market. With Romania's policy tailwinds, Vestas' localized infrastructure, and a pipeline of high-impact projects, the company is well-positioned to deliver consistent growth. For investors seeking exposure to the energy transition, Vestas offers a compelling blend of scale, innovation, and strategic alignment with global decarbonization trends.

As the world pivots toward cleaner energy, Vestas is proving that the winds of change can be harnessed—and turned into profit.