The Polish firm Elemental Group, a world leader in urban mining, has entered the Romanian market by acquiring a majority stake in ACC Recycling Services. It has announced a planned investment of 19.84 million euros towards building a Waste Electrical and Electronic Equipment (WEEE) recycling plant near Deva, in the Hunedoara region.
The project was unveiled at a press conference on November 7th, attended by high-ranking representatives of both countries. Romania’s government was represented by State Secretary for Energy Transformation and Climate Change Alina Jalea, and State Secretary in the Ministry of Environment, Waters and Forests, Bogdan Balanișcu. A special message to the public was addressed by Romanian Prime Minister Marcela Ciolacu. Poland was represented by His Excellency Paweł Soloch, Polish Ambassador to Bucharest.
Laying the Foundation for a New Recycling Industry in Romania
The investment comes at a crucial time as Romania strives to develop a recycling industry for waste electrical and electronic equipment, funded under the European Union’s National Recovery and Resilience Plan (PNRR). The total value of the project stands at 19.84 million euros, with 8.4 million expected to come from non-repayable PNRR funds, and the remaining 11.44 million euros plus VAT to be provided directly by the Elemental Group.
Located in Lăpugiu de Jos, 30 km from Deva, the new recycling plant will sit on 16 447 square meters, which include 1,600 square meters of storage space and 10,000 square meters of concrete platforms. The initial recycling plant project was developed by ACC Recycling Services SRL under CEO Cristian Pocol, who subsequently sold 80% of the shares to Elemental Group. Currently, Cristian Pocol retains a minority 20% stake.
The grand opening of the industrial park for waste management and WEEE recycling is scheduled for June 2026. The facility will be equipped with fully automated machines for processing electronic waste, including cooling equipment (refrigerators), with a maximum processing capacity of 4.5 tons per hour, creating 36 new jobs.
Message from the Romanian Government and Support from State Institutions
During the press conference, State Secretary Alina Jalea delivered an official message from Romanian Prime Minister Marcela Ciolacu, underlining the importance of this investment for the growth of green industry in Romania.
“Today is a truly important step towards a more responsible future. Elemental Group’s vision aligns perfectly with the Romanian Government’s goals of promoting a circular economy and innovation. This is also reflected in the grant of 8.4 million euros, which can be obtained from the National Recovery and Resilience Plan for the future plant in Deva. By combining cutting-edge technology and expert knowledge, we are turning waste into valuable resources. I encourage all entrepreneurs in Romania to follow this path and invest in innovative solutions,” stated Prime Minister Marcel Ciolacu.
In a video message, Mircea Fechet, Minister of Environment, Waters and Forests, noted that Romania is at a critical stage of development of the WEEE recycling industry, supported by PNRR funds. “I congratulate the Elemental group on deciding to invest in Romania! We need this kind of investment and new jobs. This investment is unique for our country. The Ministry of Environment, Waters and Forests supports investments in the circular economy through the PNRR, allocating 220 million euros for new recycling plants in Romania, providing up to 8.4 million euros for a project. We look forward to the start of WEEE recycling at the new plant as soon as possible” – said Minister Fechet.
State Secretary Bogdan Balanișcu, who represented the Ministry at the press conference, added: “We are delighted that you have chosen Romania and this specific recycling sector. At a national level, we currently need 4-5 times more recycling capacity than we have. Thanks to your presence, Romania will increase its recycling capabilities, reduce waste exports, and increase in-country recycling. Investing in recycling brings economic benefits and we are fully committed, both financially and procedurally, to supporting those who want to invest in environmental protection”.
His Excellency Paweł Soloch, Polish Ambassador to Bucharest, emphasized the importance of expanding Polish investments in Romania, particularly in new areas such as WEEE recycling. “This investment is significant in the context of Polish-Romanian relations – the two fastest-growing economies, not only in the region but also throughout the European Union. Congratulations to the Elemental Group on this initiative! I wish you many successes!” – said Ambassador Soloch.
As per the National Trade Register, as of December 31, 2023, in Romania, 1,643 Polish companies were registered, with a total direct investment capital of 344.9 million euros. Therefore, Poland ranks 19th among foreign investors, accounting for 0.71% of total foreign investments in Romania.
Updates from Investors
Speaking on behalf of the Elemental Group, Sławomir Baran, Head of M&A Department, highlighted that entering the Romanian market is strategic and timely. Elemental’s experience will be pivotal for the development of Romania’s recycling capabilities.
“Romania is one of the largest markets in Central and Eastern Europe, with growing economic potential. Our investment decision here perfectly matches our development strategy in Europe in the e-waste segment. I am convinced this will help support sustainable practices in the region. We are excited about the upcoming opportunities and committed to making a positive impact on the Romanian economy” – said Baran.
The entry of Elemental Group into the Romanian market was made possible by acquiring 80% of shares in ACC Recycling Services SRL, a Romanian company founded by Cristian Pocol in 2021.
“I was one of the pioneers of creating the WEEE recycling industry in Romania, so this project is a natural continuation of my work. Romania needs many strategically located WEEE recycling plants across the country, and the PNRR project is a tremendous opportunity that our country must seize. Since 2021, in ACC Recycling Services, we initiated this project and secured all necessary permits. I am pleased that we have managed to establish cooperation with the Polish Elemental Group and attract such a significant investment to the Romanian market” – said Cristian Pocol, CEO of ACC Recycling Services SRL.
Source: https://managerplus.pl/grupa-elemental-planuje-zbudowac-w-rumunii-zaklad-recyklingu-e-odpadow-inwestycja-warta-jest-blisko-20-mln-euro-16564
