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EconMin Popescu: Romanian gas has become cheaper, so exports to Hungary have resumed

Guvernul Romaniei
Virgil Popescu

Gas on the Romanian market have become cheaper as a result of the increase in domestic production, so that exports to Hungary have resumed, said on Tuesday the Minister of Economy, Energy and Business Environment, Virgil Popescu .

"On July 1, the gas market has been deregulated and we changed the centralized market obligation with a gas release program, where we linked the price of gas in Romania to the price of the Vienna regional stock exchange, Baumgarten. As we expected, the gas supply in Romania is higher than the demand and, obviously, we have a reduction in gas price, reaching below the price of the Vienna Stock Exchange, thus Romania also exports gas," Popescu told private TV broadcaster Digi 24.

He explained that Romgaz's production increased by 10%, after the strengthening of the management team who decided to open some wells.

"The price in winter 2020 will be lower than in 2019, that's for sure," the minister added.

Romania resumed gas exports on Saturday on the Arad-Csanadpalota route, after a two-year break.

Thus, on September 12, exports increased from zero to 4.749 million kWh, according to ENTSO-G (European network of gas carriers) charts. The next day, September 13, exports continued with 5.086 million kWh / day, and on Monday, September 14, exports were 5.085 million kWh.

The last time gas was exported from Romania to Hungary was in August 2018.

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