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PM Orban: Liberalisation of electricity, natural gas market won't take place as of 1 January;there will be a transition period

Guvern
ludovic orban

Prime Minister Ludovic Orban has stated on Friday that the liberalisation of the electricity and natural gas market won't take place as of 1 January 2020, but there will be a transition period of 6-9 months.

He brought to mind on Friday that he has scheduled a meeting with representatives of the parties supporting the Government in Parliament in order to discuss the draft law repealing the "harmful" articles of Gov't Emergency Ordinance (OUG) No.114 and amending others.

"In respect to articles of the OUG referring to the liberalisation of energy and natural gas market, our option is in favour of a period of transition, meaning we don't get to liberalisation as of 1 January, a transition period of six-nine months, so that there will be a preparation of companies, from the ones in production to the ones in distribution and supply, also a preparation of the consumer. Moreover, in this period we aim, as it is also written in the Governing Programme, to adopt the normative act defining the vulnerable consumer and the support package for the vulnerable consumer, taking into account the liberalisation of the price in electricity and natural gas," PM Orban stated when asked whether prices in electricity and natural gas are to be liberalised starting 1 January.

He added that the market was liberalised until the issuance of OUG 114, which set a new maximal administrative price at which the producer can sell natural gas and electricity toward household consumer.

"The effect was disastrous for the economy. Currently, the energy and natural gas price is very high for producers and industrial consumers, which leads to the decrease of competitiveness of the Romanian companies on the European market," the PM argued.

On Friday, the PM participates in the General Assembly meeting of members of the Coalition for Romania's Development.

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