The Budget and Finance Committee in Romania’s Chamber of Deputies recently approved a project establishing a reduced VAT rate of 5% for PV panels and heat pumps, replacing the regular VAT rate of 19%.

However, according to Economedia.ro, the committee excluded the local companies from benefiting from the reduced VAT rate. Only individuals and public administration units that plan to invest in PV systems will benefit from the 5% VAT rate.

The project still needs to be voted by the Chamber of Deputies, promulgated by the president, and published in the official gazette “Monitorul Official” for it to enter into force.

radu@romania-insider.com

(Photo source: Dreamstime.com)