The Government of Romania has endorsed under an emergency ordinance the new regulations providing for the capping of the energy prices paid by households and small-sized enterprises for a period of 12 months after April 1, Ziarul Financiar reported.

The ordinance includes a provision under which the Government pledges to cover all the losses incurred by the energy suppliers under the previous ‘cap and subsidy’ scheme carried out from November 1 to March 31.

The new scheme will provide support to 8 million households when it comes to the price of electricity and to all households when it comes to natural gas, minister of energy Virgil Popescu explained.

Furthermore, the non-residential natural gas consumers (except for the large consumers subject to another regulation) will pay a capped price as well - which is, however, higher than that paid by households: RON 370 per MWh, VAT included versus RON 0.31 per kWh (RON 310 per MWh, VAT included) paid by households.

The price of electricity was set at a maximum of RON 0.68 per kWh for households with monthly consumption of up to 100 kWh and RON 0.8 per kWh for those consuming 100-300 kWh (those using more than 300kWh per month are not protected). 

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andrei@romania-insider.com