Implementing de-centralization in Romania, namely allowing local authorities manage higher budgets and decide on the investments they want to make, has brought tensions within the ruling coalition made of the Social Democratic Party (PSD) and the Alliance of Liberals and Democrats for Europe (ALDE).

PSD leader Liviu Dragnea said on Monday, March 26, that “almost all” PSD ministers agree that de-centralization is a good thing but don’t think this is the right time to implement it, local Mediafax reported. He said he would have a talk with the prime minister and ministers to see why they think this way.

Meanwhile, ALDE leader Calin Popescu Tariceanu believes that a profound de-centralization is needed and that he and Dragnea will have to talk to the ministers and ask them what the problems are. He added that while ministers want to hold a higher power, having the local authorities come to the Government to ask for approval on each project they want to implement is not a solution.

PSD leader Liviu Dragnea, who has a tight control over the cabinet led by Viorica Dancila, initiated in the past the National Local Development Program (PNDL), a large investment program through which the Government finances large investment projects at local level. This program is believed to be one of the main mechanism through which the PSD leader controls his party’s regional leaders.

editor@romania-insider.com