On Thursday, the government approved the draft Emergency Ordinance for the compensation of energy bills. According to it, the Executive reduces by 15% the ceiling up to which the price of energy will be compensated.
It is about the Emergency Ordinance for the amendment and completion of the Government Emergency Ordinance no. 27/2022 regarding the measures applicable to end customers in the electricity and natural gas market in the period April 1, 2022-March 31, 2023, as well as for the modification and completion of some normative acts in the field of Energy.
The draft GEO has not been put up for public debate so far.
The Government meeting was supposed to start at 3:00 p.m., then it was postponed to 4:30 p.m., but it started with an even greater delay.
“Although we are late, we approve the measures to protect the population and the economy, in the context of the increase in gas and energy prices. We also extended the validity period of the GEO, practically we extended it by one year and it will be valid until August 31, 2023. We had in mind to ensure, as I said, the protection of the population and the economy. There are 98% of the households that will benefit from this capping and compensation for energy and we appreciate that they will thus be protected from the increases in electricity and natural gas prices. We considered it important to take measures to strengthen the resources allocated in this regard. We have taken measures to ensure that the internal market has the full amount of natural gas and we have all the energy production sources functional”, declared Nicolae Ciucă, at the beginning of the Government meeting, which started an hour and a half later than the time initially announced by the Government.
HERE IS THE DOCUMENT HERE
Thus, there will be fewer Romanians who will benefit from discounts on electricity bills, after the new consumption limit, up to which they pay a capped price, drops from 300 to 255 kWh per month.
Without being put up for public debate, the new government ordinance foresees major changes for Romanians’ energy bills, valid until August 31, 2023.
In the case of the population, the threshold up to which the capped prices apply is reduced. Thus, only those with an average monthly consumption of up to 255 kWh will pay the capped price. Specifically, they will still pay 68 money if they fall within 100 kwh per month or 80 money if they have a consumption between 100 and 255 kWh.
Specialists estimate that 90% of Romanians would fall within this consumption threshold, if they had energy-efficient appliances in their homes. Those who exceed the threshold will pay the contract price.
Daniela Dărăban, Federation of Associations of Energy Utility Companies: “Almost all customers would enter, but there are these exceptions for those who heat with electricity who have inefficient electrical appliances or have losses.// 02.08 Our proposal was that the ceilings should be stability in direct correlation with settlements, as we saw in – a draft document.”
For small and medium-sized companies and institutions, the capped price of 1 leu/kWh will be applied only to 85% of what they consume monthly, not to the total, as before. Hospitals, however, will have the entire consumption paid at a capped rate.
Gas prices remain the same – 31 cents per kWh for household consumers and 37 cents for the rest.
The ordinance comes with an important measure – all companies, from producers, traders and suppliers will pay a so-called solidarity contribution. That means a special tax to help the state raise money to cover the bill clearing scheme. The ordinance also comes with penalties – for example, the successive sale of energy or gas to traders with the aim of inflating the price will be penalized with 5% of the turnover. For some companies in the field, the fine would mean millions of euros.
What the GEO provides:
” (1) By derogation from the provisions of art. 80 para. (2) from the Electricity and Natural Gas Law no. 123/2012, with subsequent amendments and additions, for consumption between September 1, 2022 and August 31, 2023, the final billed price capped by electricity suppliers is:
a) maximum 0.68 lei/kWh, including VATin the case of household customers whose average monthly consumption at the place of consumption in 2021 is between 0 – 100 KWh inclusive;
b) maximum 0.80 lei/kWh, including VAT, in the case of household customers whose average monthly consumption at the place of consumption in 2021 was between 100.01 – 300 kWh, for a monthly consumption of a maximum of 255 kWh. Electricity consumption exceeding 255KWh/month is invoiced according to the provisions of art. 5 paragraph (1).
c) maximum 1 leu/kWh, including VAT, for 85% of the average monthly consumption at the place of consumption in 2021, in the case of small and medium-sized enterprises, as defined in Law no. 346/2004 regarding the stimulation of the establishment and development of small and medium-sized enterprises, with subsequent amendments and additions, hereinafter referred to as SMEs, of economic operators in the field of the food industry, based on the declaration on the personal responsibility of the legal representative. The difference in monthly electricity consumption is invoiced according to the provisions of art. 5 paragraph (1);
d) maximum 1 leu/kWh, with VAT included, for the full consumption of public and private hospitals defined according to Law no. 95/2006 regarding the reform in the field of health, republished, with subsequent amendments and additions, of public and private educational units, defined according to the National Education Law no. 1/2011, with subsequent amendments and additions, as well as nurseries, public and private providers of social services provided in the Nomenclature of social services, approved by Government Decision no. 867/2015 for the approval of the Nomenclature of social services, as well as the framework regulations for the organization and operation of social services, with subsequent amendments and additions;
e) maximum 1 leu/kWh, including VAT, for 85% of the average monthly consumption, achieved at the place of consumption in 2021, for public institutions, other than those provided for in letter d). The difference in monthly electricity consumption is invoiced according to the provisions of art.5
Source: PROTV news
Tags: gas, government, capping,
Publication date: 01-09-2022 16:46