Tag: infrastructure projects

  • Brussels expects Romanian infrastructure projects

    Brussels expects Romanian infrastructure projects

    Pundits in Bucharest are commenting on the latest episode
    from the so called ‘War of the Roses’ saga, hinting at the roses that are part
    of the logo of the Social Democratic Party, the senior partner in the ruling
    coalition in Romania. Commissioner Corina Cretu, herself a member of the Social
    Democratic Party, supported by the former leader of the party Victor Ponta to
    get the office in Brussels, has become virulent in criticizing the Romanian
    Government, now headed by Viorica Dancila. She has perceived as an insult the
    lack of infrastructure projects, for which Romania could easily get European
    funds. The Commissioner has stated that as regards transports, the most
    vulnerable and at the same time one of the most important sectors, Romania has
    lost two billion Euros, and efforts are being made to avoid decommitment for
    the 2014-2020 period. Here is the European Commissioner Corina Cretu:


    We have money for feasibility studies
    but we have received no applications for that. We could program the building of
    the Targu-Mures motorway for 2021. Unfortunately, the Government has announced
    that it wants to build the motorway based on the public-private partnership
    system. Our specialists are not comfortable with this approach, because it
    means de-prioritizing investment. We are completely open, but as long as we do
    not have projects, there is nothing to analyze, and therefore nothing to fund. I would like to publicly announce that I will
    no longer tolerate any insult from the Romanian Government in relation to the
    work I do.


    Calin Popescu Tariceanu, the leader of the Alliance
    of Liberals and Democrats, the junior partner in the ruling coalition in
    Bucharest, has stated that he fully supports the statements made by the
    European Commissioner, of whose good faith and good intentions he is convinced.
    The Social Democratic Finance Minister Eugen Teodorovici has in turn admitted
    that the delay in attracting European money is affecting the budget. However,
    as regards the projects mentioned by Commissioner Cretu, he also said:


    They are being verified and analyzed by JASPERS,
    a body made up of experts with the European Investment Bank, and other
    structures, which, unfortunately are not moving as fast as they should, in the
    sense that they should submit to Brussels the funding applications faster. Our
    main problem, budget-wise, is that if these reimbursement applications are
    delayed too much, the disbursement is delayed too, therefore the state budget
    deficit grows.


    The media speculates that the chilly relationship between
    Corina Cretu and her colleagues in Bucharest could be motivated politically.
    Her term ends next year, and the parent party hasn’t even proposed her to run
    again in the elections for the European Parliament due next year.





    (Translated by M. Ignatescu)

  • European Funds for Romania

    European Funds for Romania

    European Commissioner for Regional Policy, Corina Cretu, urged Romania to step up the implementation of European-funded projects. She said she was dissatisfied with the delayed completion of infrastructure projects and in general with their slow implementation. On a visit to Bucharest, she said that there are too many local officials of all sorts in Romania, whereas in other countries, there was an administrative authority for every region, discussing directly with the European Commission. The Commissioner warned that despite the progress made in the last few months, Romania risked losing significant EU funds. Corina Cretu:



    There is a further danger of Romania losing money and this country should make continued and greater efforts. I’m glad that a number of measures have been proposed, which if they were applied, could immediately yield results and Romania would not lose large sums of money by non-commitment.”



    Meeting with an official in Brussels, the governor of the National Bank of Romania, Mugur Isarescu spelled out the advantages of community funds, pointing out that in the last ten years of EU membership, Romania had benefited from over 45 billion Euro worth of EU funds. Considering Romania’s contribution to the EU budget, the net absorption of European funds stood at about 30 billion Euros, Isarescu said. The Governor of the National Bank insisted that the European funds were the chance of Romania’s modernization, particularly in infrastructure, not only the transport infrastructure, but also the education and healthcare ones. He warned that without European funds, Romania would be deprived of an essential source of capital. He underscored that the delayed absorption of European money or the absorption of smaller sums of money impacted the balance on the currency market and the exchange rate. As an example, over 2014-2020, the European Commission has made available to Romania over 20 billion Euros for investments in the economy; only 5% of that sum has so far entered the country. Corina Cretu said that in the next period, a first form of the EU multi-annual budget for the post-2020 period is being decided and the cohesion policy would undergo changes and reforms. Corina Cretu:



    The seventh report on the cohesion policy demonstrates very clearly that a low quality governance, the authorities’ low administrative capacity hinder economic development. That is why, in any country, we need further structural reforms directly related to the EU reform agenda.”



    The Commissioner pleaded for the simplification of bureaucratic procedures in the absorption of European funds so that there should be a single set of rules, an issue that must be negotiated by the European Commission, the European Council and the European Parliament, Corina Cretu said.


    (Translated by A.M. Palcu)

  • European Funds for Romania

    European Funds for Romania

    European Commissioner for Regional Policy, Corina Cretu, urged Romania to step up the implementation of European-funded projects. She said she was dissatisfied with the delayed completion of infrastructure projects and in general with their slow implementation. On a visit to Bucharest, she said that there are too many local officials of all sorts in Romania, whereas in other countries, there was an administrative authority for every region, discussing directly with the European Commission. The Commissioner warned that despite the progress made in the last few months, Romania risked losing significant EU funds. Corina Cretu:



    There is a further danger of Romania losing money and this country should make continued and greater efforts. I’m glad that a number of measures have been proposed, which if they were applied, could immediately yield results and Romania would not lose large sums of money by non-commitment.”



    Meeting with an official in Brussels, the governor of the National Bank of Romania, Mugur Isarescu spelled out the advantages of community funds, pointing out that in the last ten years of EU membership, Romania had benefited from over 45 billion Euro worth of EU funds. Considering Romania’s contribution to the EU budget, the net absorption of European funds stood at about 30 billion Euros, Isarescu said. The Governor of the National Bank insisted that the European funds were the chance of Romania’s modernization, particularly in infrastructure, not only the transport infrastructure, but also the education and healthcare ones. He warned that without European funds, Romania would be deprived of an essential source of capital. He underscored that the delayed absorption of European money or the absorption of smaller sums of money impacted the balance on the currency market and the exchange rate. As an example, over 2014-2020, the European Commission has made available to Romania over 20 billion Euros for investments in the economy; only 5% of that sum has so far entered the country. Corina Cretu said that in the next period, a first form of the EU multi-annual budget for the post-2020 period is being decided and the cohesion policy would undergo changes and reforms. Corina Cretu:



    The seventh report on the cohesion policy demonstrates very clearly that a low quality governance, the authorities’ low administrative capacity hinder economic development. That is why, in any country, we need further structural reforms directly related to the EU reform agenda.”



    The Commissioner pleaded for the simplification of bureaucratic procedures in the absorption of European funds so that there should be a single set of rules, an issue that must be negotiated by the European Commission, the European Council and the European Parliament, Corina Cretu said.


    (Translated by A.M. Palcu)

  • Problems faced by the local public administration

    Problems faced by the local public administration

    The national local development program in Romania will receive 30 billion lei worth of funding this year, with the government hoping the program will become operational as of the second half of the year. The announcement has been made by Deputy Prime Minister Sevil Shhaideh, who has said mayors can submit infrastructure projects within 30 days. “We should offer youngsters and people in general equal opportunities in life, irrespective of their place of birth, was the message conveyed by Prime Minister Sorin Grindeanu to the mayors of Romanian communes who gathered in Bucharest on Monday.



    Hinting at the existence of “two Romanias, the Prime Minister emphasised the major differences between the Romanians living in urban and rural areas, respectively. “Some 47% of Romanias population is further living in rural areas. Approximately 80% of the countrys territory is administered by you, the communes mayors. Things have changed significantly, but we still have the impression that we have two Romanias: an urban Romania and a rural Romania, the Prime Minister said. “As long as it is in my power to allocate money to local communities, I will do it unhesitatingly. So, you can obviously count on me. Furthermore, all of us here make a team, which understands very well the necessity of developing this country and its rural areas, in particular, the Senate Speaker, co-president of the Alliance of Liberals and Democrats, and the partner of the Social Democratic Party in the ruling coalition, Calin Popescu-Tariceanu has said.



    On that occasion, Tăriceanu launched the idea of setting up two state-owned banks, apart from the Savings Bank, with the aim of funding projects to the benefit of local communities. Tăriceanu explained his idea by saying that not all local authorities have enough resources to take part in important projects for their communities, although people want to lead a better life today and tomorrow and not in 20 or 40 years time.



    That is why, Tăriceanu said, sustained efforts are needed to develop rural areas and implement projects meant to improve the quality of peoples lives as soon as possible. The mayors gathered in Bucharest also received promises from the leader of the Social Democratic Party, Liviu Dragnea, who said they would benefit from pay-rises once the new law on the unified payment system takes effect.



    Dragnea also said the mayors would receive incentives and bonuses if they manage to absorb European funds, adding that legal clarifications should be made for the mayors to know what they should and should not do, in order not to come into the focus of attention of the National Anti-Corruption Directorate. Public administration should “come out of this state of paralysis, with public servants no longer fearing to sign a document, said Liviu Dragnea. That is why, he underlined, the difference between legality and opportunity should be defined in Parliament. (Translated by D. Vijeu)