Tag: natural

  • Forecasts on energy prices

    Forecasts on energy prices

    After a 60% surge this year, prompted by the war
    started by the Russian Federation in neighbouring Ukraine, energy prices are
    forecast to drop 11% next year. According to a World Bank report, a slower
    global economic growth and the Covid-related restrictions introduced in China
    may lead to an even more substantial decrease.


    In spite of this slow-down, energy prices will still
    be 75% above the past five years’ average. The WB’s latest Commodity Markets
    Outlook, made public on Wednesday, indicates that the average price of Brent
    crude oil is likely to be 92 US dollars per barrel in 2023, and expected to
    drop to 80 US dollars per barrel in 2024, but it will be nevertheless
    substantially above the USD 60 multiannual average.


    World Bank forecasts also indicate that Russia’s oil
    exports might decrease to 2 million barrels a day, as a result of the ban
    considered by the EU with respect to Russia’s oil and natural gas, adding to
    which will be restrictions related to the insurance and shipping of Russian oil
    and gas. The ban is scheduled to take effect next month.


    Moreover, the report reads, G7 is looking at a yet
    untested price-capping mechanism, which may also affect Russia’s oil exports.


    The WB analysis also takes into account the effects of
    the US dollar appreciating against the currencies of most developing economies,
    a situation that has led to rising foodstuff and fuel prices. And this, the
    financial institution warns, may deepen food insecurity which is already
    impacting 200 million people around the world. As the authors of the document
    explain, the mix of high prices for raw materials and the persistent currency
    depreciation translates into higher inflation in many countries.


    In this context, emerging and developing economies
    should prepare for higher volatility in the global financial and commodity
    markets. WB experts say that currency depreciation forced nearly 60% of the
    emerging and developing economies to face increases in oil prices in their
    local currencies, following the Russian invasion in Ukraine.


    The WB forecast also indicates that both natural gas
    and coal prices are expected to decrease in 2023 from the record-high levels
    reported this year, but natural gas prices in Europe may remain almost 4 times
    higher than the average for the past 5 years. (AMP)

  • August 6, 2022 UPDATE

    August 6, 2022 UPDATE

    INFLATION
    The National Bank of Romania Friday raised the monetary policy interest rate
    for the 6th time this year, in an effort to keep inflation in check.
    The key interest went up 0.75%, to 5,5% per year, and takes effect on Monday. The
    central bank also decided to raise the interest rates for loans and for
    deposits. Keeping a firm control on cash flows in the monetary market and
    maintaining the current levels of minimum compulsory reserves for banks’
    domestic and foreign currency liabilities are also decisions made on Friday by
    the National Bank. Experts expect a steady annual inflation rate in Q3 and a
    gradual decrease later on. In June the inflation rate reached 15.1%.


    DIASPORA
    The Romanians in the diaspora who plan to return and invest in a business that
    creates at least 2 new jobs may obtain funding of up to EUR 40,000 under the 3rd
    edition of the Start-Up Nation programme, the Romanian tourism ministry
    announced. Applicants whose start-ups create only one job may receive up to EUR
    20,000. To benefit from the EUR 4 million programme, applicants must submit
    proof of their residence abroad.


    BUDGET
    A state budget adjustment is scheduled for next week in Romania, according to
    PM Nicolae Ciucă. Among other things, expenses with supplies and services will
    be cut by 10% for each ministry. An analysis will also be conducted to ensure
    the coherence of the forthcoming budget adjustment and of the funding programmes
    for Romania.


    ECONOMY
    East-Europeans started to feel the effects of the war in Ukraine later than the
    major Western economies, due to 2-digit salary increases and generous
    subsidies. Now however, they have to reduce their expenses in order to make
    ends meet, reads a Reuters analysis, according to which the 2-digit inflation,
    the over 15% rise in foodstuff prices and the growing energy costs are affecting
    the spending power of people in Eastern Europe. In Poland, people are
    shortening their holidays, Czechs are saving by eating out less and looking for
    a second job, while in Hungary people are buying less food and a lot fewer
    durable goods. According to analysts, the risk of 2-digit inflation extending
    into 2023, as well as the new revised estimates regarding the Eurozone point to
    a risk of recession.


    NATURAL
    GAS An EU-wide 15% reduction of natural gas consumption will come into force
    early next week, the Czech presidency of the EU Council announced. The
    regulation was adopted officially, and the text will be published in the
    Official Journal on Monday and will take effect the next day. The president of
    the European Commission, Ursula von der Leyen, called on member states to
    prepare for the worst-case scenario of Russia suspending gas supplies. Member
    states must also secure 80% of their winter needs ahead of time.


    COVID-19 Over 6,400 new COVID-19 cases were confirmed on Saturday in
    Romania. More than 3,800 patients are hospitalised, nearly 260 of whom in ICUs,
    and 28 Covid-related deaths were reported.Since
    the start of the pandemic, nearly 66,200 people have died of COVID-19 in
    România.


    UNTOLD Cluj Napoca, north-western Romania, is hosting the most eagerly
    awaited music festival this summer, Untold. The event takes place on several
    stages, with over 200 Romanian and foreign artists, as well as the world’s best
    DJs, performing until Sunday night. This year’s theme of the festival is Temple
    of Luna, an artistic concept that highlights the mythological side of
    Transylvania, seen as a land of the night and magic. Scores of stands sell
    food, drinks, clothing and gadgets. The organisers expect over 400,000 people
    to attend this year’s edition.

  • July 22, 2022

    July 22, 2022

    RESOURCES
    PM Nicolae Ciucă promised that Romania will have the necessary natural gas to
    cover demand for the coming winter. The PM said more than 1.6 billion cubic
    meters of gas is already stored, and the energy plan stipulates 80% of the
    total capacity will be reached by November 1. Meanwhile, he said that in spite
    of the drought, there is enough wheat to cover the domestic demand and export
    commitments and that there are no reasons to worry about the maize and sunflower
    crops.


    HEAT WAVE The prime minister of Romania
    Nicolae Ciucă has today asked prefects to conduct information and prevention
    campaigns so that people are aware of the risks entailed by the high
    temperatures and that activities to mitigate the effects of the heat wave may
    be coordinated. He added that it was important for all localities to have cooling
    shelters and medical teams providing assistance and free water. PM Ciucă also requested the
    authorities to take steps to ensure navigability on the River Danube. The low
    water flow has made it nearly impossible to navigate the Danube, with several
    vessels stranded in sand and scores of cruise ships cancelling their stopovers
    in the port of Giurgiu over the past month.


    COVID-19 Nearly 7,400 new COVID cases
    were reported over the past 24 hours, out of around 24,400 tests, the
    authorities announced on Friday. Over 2,600 COVID-19 patients are hospitalised,
    171 of them in intensive care. Seven COVID-related deaths have also been reported.
    Hospitals are beginning to take measures, including increasing the number of
    beds set aside for COVID patients, regular staff and patient testing, and
    cancelling visiting hours in order to reduce the risk of infection.


    REFUGEES The Romanian
    Border Police announced today that 11,511 Ukrainian nationals entered Romania
    on Thursday, 4.5% fewer than the
    previous day.
    According to a news release, border checks are conducted efficiently and in
    line with the national and EU legislation, and border police units are working
    at full capacity.


    UKRAINE Turkey announced an agreement was reached,
    which would enable Ukraine to export grains via Black Sea routes. The deal is
    to be signed in Istanbul today by officials from Ukraine, Turkey, Russia and
    the UN. Three main provisions in the agreement are already known. First, Russia
    must guarantee ceasefire during the shipments. Secondly, Ukraine must guide grain
    ships in and out through mined port waters. Finally, Turkey, supported by the
    United Nations, is to inspect ships in order to dispel Russian fears of weapons
    smuggling. This is the first major agreement reached by Russia and Ukraine
    since the start of the invasion.


    FOOTBALL Romanian football champions CFR Cluj won 3-0 against
    Inter Club d’Escaldes, of Andorra, played on Thursday night on home turf in the
    first leg of the second round of Europa Conference League’s qualifiers. In the
    same competition, the winners of
    Romania’s Cup, Sepsi OSK Sfântu Gheorghe defeated 3-1 at home the Slovenian
    side Olimpija Ljubljana. Romania’s 2 other representatives in Europa
    Conference League played away from home. Universitatea Craiova drew against the
    Albanian side Vllaznia Shkoder, 1-1, and vice-champions FCSB were defeated by FC
    Saburtalo Tbilisi, of Georgia. (AMP)

  • July 8, 2022 UPDATE

    July 8, 2022 UPDATE


    CONDOLENCES President Klaus Iohannis conveyed condolences to the family of Japans former PM, Shinzo Abe, who died on Friday from his injuries after being shot in the street by an attacker. “He was a strong defender of democracy and multilateralism, but also a true friend,” Iohannis posted on Twitter. Japans ex-PM was shot dead by a former member of the Japanese defense forces, the Japanese public broadcaster NHK reports. Abe, 67, was delivering a campaign speech near a train station in the western Japanese city of Nara when he was the target of an armed attack. Armed violence is extremely rare in Japan, where firearms are banned. Shinzo Abe was the longest-serving Japanese prime minister in history. He led the Japanese executive from 2006 to 2007 and then from 2012-2020. He resigned two years ago for health-related reasons.



    STATISTICS Romanias economy grew by 5.1% in the first quarter of the year, compared to the previous quarter, according to preliminary data made public today by the National Statistics Institute. Compared to the corresponding period of 2021, Romanias GDP went up 6.4%, the institution said, to over RON 343.5 bln.



    GOVERNMENT Petre Daea was sworn in as minister of agriculture and rural development on Friday at the Cotroceni Palace. Attending the ceremony was president Klaus Iohannis, PM Nicolae Ciucă, the interim Senate speaker Alina Gorghiu, the Chamber of Deputies speaker Marcel Ciolacu, and presidential advisers. President Klaus Iohannis had signed the decree appointing Petre Daea as agriculture minister earlier that day. On Wednesday the leaders of the Social Democratic Party voted unanimously in favour of the appointment. The former agriculture minister, Adrian Chesnoiu, also a parliament member, stepped down and left the party after the National Anti-Corruption Directorate had requested permission to prosecute him for abuse of office.



    NATURAL GAS An interconnector between the gas pipelines in Greece and Bulgaria, which became operational on Friday, gives Romania access to other natural gas resources, in an international context in which it becomes increasingly likely that Moscow will suspend deliveries to the European Union. Romania will be able to help other states in the region reduce their dependence on Russian gas, said Prime Minister Nicolae Ciuca in Athens, where he paid a working visit and met with his Greek counterpart, Kyriakos Mitsotakis.




    FORUM Russias war of aggression against Ukraine has generated the most severe security crisis in Europe since WW2, state secretary in Romanias defence ministry Simona Cojocaru said at the “Atlantic – Black Sea” Security Forum held in Bucharest. In her opinion, if Russia reaches its military goals in the east of Ukraine, its operational efforts will most likely focus on the Ukrainian territories north-west of the Black Sea. Therefore, the risk of regional instability might grow significantly, posing a major challenge to Romania. The most dangerous scenario for Ukraine, Romania and NATO would be a land corridor to Odessa and a connection to Transdniester, Simona Cojocaru explained. In a video call, Ukraines defence minister Oleksiy Reznikov said Russias aggression on his country will continue until countered by strong resistance. Terror cannot be stopped by diplomacy alone, he emphasised.




    MEETING The foreign ministers of the worlds 20 most developed economies had a closed-doors meeting, marked by the conflict in Ukraine. The meeting held on the Indonesian island of Bali brought together Moscow and its harshest critics for the first time since Ukraine was attacked. During the talks attended by Russias foreign minister Sergey Lavrov, the EUs High Representative for foreign affairs and security policy Josep Borrell urged all participants to help end the war, restore Ukraines sovereignty and guarantee the containment of the global fallout. The US Secretary of State Antony Blinken stressed that Russia has heard “a strong chorus from around the world… about the need for the aggression to end”. “To our Russian colleagues: Ukraine is not your country. Its grain is not your grain. Why are you blocking the ports? You should let the grain out,” Blinken told Lavrov. The latter in fact left the meeting hall where Russia was criticised. According to the German foreign minister Annalena Baerbock, this proves Moscows unwillingness to cooperate. The Indonesian foreign minister Retno Marsudi also called for an end to the war in Ukraine.



    SWIMMING Romanias David Popovici Friday won another gold medal at the European Junior Swimming Championship held in Otopeni, near Bucharest, in the mens 50m freestyle final, with 22.16 seconds. This is the 4th medal for Popovici, after the gold in the mens 4x100m freestyle relay and the 200m freestyle race, and silver in the 4x100m medley relay. On Thursday, another Romanian athlete, Vlad Stancu, won the 1,500m freestyle final. Romania now has a total of 6 medals, 4 of them gold and 2 silver. David Popovici, 17, is also the defending senior world champion in the 100m and 200m freestyle events, won in Budapest. Taking part in the championship in Otopeni are some 500 athletes from 42 countries. Romania is represented by 26 swimmers, 14 boys and 12 girls. (AMP)


  • May 12, 2022 UPDATE

    May 12, 2022 UPDATE

    NATO The
    president of Romania Klaus Iohannis hailed Finland’s announcement regarding its
    intention to join NATO, and says Bucharest supported the decision. Romania is
    a firm supporter of NATO’s open door policy and stands ready to support Finland
    in the process of NATO accession. Together we are stronger! Iohannis posted on
    Twitter on Thursday. The president of Finland Sauli Niinistö and PM Sanna Marin Thursday spoke in favour of the
    country’s joining NATO without delay, with the candidacy to be announced on
    Sunday, AFP reports. As a member of NATO, Finland would strengthen the Alliance
    as a whole, the two officials said in a joint press release. Finland’s
    accession will be a threat to Russia, the Kremlin said in response. Three in
    four Finnish citizens support the accession. A neutral state during the Cold
    War, Finland joined the EU and NATO’s Partnership for Peace programme, but
    remained outside the alliance. The decision to join NATO comes against the
    background of the Russian invasion of Ukraine. Finland shares a 1,300-km border
    with Russia.


    RULING The Bucharest Court of Appeals Thursday passed
    its final ruling on the Colectiv case, after several successive
    postponements. The former Bucharest District 4 Mayor Cristian Popescu-Piedone, currently
    the mayor of District 5 of the capital city, was sentenced to 4 years in prison
    for abuse of office. The club owners also received prison sentences ranging
    between 6 and 11 years, while the 2 firefighters with the Bucharest
    Inspectorate for Emergency Situations who inspected the Colectiv nightclub and
    disregarded the workplace security legislation were sentenced to 8 years and 8
    months in prison, and 2 pyrotechnics workers will also serve 6 years and 10 months
    each. The manager of the fireworks company received a suspended sentence. The
    October 2015 fire in Colectiv killed 64 people and injured many others. It
    was the most serious accident in Romania since 1989. The tragedy forced the
    government at the time to step down.


    INFLATION The Romanian Central Bank has updated its
    inflation forecast to 12.5% for end-2022 and 6.7% for end-2023, governor Mugur
    Isarescu announced on Thursday. In February, the Central Bank estimated
    inflation would stand at 9.6% at the end of 2022 and at 3.2% at the end of
    2023. Inflationist pressure triggered by production costs is expected to go
    down gradually. However, its effects will continue to be felt for around 12
    months. Romania sees the highest annual inflation rate in the last 18 years,
    nearly 14%, with the steepest price rises reported for natural gas (85%).


    POLL One in two Romanians has considered moving to
    another country after the start of the war in Ukraine, and the first options
    would be Germany, France and Britain, according to data made public by a
    recruitment platform. 12% of respondents are waiting to see how things unfold
    and 11% believe the war will not affect us. Another 26% say they will not leave
    the country irrespective of what happens next. The main reasons for moving
    abroad are the wish to change the scenery and the country where they work
    (38%), personal and family safety (24%), better incomes (21%), more
    opportunities for professional development (14%) and the wish to work in a
    safer environment, unaffected by war (4%).


    UKRAINE A first Russian soldier will be on trial in
    Ukraine for killing a civilian in the Sumy region. International teams of
    prosecutors and investigators continue to probe into war crimes committed by
    the Russian army, with more than 10,000 such cases pending. According to Radio
    Romania’s special correspondent, investigators say the 21-year old Russian
    soldier killed a Ukrainian civilian who was walking his bike along the sidewalk.
    The soldier and other Russian troops were in a stolen car, after their unit had
    been destroyed by the Ukrainian forces. The prosecutor general of Ukraine, Iryna
    Venediktova, said there was enough evidence of his involvement in violation of
    the laws and customs of war, including premeditated murder, and that he was
    facing 10 to 15 years or life in prison. Experts from Poland, Lithuania and
    France help the teams of investigators, and the cases documented so far point
    to people being killed with no reason. Clashes continued on Thursday in the
    north-east and south-east of Ukraine, with both sides announcing local-scale
    advances.


    NATURAL GAS The Romanian Senate passed amendments to the Offshore
    Act, which green lights gas exploitation in the Black Sea. The ruling
    coalition, which tabled the bill, says this is a much more balanced version of
    the one endorsed four years ago. Tax changes have now been introduced in favour
    of the companies concerned, and dependence on Russian gas would be
    significantly reduced in a few years’ time. According to estimates, around 80
    billion cubic metres of gas are in the Neptune Deep perimeter alone. The
    national state-owned company Romgaz-the largest gas producer in Romania-and the
    Austrian company OMV will extract gas from the Black Sea in the coming years. (A.M.P.)

  • May 11, 2022

    May 11, 2022

    INFLATION The year-on-year inflation rate in Romania went up to
    13.76% in April this year, as against 10.15% in March, according to data made
    public today by the National Statistics Institute. Non-food prices rose by
    16.35%, foodstuff prices by 13.54%, and services are 7.11% more expensive.
    Yesterday, in order to curb the inflation rise, the central bank announced a
    new increase in the key interest rate, which will trigger a rise in consumer
    and inter-bank loan interests. The National Bank of Romania expects the
    inflation rate to surge this summer more than previously forecast, and says the
    rate is not likely to return to under 10% until the second half of next year.


    VISIT The Speaker of the Senate of Romania, Florin Cîţu, is on an
    official visit to Poland today, at the invitation of his counterpart, Tomasz
    Grodzki. The main topics on the agenda are opportunities to consolidate
    bilateral relations between the 2 countries, the war in Ukraine and the
    economic fallout of the Russian aggression. Florin Citu announced that after
    his visit to Poland he will travel to the Republic of Moldova.


    DIPLOMACY The Romanian foreign minister
    Bogdan Aurescu takes part today in a ministerial meeting of
    the Global
    Coalition against Daesh, held in Marrakesh, Morocco. According to the ministry,
    the meeting will be co-chaired by the USA and Morocco, with over 75
    representatives of the member states and international organisations expected
    to attend. Most member states are NATO and EU members, partner states in the
    Western Balkans, the Middle East, Africa, Asia, as well as the EU, NATO, and
    INTERPOL. The main topics will include the security
    situation in Iraq and Syria, as well as terrorism-related developments in
    Africa and Afghanistan.
    Bogdan
    Aurescu will highlight Romania’s contribution as a Coalition member, including
    its participation since 2016 both in the Coalition Forces (as part of Operation
    Inherent Resolve and of the NATO mission in Iraq), and in the stabilisation and
    reconstruction efforts in the countries affected by ISIS activities.


    GOVERNMENT A draft emergency order to prevent
    speculation is being discussed today by the government of Romania. The decision
    comes after fuel, sunflower oil or masks and disinfectant prices skyrocketed
    overnight, in the context of the war in Ukraine or before that, during the
    pandemic. Speculation was criminalised before in Romania, shortly after WWII
    and after the fall of the communist regime in 1990.


    NATURAL
    GAS A bill to amend
    the Offshore Act, which will green light the development of natural gas
    reserves in the Black Sea, is discussed as of today by the Senate of Romania.
    According to the ruling coalition, which has tabled the bill, this is a much
    more balanced text than the one drafted 4 years ago. Tax facilities have been
    introduced for the companies interested in taking part in the development
    project, and in a few years’ time Romania’s reliance on Russian gas is expected
    to become significantly lower. The energy minister Virgil Popescu emphasised
    that by amending the current legislation onshore investments will also be
    encouraged, supply security will be ensured in case of an energy crisis and
    Romania may become a provider of regional energy security. Under the bill, the
    Romanian government will have pre-emptive rights in purchasing the natural gas.
    Romania’s biggest public natural gas producer, Romgaz, and the Austrian
    company OMV will extract the natural gas in the Black Sea in the coming years.

    COVID-19 The 4th COVID-19 vaccine dose will be available on
    request in Romania, in vaccination centres and family physician practices, as
    of May 16. According to the health ministry, only Pfiser vaccines can be
    administered, to people over 18 who have received 3 doses of mRNA vaccines, and
    at least 4 months after they have received the 3rd dose. Meanwhile, the
    health ministry announced 705 new COVID-19 cases and 7 related deaths in 24
    hours. 144 COVID patients are currently in intensive care.

    UKRAINE The president of Ukraine Volodymyr Zelensky
    commented on the situation in Kharkiv, emphasising that the Ukrainian forces
    are repelling the invaders and freeing the region. Clashes continue on the
    Serpent Island as well, 45 km from Romania, with Russia trying to strengthen
    its vulnerable garrison on the island. Meanwhile, Ukraine has shut off the
    transit of Russian gas to Western Europe in Lugansk region, and says the
    occupation of its eastern part by Russian forces makes it impossible to control
    the flows. Over 32 million cubic metres of natural gas are halted, accounting
    for around one-third of Russia’s daily exports transiting Ukraine. In the US,
    the House of Representatives approved an additional 40 billion US dollars in
    aid for Ukraine. The act is to be rushed through the Senate and signed by
    president Joe Biden. The funds will be used for military support and humanitarian
    assistance for the civilians affected by the Russian invasion. (AMP)

  • April 28, 2022

    April 28, 2022

    REFUGEES The number of Ukrainian nationals who crossed the border into Romania
    went up 30% on Wednesday compared to the previous day, reads a news release
    issued by the Romanian Border Police. As many as 8,635 Ukrainian citizens
    entered Romania in 24 hours, coming from Ukraine or the R. of Moldova. Since
    the start of the crisis over 2 months ago, over 800,000 Ukrainians have come
    into Romania. Meanwhile, the UN Refugee Agency (UNHCR) announced in a
    conference in Geneva that over 8 million Ukrainian may leave their country.
    According to the UNHCR spokesperson Shabia Mantoo, the Agency and its partners
    intend to raise USD 1.85 billion to support an estimated 8.3 million refugees
    in Hungary, the Republic of Moldova, Poland, Romania and Slovakia, as well as
    in other countries in the region, including Belarus, Bulgaria and the Czech
    Republic.


    TROOPS The Romanian defence ministry announced
    that the Romanian Army currently has no troops deployed in the Rep. of Moldova
    to take part in drills or other joint training programmes. The statement comes
    after a Russian-language publication released fake news according to which
    Romania plans to attack Transnistria with NATO support, and then to
    annex the Rep. of Moldova, and claimed that Romanian troops have already been
    deployed to the neighbouring country. Disinformation on Russian channels
    follows a number of attacks by unknown perpetrators, which took place in the
    past few days in Transnistria, a pro-Russian breakaway region in the east
    of the Rep. of Moldova.


    NATURAL GAS The European Union
    told Russia it would not give in to blackmail, after Moscow discontinued
    natural gas supplies to Poland and Bulgaria, which had refused to pay for
    natural gas in rubles. The European Commission president Ursula von der Leyen
    said the Union had other options to make up for the suspended deliveries, and
    warned member states not to breach the sanctions imposed by the EU after
    Russia’s invasion of Ukraine. We have to guarantee alternative supplies and the
    best possible storage levels across the EU, Von der Leyen explained. EU member
    states have implemented emergency plans for such a scenario and we have worked
    together in coordination and solidarity, the EU official added.


    ARMY Military ceremonies, concerts and competitions take place in Bucharest
    today to mark the Romanian Land Forces Day. Events are announced throughout the
    day, including ceremonies, cultural, scientific and educational events, sports
    competitions and military drills, book fairs, concerts and documentary
    screenings. In Arad (west), a military equipment exhibition opens today on this
    occasion, and on Saturday the city will host military and religious ceremonies.


    COVID-19 Nearly 1,150 new SARS-CoV-2 infection cases were reported in Romania on
    Thursday. The authorities have also reported 15 Covid-related deaths. Of the over
    1,200 patients in hospitals, 193 are in intensive care, and most of them are
    unvaccinated. Meanwhile, as interest in vaccination dropped significantly,
    immunisation centres are closing these days across the country. Those who want
    to get the vaccine will be able to do so only in family physician offices as of
    May.


    TENNIS The Romanians Simona Halep, Sorana Cîrstea and Irina Begu take part in
    the first round of the WTA 1000 tournament in Madrid, which starts today.
    Sorana Cîrstea takes on Nuria Parrizas Diaz of Spain (52 WTA). Simona Halep
    plays against Shuai Zhang of China (40 WTA), and Irina Begu faces Belinda
    Bencic (13 WTA) of Switzerland. WTA Madrid Open takes place between April 28
    and May 7. Simona Halep won the 2016 and 2017 competitions. (AMP)

  • April 27, 2022 UPDATE

    April 27, 2022 UPDATE

    UKRAINE Romania condemns in the strongest terms Russia’s blatant violation
    of the sovereignty and territorial integrity of Ukraine and of its obligations
    under international law, the PM of Romania Nicolae Ciucă said after Tuesday’s
    meeting in Kyiv with his Ukrainian counterpart Denys Shmyhal. Mr. Ciucă announced
    on Wednesday that Romania is considering opening new checkpoints on the Ukrainian
    border. He emphasised the importance of the opening of the Isaccea-Orlivka
    checkpoint in the south-east in 2020, and of deregulating freight transport for
    Ukrainian operators on April 5. The number of Ukrainian nationals to enter
    Romania was 50% higher on Tuesday than on the previous day, the Border Police
    announced on Wednesday.


    CONSTITUTIONAL COURT The
    legal committees in the Senate and Chamber of Deputies Wednesday passed a
    favourable opinion on all candidacies for judge posts with the Constitutional
    Court of Romania. Parliament is due to vote on the candidacies next week. This
    June, the terms in office of 3 judges come to an end: Valer Dorneanu, nominated
    by the Chamber of Deputies, Mona Pivniceru, nominated by the Senate, and Daniel
    Morar, nominated by the Presidency. The Constitutional Court comprises 9 judges
    appointed for non-renewable 9-year terms in office, with one-third of the
    members replaced every 3 years.


    GOVERNMENT The
    finance minister Adrian Câciu stated at the Government Hour debates that the
    measures included in the Support for Romania package pave the way for
    preserving the country’s economic growth trend. Invited to the talks by USR
    party in opposition, Mr. Câciu emphasized that in order to have a high economic
    growth rate this year, Romania must primarily encourage the agriculture and
    constructions sectors. Adrian Câciu also mentioned that Romania, which relies on imports in many sectors, needs to
    increase its domestic output and invest in processing.


    NATURAL GAS Russia’s decision to discontinue natural gas supplies to Poland and
    Bulgaria is an aggressive and unacceptable move, seen by the EU as a form of
    blackmail, said the European Commission president Ursula von der Leyen. We
    will make sure that Gazprom’s decision has the smallest possible impact on
    European consumers, she told a press conference on Wednesday. The
    European Commission chief advised European energy providers not to give in to
    Russia’s request to have natural gas supplies paid for in rubles, and
    emphasised that this would most likely be a violation of the EU sanctions
    against Russia. After they refused to pay for natural gas in the Russian
    currency, Poland and Bulgaria are the first EU member states targeted by a
    suspension of Russian gas supplies. In this context, Greece announced it would
    assist Bulgaria, while Poland announced current gas supplies cover the
    country’s domestic demand.


    RECOVERY
    Romania has fulfilled all the goals set out in the National Recovery and
    Resilience Plan approved by the European Commission, the economy minister
    Florin Spătaru said in Bucharest. He emphasised that certain benchmarks related
    to the reforms undertaken as part of the plan will have to be revised in the
    forthcoming period, and along with the investment element they will contribute
    to a major progress of the Romanian economy, which has the potential of growing
    up to four-fold by 2030, provided that the principles in the Recovery Plan are
    observed and funding is used wisely. According to the economy minister, the
    opportunities offered by the Recovery Plan are not only the money, but also the
    economic and administrative reform principles, which will lead to reshaping
    Romania’s economy in line with the principles of digitisation and green economy.


    TENNIS Three Romanian athletes play in the WTA Madrid tournament’s main
    draw. Romania’s Irina Begu (62 WTA) Wednesday qualified into the tournament
    after defeating Kamila Rakhimova (96 WTA) of Russia, 6-1, 6-0. In the first
    round, Simona Halep will play against Shuai Zhang of China, and Sorana Cîrstea
    against Nuria Parrizas Diaz of Spain. WTA Madrid Open takes place between April
    28 and May 7. Simona Halep won the 2016 and 2017 tournaments. (AMP)

  • Parliament discusses draft Offshore Act

    Parliament discusses draft Offshore Act

    This
    week the Parliament of Romania is set to discuss a new draft Offshore Act, the
    endorsement of which would allow for investments for offshore drilling for
    natural gas in the Black Sea and for the development of the country’s petrochemical
    industry.


    The
    bill has been approved already by the National Liberal Party, the Social
    Democratic Party and the Democratic Union of Ethnic Hungarians (UDMR), which
    make up a majority in Parliament at present and are determined to take
    responsibility for the bill.


    According
    to deputy PM and UDMR president Kelemen Hunor, in 2026-2027 at the soonest
    Romania will be able to extract natural gas from the Black Sea. He also
    explained that an economic crisis also brings along opportunities, forcing
    authorities to attract investors and to see what changes must be made in order for
    the country to switch from thermal power plants burning coal to ones running on
    gas.


    In
    turn, PM Nicolae Ciucă, recently elected president of the National Liberal
    Party, approves of the bill, arguing that it will help Romania reduce its
    reliance on Russian gas.


    The
    Social Democratic leader and Chamber of Deputies Speaker Marcel Ciolacu also
    backs the bill, and says there is political determination and legislative,
    governmental and executive coherence for it to be endorsed.


    The
    Offshore Act has been stuck in Parliament for over 4 years, with several drafts
    having reached various stages of the regulatory process. The new draft tabled
    to Parliament has been subject to discussions in the ruling coalition for
    several months now.


    One
    scenario is for the Romanian government to receive a minimum of 60% of the
    proceeds from the natural gas, with the balance to be kept by private companies.


    The
    current legislation stipulates a 30% to 70% progressive tax on the additional
    revenues made from the natural gas price rises, and companies are bound to sell
    50% of the output through the Bucharest Commodity Exchange.


    The
    Offshore Act is eagerly awaited by companies
    interested in drilling for gas in the Black Sea. Several gas producers,
    including OMV Petrom, an Austrian company in which the Romanian
    government also holds stock, spent billions of US dollars for a decade on preparations
    to tap into the estimated 200 billion cubic metres of gas on Romania’s
    continental shelf.


    Since Romania’s domestic demand stands at around 11
    billion cubic metres per year, this would turn the country into an exporter of
    natural gas.


    The
    US company ExxonMobil also announced they would invest in the venture, however
    in 2019 they decided to sell their stock to the Romanian state-owned company
    Romgaz.


    Over
    the years, the level of taxes levied on the extraction companies was one of the
    main barriers to developing the natural gas reserves in the Black Sea, making investors
    reluctant and getting projects suspended, to the benefit of natural gas imports
    from Russia. (A.M.P.)

  • Afaceri „verzi” și implicare comunitară

    Afaceri „verzi” și implicare comunitară


    În 2020, în plină pandemie, când ideea de schimbare a stilului de trai impusă, inițial, din exterior, începea să fie reflectată și în interior, în București se inaugura primul magazin ecologic, fără plastic și fără chimicale. Conceput potrivit principiului “zero waste” (fără risipă și gunoi), magazinul a fost deschis la inițiativa Anei Maria Răducanu care, astfel, a vrut să-și continue și în București traiul sustenabil. Ana Maria Răducanu:


    În 2018 m-am întors în România după ce am locuit câțiva ani în eco-village-uri din străinătate, în comunității internaționale ecologice care și-au organizat întreaga viață potrivit unui stil sustenabil și cu respect față de natură. Când am revenit aici, discrepanța a fost foarte mare și mi-era imposibil să fac cumpărături fără să generezi munți de plastic și de gunoaie. Mi-a fost foarte foarte greu să mă adaptez la viața asta știind că există soluții și că se poate trăi și altfel. Așa că, în octombrie 2018, am luat decizia că voi face acest spațiu în primul rând din cauza acestei nevoi pe care o aveam. În continuare este singurul din București care oferă astfel de soluții de cumpărături fără plastic și cu cât mai puțină risipă.



    Fiind primul și singurul magazine de acest tip din capitală, cât de rapid s-au obișnuit bucureștii cu acest concept și ce anume presupune el? Răspunde tot Ana Maria Răducanu:


    Magazinul de tip zero waste (zero risipă sau gunoi) este locul de unde poți să îți faci cumpărăturile astfel încât să elimini complet plasticul de unică folosință. Tot aici se încurajează economia circulară. În loc să vii să cumperi produse în ambalaje de unică folosință de plastic sau orice alt tip de ambalaje, aici vii cu recipientele tale. De exemplu, oamenii vin cu borcanele lor sau cu săculețele lor sau cu plasele din bumbac reutilizabile și își cumpără produsele de care au nevoie. Produsele sunt disponibile vrac sau în ambalaje returnabil, cum ar fi, de pildă, borcanele pe care noi le primim și le trimitem înapoi producătorului pentru a fi umplute. Sau în ambalaje compostabile și noi primim materia organică înapoi din care apoi facem compost. Deci garantăm că tot ceea ce pleacă de la noi nu are de ce sa ajungă la groapa de gunoi.



    Deși, de mai mulți ani, în România idei precum traiul sustenabil și ecologic, alimentația cât mai naturală și descurajarea utilizării plasticului fac din ce în ce mai mulți adepți, ele constituie încă niște concepții de nișă. Așadar, cine sunt clienții Anei Maria Răducanu?


    Primii care ne-au trecut pragul cred că de-abia așteptau un astfel de loc. Sesizam, în momentul în care intrau pe ușă, că simțeau o ușurare, respirau ușurați de parcă ar fi ajuns acasă și mulți mi-au și zis se bucură că au un loc în care nu mai sunt văzuți ca niște ciudați care vin cu plasa după ei. Era un mic nucleu de oameni care deja trăia în acest stil și ei nu aveau un loc unde să-și poată face cumpărăturile așa cum e normal pentru ei. Apoi, desigur, sunt și cei care foarte curioși care vin să vadă cum e aici sau să înțeleagă un pic modelul. De când este magazinul deschis, descopăr că numărul cumpărătorilor rămâne constant, – mă refer la acel prim nucleu -, dar vin mereu și oameni noi. Sunt deschiși să viziteze și mulți spun că știau de magazin de multă vreme, dar nu au apucat să ajungă. Percepția mea e că încă nu știm unii de alții și că suntem mai mulți decât credem și decât pare. Avem nevoie și de un spațiu ca acesta care să funcționeze ca un mic hub de conectare. Sunt magice momentele din magazin când se întâlnesc mai mulți oameni și descoperă că au interese comune și fac proiecte comune și își dau sfaturi pentru copii.



    Fiind încă vorba de un magazin solitar în București care reprezintă doar o clientelă de nișă – deși, totuși, în creștere -, prețurile sunt ceva mai mari decât în cazul comerțului convențional. De altfel, costurile traiului sustenabil reprezintă unul din motivele pentru care produsele bio nu sunt foarte căutate. Dar, pentru Ana Maria Răducanu și pentru cei care aderă la curentul “zero waste”, costurile pe termen lung ale risipei de azi pot fi chiar mai mari. Ana-Maria Răducanu:


    Aceste produse au costurile un pic mai apropiate de costurile reale. Un produs din supermarket care are un lanț de distribuție masiv și care are acces la niște resurse la altă scară poate să aibă un preț mai mic față de un magazin ca al nostru, micuț. Noi nu ne permitem să cumpărăm 5 tone de năut ca să avem un preț competitiv cu un supermarket. Însă e important de chestionat măcar de ce ajung unele lucruri să fie atât de ieftine, care este prețul real, de fapt, al produselor pe care noi le consumăm și cine plătește pentru ele. În prezent avem această economie de consum foarte ieftină pentru că nu plătim mult din ceea ce va urma de fapt să fie plătit de generațiile viitoare. Mă refer la costul de mediu nu este inclus în produsele pe care noi acum le cumpărăm foarte ieftin, însă nota de plată o să vină pentru generațiile viitoare care rămân fără resurse, care vor avea parte de ape foarte murdare și aer foarte poluat. Pentru ei va fi tot mai tot mai greu să fac o grădină din care să se hrănească și în sensul ăsta mi se pare că este foarte scump, de fapt, ceea ce cumpărăm acum. E scump pentru copiii și nepoții noștri.



    În magazinul “zero waste” din București poți cumpăra alimente de bază, precum făină sau orez, condimente, uleiuri, diverse tipuri de ceai sau dulciuri fără adaos mare de zahăr, toate la vrac. De asemenea, tot la vrac se pot achiziționa cosmetice ecologice și produse de igienă și curățenie, adică tot ce poți găsi la supermarket, dar având un conținut mult mai puțin sau deloc poluant.







  • October 23, 2021 UPDATE

    October 23, 2021 UPDATE

    COVID-19 New restrictions take effect on Monday in Romania, as the country is
    struggling with an unprecedented epidemiological crisis. For 30 days, the
    digital COVID certificate will be compulsory in most public places, except for
    food shops and drugstores, face covering will be compulsory in all indoor and
    outdoor public areas, and a ban on outdoor concerts and shows, as well as on
    private events, including weddings, conferences and workshops, will be in place.
    Also on Monday, public and private kindergartens,
    primary, secondary schools and high schools will take a 2-week break.
    After-schools will also be closed, although nurseries will stay open. Companies
    with more than 50 employees will organise shifts or remote work, sports
    competitions will be held without public in attendance, and a night curfew will also be introduced, between 10 pm and 5 am, for
    the unvaccinated. On Saturday the authorities reported 15,261
    new SARS-CoV-2 cases and 446 COVID-related deaths.




    VACCINE An
    efficiency survey on COVID-19 vaccination in Romania indicates that
    immunisation has reduced contamination risks 5 times,
    hospitalisation risks 10 times, intensive care admission risks nearly 14 times
    and COVID-related death risks over 20 times. The data analysed included over 2.7 million
    tests (both positive and negative), collected from over 1.7 million people aged
    over 16 and vaccinated. The survey was run in February – May, when the Alpha
    variant of the virus was prevailing in Romania. Following repeated appeals from
    physicians, for fear of getting infected or simply because they no longer have
    access to various activities without the digital COVID certificate, many
    Romanians previously reluctant to the vaccine seem to have changed their minds.
    According to the latest official figures, over 127,000 people got vaccinated in
    the last 24 hours, most of them (over 91,000) with the first dose. This weekend
    the capital Bucharest is hosting a vaccination marathon. Since the start of the
    vaccination programme in late December, more than 6.3 million Romanians have
    received COVID-19 vaccines, and nearly 5.9 million of them are fully vaccinated.




    GOVERNMENT In Romania, prime
    minister designate Nicolae Ciucă, a retired general, carried on negotiations
    over parliamentary support for his new cabinet. The Democratic Union of Ethnic
    Hungarians in Romania will be the Liberals’ partners in the ruling coalition. The
    head of the Social Democratic Party in opposition, Marcel Ciolacu, Saturday had
    a telephone conversation with the prime minister designate, requesting him to
    come up with a clear, short-term action plan on handling the pandemic and to
    include in his governing programme 10 urgent measures suggested by the Social
    Democrats in the healthcare, economic and social areas. A new discussion will
    be held next week. Unhappy with a possible cooperation with the Social
    Democrats, many Liberals will leave the party and will start a new one jointly
    with the former party leader Ludovic Orban, said an ex-government spokesman, Ionel Dancă. Romania has been faced with a governmental crisis since
    September, when Save Romania Union left the ruling coalition over disagreements
    with PM Florin Cîţu and backed a
    no-confidence motion initiated by the Social Democrats against the Cîţu
    government. The first politician designated by president Klaus Iohannis to form
    a new government, Save Romania Union leader Dacian Cioloş, failed to get
    endorsed by Parliament.




    MOLDOVA The PM of the Republic of Moldova, Natalia Gavriliţă, announced the
    rationalisation of natural gas and other resources during the one-month state
    of emergency declared by Parliament on Friday. She said the government was
    looking for alternative gas sources, due to the lack of a new contract with
    Russia, which has cut supplies by one-third and raised prices to an unacceptable
    level. Russian-Moldovan talks in Moscow ended after 2 days without an
    agreement, and Moldova might see Russian gas supply completely suspended as of
    November.





    TENNIS Raluca Olaru (Romania) / Nadia Kicenok (Ukraine) Saturday
    lost the final of the tennis tournament in Moscow (WTA 500), to 2nd
    seeded Jelena Ostapenko (Latvia) / Katerina Siniakova (the Czech Republic) 6-3,
    4-6, 10-8. This was the 24th
    WTA doubles final for Raluca Olaru, who has won 11 titles so far. Olaru and
    Kicenok this year won the tournaments in Sankt Petersburg and Chicago, and lost
    the final in Bad Homburg. (tr. A.M. Popescu)

  • October 23, 2021

    October 23, 2021

    COVID-19 New restrictions take effect on Monday in Romania, as the country is
    struggling with an unprecedented epidemiological crisis. For 30 days, the
    digital COVID certificate will be compulsory in most public places, except for
    food shops and drugstores, face covering will be compulsory in all indoor and
    outdoor public areas, and a ban on outdoor concerts and shows, as well as on
    private events, including weddings, conferences and workshops, will be in place.
    Also on Monday, public and private kindergartens,
    primary, secondary schools and high schools will take a 2-week break.
    After-schools will also be closed, although nurseries will stay open. Companies
    with more than 50 employees will organise shifts or remote work, sports
    competitions will be held without public in attendance, and a night curfew will also be introduced, between 10 pm and 5 am, for
    the unvaccinated. On Saturday the authorities reported 15,261
    new SARS-CoV-2 cases and 446 COVID-related deaths.




    VACCINE Following repeated appeals from physicians, for fear of getting
    infected or simply because they no longer have access to various activities
    without the digital COVID certificate, many Romanians previously reluctant to
    the vaccine seem to have changed their minds. According to the latest official
    figures, over 128,000 people got the vaccine in the last 24 hours, most of them
    (over 86,000) with the first vaccine dose. This weekend the capital Bucharest
    is hosting a vaccination marathon. The National Defence Minister will also
    organize on Monday and Tuesday, a vaccination marathon in 6 military hospitals
    in the country. President Klaus Iohannis Saturday once again called on people
    to get the vaccine, saying this is the only way to curb the Covid-19 pandemic. Since
    the start of the vaccination programme in late December, more than 6.2 million
    Romanians have received COVID-19 vaccines, and more than 5.8 million of them
    are fully vaccinated.




    GOVERNMENT In Romania, prime
    minister designate Nicolae Ciucă, a retired general, carries on negotiations
    over parliamentary support for his new cabinet. The Liberal leader Florin Cîţu
    also took part in Friday’s talks with the Democratic Union of Ethnic Hungarians
    in Romania, the Liberals’ partners in the ruling coalition. Cîţu said that
    early next week the governing programme and distribution of cabinet seats would
    be submitted to Parliament. He added that in order to secure parliamentary support,
    the Liberals would discuss with Save Romania Union as well, although the latter
    originally announced they would not back a minority government. On the other
    hand, the Social Democrats, the main party in opposition, were not contacted
    for talks. Unhappy with a possible cooperation with the Social Democrats, many
    Liberals will leave the party and will start a new one jointly with the former
    party leader Ludovic Orban, said an ex-government spokesman, Ionel Dancă. Orban’s supporters have already called on president
    Klaus Iohannis and on Florin Cîţu not to accept the support of the Social
    Democratic Party. Romania has been faced with a governmental crisis since
    September, when Save Romania Union left the ruling coalition over disagreements
    with PM Florin Cîţu. Cîţu’s
    cabinet was dismissed following a no-confidence motion initiated by the Social
    Democrats and backed by Save Romania Union. The first politician designated by
    president Klaus Iohannis to form a new government, Save Romania Union leader
    Dacian Cioloş, failed to get endorsed by Parliament.




    MOLDOVA The PM of the Republic of Moldova, Natalia Gavriliţă, announced the
    rationalisation of natural gas and other resources during the one-month state
    of emergency declared by Parliament on Friday. She said the government was
    looking for alternative gas sources, due to the lack of a new contract with
    Russia, which has cut supplies by one-third and raised prices to an unacceptable
    level. Russian-Moldovan talks in Moscow ended after 2 days without an
    agreement, and Moldova might see Russian gas supply completely suspended as of
    November.





    TENNIS Raluca Olaru (Romania) / Nadia Kicenok (Ukraine) are
    today playing the final of the tennis tournament in Moscow (WTA 500), against 2nd
    seeded Jelena Ostapenko (Latvia) / Katerina Siniakova (the Czech Republic). On
    Friday, Raluca Olaru and Nadia Kicenok defeated the Russians Natela Dzalamidze /
    Kamila Rahimova 7-5, 7-5. This is the 24th WTA doubles final for
    Raluca Olaru, who has won 11 titles so far. Olaru and Kicenok this year won the
    tournaments in Sankt Petersburg and Chicago, and lost the final in Bad Homburg. (tr. A.M. Popescu)

  • Fines for energy suppliers

    Fines for energy suppliers

    Four Romanian natural gas suppliers (Engie, E.ON
    Energie, Restart Energy One and Premier Energy) have been fined for plans to
    increase tariffs while under fixed-price contracts. They are now bound to notify
    their clients who entered fixed-price contracts, that the price of natural gas
    supply will remain unchanged throughout the contractual period.


    The National Energy Regulatory Authority (ANRE) found
    that these companies have breached their contractual obligations. The suppliers
    were fined for having drawn up standard contract offers that failed to specify either
    the contract period, or the terms and conditions for unilaterally cancelling
    contracts.


    The fines amount to some 545,000 euro, and the
    Authority promises to continue monitoring the conduct of all suppliers, and in
    case new breaches of relevant legislation are found, to address them
    accordingly.


    In response, two companies announced they would
    take the matter to court, and argue they had done nothing wrong and that
    international natural gas prices have skyrocketed. They warn that, in case the
    measures intended to mitigate the effects on end consumers are not based on
    fair and just economic principles, this will have swift and substantial
    repercussions on suppliers, and implicitly on their clients, not only in terms
    of prices, but also of the safety of supply ahead of the winter season.



    In this very difficult context, the respective
    companies argue, all stakeholders-authorities and private operators-need to work
    together to identify viable, fair and responsible solutions to overcome this
    crisis.



    With 95% of the bills accounted for by the natural
    gas procurement, storage, transport and distribution costs, suppliers only gain 5% of the invoiced amounts, the operators in question also explained. After
    the gas prices rose spectacularly, Romanian suppliers have raised tariffs
    several times, and these successive price rises and the small profit margin
    reflect in consumers’ bills. For
    example, this summer the average price was 0.12 leu / Kwh, while at present it
    reaches 0.6 leu / Kwh, i.e. 5 times more.


    The authorities are considering a ceiling on
    energy prices, but this can be done through a state-aid scheme that must be
    approved by the European Commission, the line minister Virgil Popescu said. He emphasised
    that, if suppliers are not bound to purchase electricity for the smallest price
    in the market and if they are not monitored, energy bills will increase
    significantly in a matter of months, and it is citizens who will stand to
    suffer. (tr. A.M. Popescu)

  • Energy prices cause growing concern

    Energy prices cause growing concern

    A committee has been set up in the Parliament of Romania to investigate the substantial increase in the price of natural gas and electricity. The committee found that these increases are in line with European trends.



    Energy prices in the continental market have reached record-high levels, fuelled by the costs of green certificates and the natural gas prices. Another problem for the European energy market is the uncertainty around gas imports from Russia, given that European storage facilities were only 70% full.



    The European Commission vice-president Frans Timmermans said the unprecedented electricity prices in member states prove that the Union must give up fossil fuels and step up the transition to green energy. He also noted that, while fossil fuel prices rose substantially, the costs of renewable energy remain low and stable.



    EU member states like Italy, Spain and Greece responded to the rise in conventional energy prices and have already announced aid measures to help people pay their bills. In Bucharest as well, the government is planning to help households cover their electricity and natural gas bills.



    Under a draft emergency order first discussed on Wednesday, the government would subsidise electricity prices by 3.6 eurocents per KWh and natural gas bills by 25%. Beneficiaries will include households that use between 30 and 200 KW of electricity per month and between 100 and 1,200 cubic metres of natural gas per year. The average price used by the government in its plans is 16 eurocents per KW, and bills will be around 3.6 euro smaller per 100 KW.



    The government is also looking at options to introduce a natural gas price ceiling. PM Florin Cîţu said this should not affect investments in the economy, and that the measure requires talks with the Competition Council and the European Commission. According to the energy minister Virgil Popescu, such a ceiling would discourage foreign investments in Romanias electricity and natural gas extraction markets, because companies would be forced to sell for less than the market price.



    The Social Democratic Party in opposition announced that in the forthcoming period they will table a bill introducing a ceiling on electricity and natural gas prices for household consumers, as a stop-gap solution. The Social Democrats vice-president Mihai Tudose criticised the right-of-centre government for deregulating the energy market at the worst possible time, when the domestic output is considerably below its potential. (tr. A.M. Popescu)

  • Romanian – US cooperation in the field of energy

    Romanian – US cooperation in the field of energy

    Romania has huge economic potential, and it is a very good place for investors, not only from the US, but from around the world, the US Ambassador to Romania Adrian Zuckerman said early this month, voicing hopes that the economic partnership between the 2 countries would catch up with and even outperform the military one.



    One of the key areas where Washington and Bucharest work together is the field of energy. In order to meet its energy security and decarbonisation goals, Romania intends to upgrade one of the reactors of the Cernavoda nuclear power plant and build another 2.



    The project is estimated to cost 8 billion US dollars, and the US Export-Import Bank will provide up to 7 billion USD for its funding. Once completed, the project will enable the Nuclear Power Plant in Cernavodă, south-eastern Romania, to cover around 40% of the countrys electricity needs. This is double the rate covered at present, says Cosmin Ghiţă, general manager of Nuclearelectrica:



    Cosmin Ghiţă: “With Units 3 and 4, this means doubling the current nuclear power capacity, and this is only one of the benefits. In Romania, the nuclear industry provides around 11,000 jobs. Once these projects are started, the number of jobs could reach over 20,000. As for the benefits of revamping Unit 1, these are evident: operating this facility for another 30 years, at less than half the cost of a new reactor.



    The agreement between Romania and the US on cooperation in the Cernavoda nuclear power projects was signed in Bucharest on Wednesday by the Romanian economy minister Virgil Popescu and the US ambassador, in the presence of the interim PM Nicolae Ciucă.



    The terms of the documents had been agreed on in early October, during the economy ministers visit to the US, when the memorandum of agreement with Exim Bank was also signed.



    This week, the USA Exim Bank president Kimberly Reed went to Cernavodă, and in a subsequent meeting with minister Virgil Popescu, he emphasised that the institution is ready to provide funding to Bucharest for other projects as well. The US might also fund the development of natural gas in the Black Sea.



    Romgaz is currently negotiating the acquisition of the US company Exxons stake in the Neptun Deep offshore project, and once investments in the Black Sea are restarted, Romania may become Europes largest natural gas and energy producer.



    Ambassador Adrian Zuckerman, attending the meeting, emphasised the importance of Romania securing its energy independence and added that the visit made by the Exim Bank president highlights the US commitment to Romania. (tr. A.M. Popescu)