Category: The Week in Review

Moldovan citizens can travel to the EU visa free

As of April 28th the citizens of the Republic of Moldova — a former Soviet republic with a majority Romanian-speaking population – can travel without visas to the European Union – with the exception of Britain and Ireland – and also to the Schengen member states that are not part of the EU, such as Island, Norway, Switzerland and Liechtenstein. Benefiting from the visa liberalisation are holders of biometric passports, that is some 750 thousand out of the total 2.5 million Moldovan citizens, who can travel abroad as tourists for a period of maximum 90 days. Chisinau started negotiations with the European Union on lifting the visas for its citizens almost 4 years ago, less than a year after the current pro-European alliance came to power. To celebrate the news, a series of events have been staged, among which a symbolic meeting between Romanian Prime Minister Victor Ponta and his Moldovan counterpart Iurie Leanca at one of the checkpoints on River Prut. Bucharest has given assurances that it will continue to support Moldova’s accession to the European Union, a goal that Chisinau hopes to reach by 2019, when Romania will, for the first time, take over the Union’s rotating presidency. Beyond this unconditional support, Romanian and Moldovan officials have to identify ways of cooperation in the field of security. According to Victor Ponta, it is the crisis in Ukraine and the security environment in the region that call for that. Prime Minister Iurie Leanca thanked Romania for the constant support granted to Moldova’s EU accession process. Moreover, he emphasised the importance of carrying out joint projects in the fields of infrastructure and energy.

Romanian Foreign minister Titus Corlatean paid a visit to the US

Romanian Foreign Minister Titus Corlatean paid a visit to the United States on April 29th and 30th to attend a conference on issues related to Europe. Ahead of the meeting, Minister Corlatean met with representatives of the US Congress and members of the Romanian community with whom he discussed, among other things, about cooperation in the field of security and about the situation in Ukraine. During a meeting with the US Secretary of State John Kerry, Corlatean has given assurances that Romania, as member of the EU and NATO, supports, without reservations, firm sanctions against Russia. These sanctions, says Corlatean, must be accompanied by a solid military presence in Eastern Europe. At a meeting with Frank Rose, Deputy Assistant Secretary of State for Defense Policy and Verification Operations, Romanian President Traian Basescu voiced concern at the worsening international situation in the Black Sea area and at the possible consequences for Romania and NATO. Traian Basescu also said Romania would not hesitate to take over its European and Euro-Atlantic responsibilities in order to guarantee its own security and the security of its allies, and to impose the necessary sanctions against the Russian Federation, in a complicated regional context, marked by the events in Ukraine.

The Romanian Theatre Union awarded the best artists of 2013

The 22nd UNITER Awards Gala, the most important annual event of the Romanian theatrical world, was hosted this week by the Palace of Culture in Targu Mures. “Victor or Power to the Children” by French playwright Roger Vitrac, put on by Silviu Purcarete at the State Hungarian Theatre in Cluj-Napoca, was designated the best production. Cornel Raileanu got the best leading actor award for his role in “A Hell of a Mess” by Eugen Ionesco staged also by Silviu Purcarete at the National Theatre in Cluj-Napoca. The best leading actress award went to Alexandra Fasola, the youngest of the nominees, for her role in “Yentl” at the State Jewish Theatre in Bucharest. Two short stories by Mikhail Bulgakov “The Embroidered Towel” and “The Steel Windpipe” produced by Radio Romania reaped the best radio drama award. The best director award went to Laszlo Bocsardi for “Hamlet” staged at the “Tamasi Aron” Theatre in the central town of Sfantu Gheorghe. The Excellence Award was granted to the popular actor Victor Rebengiuc, who was given a standing ovation by the 500 personalities invited to attend the Gala.

Double canonisation in Rome

John XXIII and John Paul II were canonised before a large audience gathering on Sunday in St. Peter’s Square in Rome. Pope XXIII called the second Vatican Council, which opened the church towards the modern world and other religions. Pope John Paul II, the first Polish Pope and a charismatic and tireless messenger of Christ’s love all over the world, is believed to have had a big contribution to the fall of communism in Eastern Europe. The festivities held on Sunday were also attended by the Metropolitan Archbishop of Bucharest Ioan Robu, numerous priests, monks and nuns as well as believers from all over Romania. Both of the two canonised popes travelled to Romania in their day. Pope John Paul II paid a historic visit to Romania in May 1999, the first by a pontiff to a country with an Orthodox majority population. Before becoming pope John XXIIII, Angelo Roncalli visited Romania in 1930 and 1932, while he was serving in a diplomatic mission in Bulgaria. As an apostolic delegate to Turkey, in 1944, following a request from the Chief Rabbi of Jerusalem, he helped the Romanian Jews deported to Transdniester, today in the Republic of Moldova, by sending aid to concentration camps and issuing baptism certificates. Monsignor Roncalli also convinced the Turkish authorities to allow a ship carrying Romanian Jews bound for Jerusalem to cross Turkey’s national waters, thus helping 750 Romanian Jews, third of whom were children.

Floods hit the south and south-west of Romania

Romania needs long term solutions to prevent flooding, said Prime Minister Victor Ponta after visiting the villages affected by floods this past week. He also said that, in the absence of other viable solutions, authorities have the obligation to fund costly infrastructure works in the flood-prone areas, because moving the locals from those areas would be too difficult. In the past few days, heavy rainfalls have seriously damaged counties in the south and south-west of the country. In Teleorman and Olt counties, hydrologists have even issued a code red warning for flooding. The Government has approved the allocation of 53 million lei (approximately 12 million Euros) for emergency works in Teleorman County, which has been the most severely affected by flooding, with 27 villages covered by water and hundreds of hectares of land and households damaged.

The campaign for European Parliament elections started on April 25th

The official campaign for the European Parliament elections of May 25th started on Friday. Competing for the 32 seats allocated to Romania are 15 parties and political and electoral alliances, as well as 8 independent candidates. The main competitors are the ruling alliance made up of the Social Democratic Party, the National Union for the Progress of Romania, and the Conservative Party, the opposition National Liberal Party and Liberal Democratic Party, the co-governing Democratic Union of Ethnic Hungarians in Romania and the Dan Diaconescu People’s Party in the opposition. The ruling alliance is backed by the European Socialists, the Democratic Liberal Party and the Democratic Union of Ethnic Hungarians by the European People’s Party, while the National Liberal Party is supported by the Alliance of Liberals and Democrats for Europe. For the European Parliament elections of May 25th, the Romanian Foreign Ministry will organize 190 polling stations for the Romanians abroad: 18 in Spain, 15 in Italy, 8 in the Republic of Moldova and 6 in France. Also, 5 polling stations each will be organized in the US, Germany and Belgium, as well as in Afghanistan, for the Romanian soldiers on mission under the aegis of NATO.

A token strike of the Romanian railway workers upset the passenger railway traffic.

On Wednesday, some 300 trains stopped for two hours in stations, affecting thousands of passengers. Romanian railway workers went on strike being dissatisfied with their wages, the loss of their right to free railway travel and a possible lay off of 2500 freight railway employees. The employees of the Romanian Railway Company, a state-owned company, complain about overtime, diminished or even suspended salary entitlements as well as precarious working conditions. Trade unions have announced that they will stop the protests during the negotiations with the Transport Ministry officials over the signing of the new collective employment agreements. For several years now, the authorities have been trying to reorganize and privatize the state-owned railway companies, but the latter continue to report big losses and debts.

Romanian authorities focus on the situation in Ukraine and the Republic of Moldova

Given the increasingly tense situation in Ukraine, Romania believes it must be the first state to support the efforts of the Moldovan authorities for a rapid EU accession, Romanian Prime Minister Victor Ponta said on Radio Romania. The Romanian Prime Minister believes that the developments in Ukraine and in the region can pose a danger to the ex-Soviet Republic of Moldova with a predominantly Romanian-speaking population, but they can also be an opportunity.

Victor Ponta: “It is up to us to help them take this opportunity to join the European Union faster than they thought and to consider getting NATO membership.”

In another development, French Foreign Minister Laurent Fabius and his German counterpart, Frank-Walter Steinmeier have announced in Chisinau that the EU will give the Republic of Moldova technical and financial aid after the signing of the Association Agreement, so that it may go ahead with the reforms. The Republic of Moldova initialed the Association Agreement in November 2013 and is going to sign it in late June.

The Romanian city of Craiova hosts the International Shakespeare Festival

The Southwestern city of Craiova is the venue for the 9th edition of the International Shakespeare Festival, one of the most important events of the kind in Romania and in Europe. The production “Much Ado about Nothing” directed by Max Webster and performed by the London-based Globe Theatre opened the festival on April 23rd, which will last until May 4th. Participating are such valuable troupes as the “Vahtangov Theatre” of Russia or the National Theatre of China, as well as theatre companies, schools or Philharmonic orchestras of South Africa, Lithuania, Armenia, Hungary, Poland, Ukraine and Romania.

Romanias reactions to regional tensions

Against the background of an unpredictable regional context and with two of its neighbours, the Republic of Moldova and Ukraine in very delicate situation, Romania has not hesitated to state its point of view in a firm manner. Thus, Romania’s head of state, Traian Basescu, has called on Russia to stick to its commitments as a member of international bodies and help stabilise the situation in the region. In President Basescu’s opinion, challenging internationally recognised borders is unacceptable and will have a direct impact on regional peace and stability. Mr Basescu made these statements after the self-appointed authorities in Transdniester, a pro-Russian breakaway region in the Republic of Moldova, have asked for their annexation to the Russian Federation.On the same note, prime minister Victor Ponta has said that Romania wants the Republic of Moldova to be left outside the conflicts in the region and to continue its path towards the European Union. The Romanian officials’ stand follows statements by Russian President Vladimir Putin, who said the people of Transdniester have the right to decide their own future.

Romanian-American military exercise

Romanian Prime Minister Victor Ponta said that starting this year the funds allocated to the Defence Ministry would increase, so that Romania should be able to better observe its commitments under its partnerships with NATO and the EU. The statement was made in Campia Turzii, in central Romania, where a joint Romanian-American military exercise took place. On this occasion, Romanian pilots tested the American F16 fighter jets, which, at the end of 2016, will be part of the arsenal of the Romanian Army.

Criminal complaint against the head of state

Over 170 Romanian MPs signed a criminal complaint against President Traian Basescu, whom they accuse of blackmail and threats against the Social Democrat parliamentarian Gabriela Firea. The latter is a member of the Parliament’s commission that investigates transactions with farmland in the village of Nana, in southern Romania, where President Basescu’s older daughter, Ioana, purchased a large plot of land last year. Ioana Basescu borrowed 1 million euros from Romania’s only state-owned bank, CEC Bank, to pay for the land. The head of state says this was a transparent transaction and that no political influence was used for his daughter to obtain the loan.

Measures for the business environment

Romanian Chamber of Deputies has passed a draft law regulating insolvency prevention procedures and insolvency procedures for legal entities. The provisions apply to debtors in a difficult financial situation and set at some 8,800 euros the minimum value of the debt for which a request for starting insolvency procedures can be filed. Attending the debates, justice minister Robert Cazanciuc has underlined that the insolvency law would support the business environment, as it provides more efficient tools to recover debt. Prime Minister Victor Ponta also said the law is extremely important for the business environment. Furthermore, he has announced that a tax exemption on reinvested profit will be implemented as of July. Victor Ponta: “This is an older request made by the business environment, a measure that we will implement as of July 1st. All companies which reinvest their profit receive a well-deserved support, which will translate into new jobs, new taxes and new advantages for our society.”

Final list of candidates for the European Parliament elections are released

Romanians who will go to the polls on May 25th to choose their representatives in the European Parliament will have to choose from the candidates of 15 parties and alliances and 8 independent candidates. The left-wing coalition in power in Romania, made up of the Social Democratic Party, the National Union for the Progress of Romania and the Conservative Party, is likely to win the largest number of votes, followed by the two right-of-centre parties in opposition, namely the National Liberal Party and the Liberal Democratic Party. Two other parliamentary parties, the Democratic Union of Ethnic Hungarians in Romania and the populist Party of the People, also have a chance to send their own representatives in the European Parliament. The same goes for the pro-presidential People’s Movement and Civic Force. Standing out among the independent candidates approved by the Election Bureau are the former world gymnastics champion Corina Ungureanu and actor Mircea Diaconu. The election campaign will officially start on April 25th, 30 days before election day.

Easter preparations are under way

Christians from all over the world, Romania included, are getting ready to celebrate Easter. Both Orthodox and Catholic believers celebrate the resurrection of Christ on the same day this year, April 20th. The members of the Jewish community in Romania celebrate these days the Passover, the exodus of the Jews from Egypt.

Romania and the Ukrainian crisis

The United States has reiterated its commitment to defending Romania, given the latest events in Crimea, Russia’s aggressive moves and lack of respect for the sovereignty of Ukraine, Duane Butcher, a US charge d’affairs with the American Embassy in Bucharest said on Thursday. His statement came shortly after Romanian Foreign Minister Titus Corlatean had said that Romania, as the eastern border of the European Union and NATO, having Ukraine as its northern neighbour, has concrete expectations concerning an eastward shift of NATO’s military capabilities.

The Romanian state secretary Bogdan Aurescu conveyed a similar message in Washington during talks with the assistant US secretary of state for European affairs Victoria Nuland.

In a letter sent to the leaders of 18 European countries, including Romania, Vladimir Putin has called on Europeans to work out actions to stabilise the Ukrainian economy and ensure delivery and transit of Russian natural gas to the West. According to the Kremlin leader, unless Europeans cover Ukraine’s debt, Russia has the right to halt gas deliveries to Kiev, a move that will also bear on gas deliveries to EU countries, because these supply pipelines transit Ukraine.

According to Romanian Prime Minister Victor Ponta, Romania is not likely to face a gas delivery crisis on short term.

“Romania does nor depend much on Russian gas — only 25% of its consumption is imported from Russia. And if we speak in terms of weeks or months, there is no risk, for either the population or the industry. If the crisis drags on, this is all the more reason for Romania to invest more and develop its existing capacities to a maximum level, so that it could have its own internal production.”

High-profile criminal investigations

The Romanian justice seems to be in better shape than ever after many years in which it has taken no action against corrupted political leaders and businesspeople, seen as untouchable.

The current mayor of Constanta, Social-Democrat Radu Mazare, currently at its fourth mandate, has this week been placed under investigation for bribe-taking allegations. The biggest story this week is the investigation of the Social Democrat mayor of Constanta, Radu Mazare, for bribe taking. According to prosecutors, he received 175,000 euros in 2011 from the representatives of a company building social housing.

The suspended chairman of Romania’s Chamber of Commerce and Industry, Mihail Vlasov, has been remanded in custody for influence peddling, while the former president of the National Employment Agency, Silviu Bian, has been given a six-year prison sentence for bribe-taking.

The National Anti-corruption Directorate has called on the Senate to approve the preventive arrest of Social Democrat senator Ovidiu Marius Isaila, who is currently prosecuted for influence peddling.

Romania’s candidates in the European Parliament elections

Less than a month before the EU parliamentary elections, due on May 25th, two of Romania’s candidates brought their cases to court.

Actor Mircea Diaconu, got the green light from a Romanian court to run for a seat in the European parliament, after the National Agency for Integrity and the Public Ministry had contested his candidacy on incompatibility grounds. We recall that in 2011 Diaconu held two public positions at the same time: that of parliamentarian and theatre director. The court explained that Diaconu has the incontestable legal vocation of occupying an MEP seat, as the law on public jobs and positions cannot be associated with criminal laws.

At the same time the court ruled that the list for the EU elections filed by Corneliu Vadim Tudor, under the logo of the extra-parliamentary nationalist Greater Romania Party, PRM, was eligible. The Central Election Bureau had initially refused to validate the list.

The latest amendments to the education law

Teachers having passed their tenure exams in the past 6 years with grades above 7, and who are employed on temporary contracts, may be assigned permanent posts. The decision is to be taken by the relevant county school inspectorate, based on two criteria. The first one is whether the respective post is vacant, and the second has to do with the viability of a post, namely with whether a post will exist throughout a four-year education cycle.

The recent changes to the Education Act were prompted by a complaint filed by a teacher with the Constitutional Court of Romania. According to the plaintiff, Art. 253 in the old text of the law made it possible for teachers to be assigned tenured positions on preferential criteria, based on the connections they had.

Romania takes measures to prevent floods

As 6% out of Romania’s population is living in areas exposed to floods, the “Romanian Waters” National Administration and the National Institute for Hydrology and Water Management drew up some risk maps. The documents, compulsory for an EU member state, include data about 11 hydrographic basins and also estimates about the possible damage and fatalities caused by the flooding. The head of the “Romanian Waters” National Administration, Vasile Pintilie explains:

“We are now able to report, in real time, any phenomenon that may appear and have a destructive effect on human settlements.”

Experts estimate that carrying out flood control works at current standards requires investments of almost 3 billion euros.

A 7 eurocents excise duty on fuel has sparked heated debates in Romania.

The controversial excise duty of 7 Eurocents per litre of fuel is applied in Romania as of April the 1st, working out to an average 0.4 lei increase per litre of gasoline, diesel oil and kerosene. Road carriers will however be refunded 4 of the 5 Eurocents, says Prime Minister Victor Ponta. The measure includes freight and passenger transporters as well as the Romanian Post Company. The amounts of money are to be returned quarterly, based on the bills attesting the volume of purchased fuel. Railway transporters are however discontent with the measure, as they contest the excise duty on fuels, which they consider discriminatory. In turn, Romania’s President Traian Basescu says the duty is abusive and extremely detrimental to a large part of the business sector and the population. In exchange, the head of the IMF Mission to Romania, Andrea Schaechter, says the economic program agreed upon with the Romanian authorities is on the right path.

Prices for natural gas and cigarettes have gone up this week

As of early April, the prices of natural gas and cigarettes have increased, too. According to the timetable for the elimination of regulated prices, the price of natural gas increased by 2% for home users and by 5% for industrial consumers. Smokers will pay more for cigarettes, as they will have to take 0.5 lei more from their pockets for a package of cigarettes. According to experts, such a measure will impact mostly smokers of cheap cigarettes, as their prices will go up, close to that of premium cigarettes. In exchange, we will pay less for mobile phone bills, because interconnecting fees will be reduced considerably, and thus phone calls in another network will be cheaper. The new fees are mandatory for all 46 fixed network providers and 6 mobile network providers in Romania. Another piece of good news is that Bucharest authorities do not intend to increase electricity prices. Analysts say prices in this sector should decrease, as a result of the competition between suppliers.

The Central Election Bureau has made public the list of valid candidacies for the European parliamentary elections of May

The Central Electoral Bureau rejected the registration applications of several candidacies for the European Parliament elections due on May 25th, which were submitted by parties and independent candidates. The most drastic decision targets the nationalist, populist and extra-parliamentary Greater Romania Party, the Central Electoral rejecting the lists submitted by both Corneliu Vadim Tudor and Gheorghe Funar, the leaders of the two factions in the Greater Romania Party fighting for the party presidency. Among the invalidated candidacies is also that of independent candidate, actor Mircea Diaconu. The lists of candidates submitted by the parliamentary parties, in power or in opposition, were admitted by the Central Electoral Bureau. Of the non-parliamentary parties whose lists have been accepted we can mention the pro-presidential parties the People’s Movement and the Civic Force and also the Christian Democratic National Peasant Party. Among those admitted there is also independent candidate Corina Ungureanu, a former gymnastics champion of Romania.

Romania marks 10 years of NATO membership in a solemn parliamentary session

The Romanian Parliament met Tuesday in a solemn session devoted to the anniversary of 10 years since Romania joined NATO. The event was attended by President Traian Basescu and the former presidents of Romania, Ion Iliescu and Emil Constantinescu. Throughout the 10 years of NATO membership as many as 40 thousand Romanian soldiers were involved in peacekeeping missions in the western Balkans, Afghanistan, Iraq and Northern Africa. 26 of them died in action and 140 have been wounded. On March 29th, 2004 Bucharest authorities submitted the instruments for NATO accession ratification at the US Department of State headquarters, the US being the depositary of the North Atlantic Treaty. On April 2nd 2004 a ceremony was held when the Romanian flag was flown on top of the NATO headquarters in Brussels.

NATO has cut all military and civilian ties with Moscow

NATO has decided to suspend all military and civilian cooperation with the Russian Federation following that country’s armed intervention in Ukraine. NATO argues Moscow has violated the sovereignty and territorial integrity of the former Soviet republic, adding it would review relations with Russia at the forthcoming meeting of EU Foreign Ministers in June. NATO Secretary General Anders Fogh Rasmussen has criticized Russia for “violating every principle and international commitment it has made, first and foremost, the commitment not to invade other countries”. In order to de-escalate the situation, Russia announced it would “progressively withdraw” its troops massed on the Ukrainian border. De facto though Russian pressure on Kiev is rising. Russian energy giant Gazprom has increased the price for gas reserves supplied to Ukraine, a country that has an outstanding debt of 2 billion dollars, Gazprom officials have said. The EU and the US have condemned the use of energy as “a political weapon or instrument of aggression”, warning Russia there will be economic consequences to its policy of destabilizing Ukraine.

Romanian candidates to Mays elections for the European Parliament

15 political parties in Romania have submitted their lists of candidates for the European Parliament Elections scheduled for May 25th, alongside 11 independents. The election campaign is due to start on April 25th. Romania will hold 32 seats in the next European Parliament, one less than in the outgoing one. The ruling left wing alliance made up of the Social Democratic Party, the National Union for the Progress of Romania and the Conservative Party, its partner the Democratic Union of Ethnic Hungarians in Romania, as well as the liberal and the liberal-democrat opposition have kept on the lists people who have met expectations while holding their current offices. Pre-election polls have shown that the alliance headed by the Social Democratic Party might get half of the available seats. The rest would be shared among the National Liberal Party, the Liberal Democratic Party, the Popular Movement Party and the Democratic Union of Ethnic Hungarians.

The IMF approves the first two assessments of the precautionary agreement with Romania

The IMF leadership has approved the first two assessments of the precautionary agreement concluded with Romania last autumn. The fund has placed at Romania’s disposal another 440 million Euros, and the total amount that Romania has access to, under the agreement, exceeds 650 million Euros. The agreement with the IMF and the EU is worth 4 billion dollars. Romanian authorities say they have no intention of accessing the money, as the aim of the agreement is to protect Romania from potential shocks on the financial markets and to reduce financing costs.

Some Romanian pensioners will get more money this month

Over 230 thousand Romanians who retired after January 1st 2011 will get higher pensions by the end of the month. Pensions went up by 14 Euro in March, after a correction index was applied, the Labour Minister Rovana Plumb has announced. She has stated that the addition is the difference that should have been paid in November and December 2013. The opposition says this is no pension increase, as the Government should have operated the correction as early as last November, when the Constitutional Court ruled that the executive had used a wrong index.

Recommendations made by the Venice Commission regarding the draft law on the revision of Romania’s Constitution

The Venice Commission, which is an advisory body of the Council of Europe, has made an assessment of the draft law regarding the revision of Romania’s Constitution. In a report made public on Thursday, the Commission states that the form of government that Romania will have under the new Constitution is unclear, and insists on a clear delimitation of prerogatives between the President and the Prime Minister. Other recommendations regard the procedural framework for emergency ordinances and improving the legal conditions for the Higher Council of the Magistracy to be able to carry out its mission as warrantor of the magistrates’ independence. The Vice-President of the Romanian Senate, the Social-Democrat Ioan Chelaru, has stated that talks on the revision of the Constitution will continue, including with the participation of the Higher Council of the Magistracy and civil society. He has said that the referendum on the revision of the Constitution will not be held earlier than 2015.

The situation in Ukraine and its effects at regional and global level are high on the Romanian authorities’ agenda

Russia’s annexation of the Crimean Peninsula and the major regional and global implications of that decision were high on the agenda of Romania’s Higher Defense Council meeting on Thursday, headed by President Traian Basescu. Previously, at the meeting where the Romanian Defense Ministry presented its activity report, the head of state had stated that against the background of the recent developments in the region, the Romanian army must set for itself a new goal, namely to gradually increase its capacity of reaction. Traian Basescu:

“ We can no longer regard the incidents in 2008, when the Russian Federation occupied Abkhazia and South Ossetia as separated incidents. There followed Ukraine and any politician or military should ask themselves who or what is next. Is it going to be Transdniestr, is the Republic of Moldova next? These are legitimate questions, and the Romanian Army must have a new objective, that of boosting its capacity of reaction.”

Measures adopted by the Romanian Government in the gas and energy sectors

The Romanian Government has adopted a set of measures to curb the price rise of natural gas and electricity, meant to stimulate industrial users and to protect the domestic ones. For the industrial consumers on the free market, the price of gas will be the one set on January 1st, 2014, namely 230 dollar per one thousand cubic meters. For domestic and industrial consumers the fee will increase starting April 1st, by 2% and 5% respectively. The Government has decided to maintain the market share for electricity produced from renewable resources at the level of 2013, namely 11.1%. The measures have triggered disputes between the big industrial consumers and the producers of green energy. The first are unhappy with the fact that the price of gas and the market share for green certificates have been maintained. On the other hand, producers of renewable energy are discontent with the fact that the state has not met its commitment to increase the green certificate quota at 15% in 2014, and say they run the risk of going bankrupt, because they have drawn up their business plan based on that quota.

Romania reacts to Crimea’s annexation by Russia.

Given the exceptional situation created by the annexation of Crimea by Russia, the Romanian political class was quick to react. President Traian Basescu, the main critic of Russia in the Romanian political arena, disapproves of Crimea’s annexation by Russia and accuses Vladimir Putin of redrawing borders in Europe in an attempt to recreate the Soviet Union. The Romanian PM, Victor Ponta, also expressed hope that the West would have an adequate reaction to Russia’s military intervention, as the PM fears Russia could also want to annex other territories as well. The Romanian Foreign Ministry believes that Crimea’s annexation could thwart the decades-long efforts to bring peace to the European continent. Bucharest also reiterated that the absorption of Crimea was an illegitimate act, which breaches Ukraine’s independence, sovereignty and territorial integrity. Although it lacks decision-making instruments, the opposition in Bucharest also expressed its views on the matter. Thus, the Liberal Party and the Liberal Democratic Party in opposition claim that Romania should coordinate its actions with its EU and NATO allies. Actually, at the European Council, where Romania was represented by President Traian Basescu, the EU added new names on the list of Russian officials subject to sanctions.

Romania supports Moldova’s EU accession

The complicated regional context has entailed a necessary meeting between the presidents of Romania and the Republic of Moldova, Traian Basescu and Nicolae Timofti respectively. In Iasi, in eastern Romania, the Romanian president expressed disappointment at the fact that Moldova, although it initialed the Association and Free Trade agreements with the EU in November 2013, has not yet been given a date by which it could become a full fledged member of the EU, of course depending on the pace of reforms made by Chisinau. The Romanian President added that the firm prospects of the Republic of Moldova’s and Georgia’s EU accession should be an absolute priority on the EU agenda. During the meeting, the Moldovan president expressed fears that Crimea’s annexation has not put an end to Moscow’s expansion ambitions and that Russia might have similar claims over Transdniester, a pro-Russian breakaway region in the east of the Republic of Moldova. Given the Crimean precedent, Chisinau needs security guarantees which the EU membership would certainly bring, the Moldovan president said. In the past years, after a pro-European coalition came to power in the ex-Soviet republic of Moldova, Romania has been a co-pilot for Moldova on its sinuous path to the EU, a path with two main obstacles: Russia and the Moldovan Communist Party.

The Schengen issue in the spotlight again

The latest report issued as part of the Mechanism for Cooperation and Verification, through which the European Commission monitors the developments in the Romanian and Bulgarian judicial systems, was approved this week by the General Affairs Council in Brussels. On the occasion, the Council hailed some of the conclusions mentioned in the January report, such as the positive performance of some key judicial institutions like the National Anti-Corruption Directorate and the National Agency for Integrity. The Council’s stand has a special relevance for Romania, given that its Schengen accession is conditional on the positive developments in the judiciary. However, Romania views it as rather unusual that its Schengen accession is conditional on the MCV report, and argues that it fully meets the technical conditions for accession.

New criminal investigation targets high-ranking officials

The series of investigations, trials and prison sentences involving national or local leaders or celebrities has continued this week. The president of Romania’s Chamber of Commerce and Industry, Mihail Vlasov, was taken into preventive custody, under charges of influence peddling. According to prosecutors with the National Anti-Corruption Directorate, Vlasov was caught taking 200 thousand euros in exchange for using his influence in a lawsuit at the Court of Arbitrage, where his daughter is a senior vice-president. The amount was the first installment of a one million euro bribe that Vlasov was supposed to get. In another development, the chairman of the Constanta County Council, Nicusor Constantinescu, is subject to anti-corruption investigations, for around 20 counts of abuse of office.

The situation in Ukraine

Romania maintains its concerns over the situation in Ukraine and is doing all in its power, both within European and Euro-Atlantic structures and on a bilateral level, to find a peaceful solution to the crisis facing this neighbouring state. To this end, Romania’s foreign minister Titus Corlatean travelled to Kiev on Monday following an invitation by his Ukrainian counterpart Andrii Deshchytsia. Mr Corlatean, who also had talks with Ukraine’s interim president Olexander Turchinov and prime minister Arseniy Yatsenyuk, told radio Romania’s correspondent in Kiev that his message to the Ukrainian authorities was that Romania fully supports Ukraine’s European aspirations. Romania also believes the referendum on Crimea’s joining Russia is unconstitutional. In Bucharest, president Traian Basescu has reiterated Romania’s unconditional support for Ukraine’s independence, territorial integrity and sovereignty.

The law on green certificates

President Traian Basescu has signed into law the green certificate bill, saying he does not want to be held responsible for an increase in electricity prices. The green certificates are documents attesting that part of the electricity used by a company comes from renewable sources. Prime minister Victor Ponta had previously accused that president Traian Basescu’s delay in signing the bill into law was an attempt to help certain private companies recover their investment in renewable energy sooner, as a result of an increase in electricity prices. According to the prime minister, the bill in question prevents a rise in electricity prices for the industry and the population, because it would temporarily keep at 11% the quota of the total electricity consumption for which the green certificates are awarded. In the absence of this law, the quota would increase to 15% in April, thus generating higher energy prices. Trade unions in the metallurgical sector, which is a high-energy consuming sector, have staged a number of protests in recent days, calling for the bill to be passed into law.

The spoiled meat scandal

A number of people have been arrested in Romania following 100 searches conducted by organised crime prosecutors in Bucharest and other counties. The operation aimed at dismantling two organised crime groups specialising in tax evasion, money laundering, marketing spoiled goods and peddling in influence. According to prosecutors, the groups in question purchased meat and eggs from Holland, Poland, Britain and Germany via a number of companies registered in Romania, without paying the VAT. Subsequently, the VAT was added and the meat was sold to the final beneficiary at prices under market value, thus creating a background of unfair competition for the companies that carry out the same type of commercial activities. Another method of tax evasion was that of purchasing goods from other EU countries, and then selling them on paper to dummy companies in Bulgaria, Hungary or Cyprus, although the meat was actually sold in Romania, without registering the sale in any financial document. According to investigators, the damage exceeds 15 million Euros. Hundreds of tons of meat and meat products have been verified, and 19 tons have been removed from stores. Fines totaling some 100 thousand Euros have been given to those involved.

The Vona Case

The Romanian Interior Ministry has submitted to the Romanian President the documentation needed to declare Vona Gabor, the leader of the Hungarian hard-line party Jobbik, persona non grata on Romanian soil. The announcement was made by Prime Minister Victor Ponta, who said that if the president, as head of the country’s Higher Defense Council, endorses it, the decision will be enforced immediately. The Romanian Government made the decision following the meeting held in Targu Mures, central Romania, on Monday, where several members of the Jobbik party started a conflict with the police. The participants chanted slogans for the territorial autonomy of the so-called Szecklers’ Land, an area in Romania with a predominantly Hungarian speaking population. President Traian Basescu has sent a message to the Hungarian politicians, who are now in full election campaign and will pay visits to Romania, that unless they observe this country’s laws and constitution, they will be expelled. In a message posted on a social networking site, Vona Gabor says that Traian Basescu and Victor Ponta have either been misinformed, or they are carrying out an anti-Hungarian policy.

Tourism Fair

Some 300 travel companies are participating in the 31st Tourism Fair, open in Bucharest until Sunday. Tour operators have come to the fair with discounts of up to 50% for holidays in Romania and abroad. A study conducted by a Romanian market research company shows that one Romanian out of five did not go on holiday last year, and the situation is very likely to become worse this year. Therefore, 22% of Romanians did not go on holidays last year, while this year only half of those interviewed have said they plan on taking a vacation. One third have only planned a holiday for the year 2015. The survey was conducted in February on a sample of 1078 people, aged over 18.

Romania has a new government

As of Wednesday, Romania has a new government. President Traian Basescu and his main political opponent, the Social Democrat Prime Minister Victor Ponta, reached an agreement that put an end to a long period of political instability. The head of state green-lighted the ministers proposed by the prime minister. In his turn, Victor Ponta submitted to Parliament an updated governing programme, after the Democratic Union of Ethnic Hungarians in Romania entered the cabinet, following the withdrawal of the National Liberal Party and the break-up of the Social Liberal Union. Previously, the Liberal Leader Crin Antonescu had also resigned his position of Senate Speaker. The government is currently made up of the Social Democratic Party, the Democratic Union of Ethnic Hungarians in Romania, the Conservative Party and the National Union for the Progress of Romania. The ministers were sworn in before President Traian Basescu. Shortly after the swearing-in ceremony, Victor Ponta said:

“I would not want to give false hopes to anyone. We are still on different sides of the barricade and things are unlikely to change before December, when we will hopefully have a different kind of president.”

According to the prime minister, Basescu’s endorsement of the new government was imposed, among other things, by the regional reality. The EU and NATO need a stable, democratic and serious Romania, at a very difficult time, when all eyes are on Ukraine.

Romania and the Ukrainian crisis

Romania will participate with experts in the mission to Ukraine of the Organisation for Security and Cooperation in Europe. Moreover, Romania might take part in negotiations, in an attempt to ease the Russian-Ukrainian tensions, if a mediation team is set up, President Traian Basescu said after Thursday’s emergency summit of the EU heads of state and government. Traian Basescu:

“Romania has over 400,000 Romanian-speaking Ukrainian citizens there, accounting for the second largest minority in Ukraine, after the Russian one. So we are highly interested in the fate of minorities on Ukraine’s territory. This is the first argument. The second argument is that Romania is the EU country located closest to Crimea, only 160 sea miles away. For any of the 400 ships of the Russian fleet in Sevastopol this means a maximum of 10 hours to Romania’s border. Romania is also only 10 kilometres away from another area with an ongoing frozen conflict, the one in Transdniester, the pro-Russian separatist region in Eastern Moldova. “

Romanian Foreign Minister Titus Corlatean will pay a visit to Ukraine on Monday, March 1, to discuss with the Kiev authorities, among other things, the annulment of the law on regional and minority language. Bucharest wants a return to the law recently repealed by the new power in Kiev. The law, adopted in 2012, recognised the languages spoken by ethnic minorities accounting for at least 10% of the population in a particular region as regional languages.

High performances of the Romanian car making industry

In spite of the economic crisis, the sales of the Dacia plant in Romania, held by the French carmaker Renault, remain quite good and in January they reported the most substantial growth in the European Union. In 2013, over 294 thousand Dacia automobiles were registered in the 28 European countries, which is 22.8% more than in 2012. But instead of celebrating the good news, the Dacia employees staged a large-scale protest against the decisions of the Romanian authorities in the field of infrastructure. More specifically, they are disgruntled with the decision to postpone the construction of the Pitesti-Sibiu motorway, which should connect the south to the centre of the country. Trade union leader Dumitru Costin explains: (track) “If we postpone the funding of the Pitesti-Sibiu motorway for 2020, then we have to be prepared for unemployment and redundancies in the Romanian automobile industry. If this is what politicians really want, then they should at least have the courage to admit it.”

Viewed as a priority by the EU, the Pitesti-Sibiu motorway would help Renault by reducing their costs for automobile transport and procurement.

Romanian football in the spotlight

Romania’s football team have played a friendly game this week with Argentina, and although none of the sides scored, Romanian football fans were happy to see Barcelona’s striker, four-time Ballon d’Or winner Lionel Messi in Bucharest. Seen as a “luxury friendly,” the match took place on the same day as the election for president of the Romanian Football Federation. The post was won by the least known of the five candidates, young Razvan Burleanu, who will turn 30 on July 1st. A graduate of the School of Political Sciences, Razvan Burleanu gave up professional sport to complete his education. For the past few years, he has been heading the mini-football federation. The great ex-player Gheorghe Popescu, initially regarded as the most likely to win the election, was sentenced to three years behind bars on Tuesday. In a trial that had been pending for six years, and involved irregularities in football player transfers, seven other Romanian football heavyweights were sentenced for fraud, money laundering and tax evasion.

Romania liberalises its land market

This week president Traian Basescu has promulgated the Law on Agricultural Land, which simplifies the procedures for the sale of farmland to EU citizens and companies. In its EU Accession Treaty, Romania undertook to liberalise its land market by January 1st, 2014, so that EU citizens may purchase farmland without restrictions. With its 14 million hectares of agricultural land, considerably cheaper than in other EU states, Romania is therefore attractive for foreigners interested in buying land.

The ruling Social Liberal Union collapses

Seen as one of the most powerful political coalitions in the past 25 years, the Social Liberal Union has collapsed after holding power for nearly two years. The Union was the overwhelming winner of the 2012 parliamentary elections, with almost 60% of the votes. The National Salvation Front, the ancestor of the Social Democratic Party, continues to hold the all-time record for winning 65% of the votes in the 1990 elections. Interior tensions escalated within the Social Liberal Union three weeks ago, when the Liberals nominated Sibiu Mayor Klaus Iohannis as the new Interior Minister and Deputy Prime Minister in a reshuffled government. After the Social Democrats opposed the move, the Liberals withdrew from the Social Liberal Union, and all Liberal Ministers and State Secretaries tendered their resignations. Prime Minister Victor Ponta is expected to announce the membership of the new government next week. The new cabinet will include members of the Social Democratic Party and its junior partners, the Conservative Party and the National Union for the Progress of Romania. The Social Democrats have also invited the Democratic Union of Ethnic Hungarians in Romania to be part of the new government. Following the break-up of the Social Liberal Union, the former Liberal Prime Minister Calin Popescu Tariceanu withdrew from the National Liberal Party, which he helped build in the 1990s and even headed for a short period. Tariceanu announced he would found the Reformist Liberal Party, also expressing his interest in running in the presidential elections in December.

The government in Bucharest approves the letter of intent agreed with the IMF

The Romanian Government in Bucharest has approved a letter of intent agreed upon with the International Monetary Fund, which accompanies the stand-by agreement signed by Romania with this institution last autumn. The letter was approved by Victor Ponta’s temporary cabinet made up of only 9 ministers, following the split with the Liberal Party. The document has been forwarded to president Traian Basescu. The latter previously refused to sign its first draft, which provided for an increase in the excise duty on fuel. The current draft makes no such mention, nor does it include any facilities for the repayment of bank loans by individual persons, which the president also opposed. Romania’s agreement with the International Monetary Fund is valid for a period of two years and is worth 2 billion euros.

The National Anti-Corruption Directorate makes public its 2013 activity report

The National Anti-Corruption Directorate indicted over 1,000 people last year, including ministers, MPs, heads of county councils, mayors, CEOs of national companies and other public institutions. The total damage was estimated at around 250 million euros. This, in brief, is the conclusion of the activity report of the National Anti-Corruption Directorate, as presented by its chief, Laura Codruta Kovesi. She also denounced the constant public pressure and attacks targeting the judicial process and anti-corruption prosecutors. Some of the high-ranking officials recently investigated by the Directorate include the former Minister Delegate for Romanians Abroad Cristian David, the former Finance Minister Daniel Chitoiu and the president of the Financial Surveillance Authority, Dan Radu Rusanu. Institutional corruption continued to be a widespread problem in Romania in 2013, affecting all sectors of society, the latest report of the US State Department also shows. According to this document, the justice system took action to investigate and pass sentences on officials found guilty of abuse of office. However, the Romanian authorities have repeatedly delayed legal procedures in cases of alleged police abuse, while the officials in question were often acquitted of all criminal charges.

The citizens of the neighbouring Republic of Moldova can travel to the Schengen area without visas

The Romanian Foreign Ministry has hailed the historic vote by the European Parliament, which approved, by a large majority, the lifting of visas for the citizens of the Republic of Moldova (a former Soviet state with a predominantly Romanian speaking population). Thus, Moldova becomes the first Eastern Partnership member state to benefit from the liberalisation of the visa regime. The measure will allow Moldovan citizens who own biometric passports to travel freely to the Schengen area for 90 days, during a 6-month period. The decision might take effect as of this summer, after it is endorsed by the European Council. The liberalisation of the visa regime was one of the priorities of the pro-European coalitions that have come to power in Moldova after the overthrow of the communists. Last year, the Republic of Moldova initialled its Association Agreement with the European Union, that it hopes to sign this year.

The Ukrainian Parliament repeals minority language law

Following the regime change in Kiev, the Ukrainian Parliament has repealed a law under which the language of an ethnic minority can be used in an official context, if the respective minority exceeds 10% of the population living in a region. The provisions of this law also benefited the ethnic Romanians living in Chernivtsi and the Transcarpathian region, in the west. The Romanian Foreign Ministry has warned that Ukraine should protect the rights of its ethnic minorities, if it wants to remain committed to its Europeans path. The Romanian Foreign Ministry also says it will monitor the situation of the ethnic Romanian community in Ukraine and the way its rights are observed and promoted. Romania’s Prime Minister Victor Ponta has expressed hope the law in question will be replaced by a European regulation as soon as possible, adding that the observance of the rights of the Romanian ethnic minority in Ukraine is important for the authorities in Bucharest.

Tensions in the ruling Social Liberal Union in Romania

Few people still believe in the future of the Social Liberal Union, the center-left alliance ruling Romania at present, which is being torn by a deepening crisis. The Union’s leaders, the Social Democratic PM Victor Ponta and the Senate speaker, Liberal leader Crin Antonescu will try, next week, to save the coalition and work out a solution to the political deadlock the alliance has faced over the past 2 weeks. The deep-going tension consuming the alliance has been triggered by disagreements over a new structure of the Ponta government. The Liberals accuse the Social Democrats that they want to give up the legitimate Social Liberal Union government, which won the elections in 2012. The Liberal leader Crin Antonescu claims that Victor Ponta is trying to build a new government, dominated by the Social Democratic Union, an alliance recently established by the Social Democratic Party with other parties in power, namely the Conservative Party and the National Union for the Progress of Romania. However PM Ponta says he wants to keep the Social Liberal Union in place, but he believes that he has already agreed with enough suggestions made by the Liberals.

Sanctions against the regime in Kiev

The explosive situation in Ukraine is a matter of concern for the international community. Gathered in Brussels, the EU foreign ministers decided to pass sanctions against the Ukrainian regime. They imposed a visa ban on the Ukrainian officials and froze their foreign assets. Romania, represented at the meeting by its foreign minister, Titus Corlatean, firmly condemned the violence in Ukraine, which left behind dead and wounded among both protesters and riot police. In turn, the Romanian President, Traian Basescu, has once again called on his Ukrainian counterpart, Viktor Ianukovych, not to use the army to repress street protests. He said that instability in Ukraine could affect the whole of Europe.

Romanian deputies pass the Farm Land Law

After admitting the suggestions made by the Romanian President Traian Basescu, the Romanian deputies have this week adopted the Farm Land Law, which stipulates that individuals and legal entities from Europe can buy farmland in Romania, on mutual terms. Agriculture minister, Daniel Constantin, believes that the law simplifies the process of selling land outside towns and cities, the winners of this move being those who want to undertake farming activities. One of the main changes to the law is that people who want to sell farmland outside towns have to notify the town hall and then wait for the release of a list including the individuals who hold a pre-emption right for purchase.

The biggest insurance company in Romania, ASTRA, is placed under special administration

The Financial Surveillance Authority in Romania, ASF, has put under special administration the largest insurance company on the Romanian market- ASTRA. The measure was prompted by the many irregularities in managing funds, discovered during a routine checking. One of the irregularities found by the ASF is that, in case of a big earthquake, ASTRA will not cover policy owners properly, because the company undervalued the damages it was supposed to pay. The situation is very serious, considering that ASTRA has 3 million customers, and that 2 millions of them signed house insurance policies.

The list of subsidized medicines will come into effect on April 1st alongside the basic medical services package

The Romanian Healthcare Ministry has submitted for public debate the new list of subsidized and free of charge medicines. After 6 years without any modification, the list now includes an additional number of 130 new medicines or new indications for treatment. The version to be enforced as of April 1st provides access to new medicines, which are also cheaper. The list of subsidized medicines will come into force together with the basic medical services package, benefiting health insurance owners. A minimal services package will be granted to those without health insurance. The latter package includes such services as emergency assistance, monitoring and identifying certain diseases, monitoring of women during and after pregnancy, family planning, prevention services and support activities.

Investors in Romania, discontent with the political situation

The political situation in Romania affects the stability of the economic environment, and that entails bigger taxes and smaller salaries for the population and creates difficulties in attracting foreign investors. The statement belongs to the secretary general of the Coalition for Romania’s Development, Steven van Groningen. He has pointed out that Romania needs sectoral strategies, suggesting that legislative changes should be made as part of these strategies, followed by an impact analysis and a reasonable period of implementation of 6 up to 12 months. The coalition, gathering 4 of the most important investors’ organizations in Romania, is made up of the American Chamber of Commerce in Romania, the Council of Foreign Investors, the Association of Businesspeople in Romania and the Romanian Business Leaders.

Talks within the Social Liberal Union

Social Liberal leaders have reached a deadlock in negotiations with respect to the new structure of the Government. The talks between the Liberals, who want to bring in a couple of new names in the Government, and the Social Democrats, question the very future of the Social Liberal Union. Whereas the Liberals’ nominations for the positions of Economy, Health and Finance Ministers met no opposition during negotiations, the same cannot be said of the Interior Minister and Deputy Prime Minister offices, now vacant. The bone of contention is the Liberal Klaus Iohannis, the Mayor of Sibiu, whom the Liberals want to hold both mandates at the same time. The Social Democrats, alongside the National Union for the Progress of Romania and the Conservative Party, seem to agree to the Liberals’ request, although they want the number of deputy prime minister positions to be increased from three to four, one for each party in the ruling coalition. Pointing to the weak electoral performance of the Conservative Party, which throughout its history has struggled to meet the election threshold, the Liberals are firmly against a deputy PM office assigned to the Conservatives. Dissentions over the future Government structure and the emergence of the Social Democratic Union, made up of the Social Democratic Party, the Conservative Party and the National Union for the Progress of Romania have fuelled rumours according to which the break-up of the Social Liberal Union is imminent. Political pundits argue the ever-growing ambitions of Social Democrats and Liberals alike put the Union at risk.

The Government plans to introduce new economic measures

The National Bank of Romania has denied the accusation made by President Traian Basescu, according to whom the central bank interfered with the rescheduling of loan payments for people with incomes below the average net salary. In a public announcement, the National Bank said it had made no monetary or banking policy decision with respect to rescheduling loans. President Basescu has termed the measure as unfair for those people who repay their loans on time. Prime Minister Victor Ponta has announced the Government will adopt an emergency ordinance enabling people with monthly incomes of up to 350 euros to negotiate with the banks the reduction of their monthly loan payments by a half, over a period of two years. Economic pundits say the measure would benefit as many as 1 million Romanians. This is not the only measure the Ponta Cabinet is preparing for people with low incomes. If the current flat tax system is replaced with a progressive taxation scheme, low incomes will be subject to taxes ranging from 8 to 12%, instead of 16% at present. The Government claims this is a growth-oriented measure aimed at stimulating the private sector and making more jobs available.

The Constitutional Court rules against the Decentralization Law

The Constitutional Court of Romania has explained its ruling last month against the decentralization law. The Court claims the law contains ambiguous provisions, certain legislative flaws and conflicting regulations. Moreover, Court magistrates argue, the deadlines provided by the law are too short, and there is a lack of impact studies or cost standards. In November 2013 the Government sought Parliament’s vote of confidence over the decentralization law, harshly criticized by the opposition in its current form. The law mainly targeted such areas as agriculture, health, the environment, culture, youth and sports. Decentralization is seen as a prerequisite stage for regionalization, the most ambitious project in post-communist Romania.

US — Romanian cooperation

The US takes a keen interest in Romania’s success as a democratic partner with a strong rule of law, and wants the two countries to hold joint global responsibilities and continue their strategic partnership. The statement belongs to US vice-president Joe Biden and was made during a telephone conversation with president Traian Basescu. On that occasion, the US official expressed his gratitude for Romania’s contribution to NATO operations. As a token of good bilateral relations, Romania will host a US military base of operations, including facilities part of the US anti-ballistic shield in Europe. Although relations between Bucharest and Washington seem closer than ever under the Strategic Partnership signed in the late 1990s, there is still room for improvement. US investment in Romania is still insufficient, while Romanians still need to get a visa before traveling to the United States.

The IMF, European Commission and World Bank representatives ended their assessment mission in Romania

Romania has complied with 4 of the 5 commitments it made to the IMF since the latest assessment of the precautionary agreement signed last year, head of the IMF mission, Andrea Schaechter has said at the end of the delegation’s recent visit to Romania. A major problem left unsolved though, is the big delay in the payment of the state companies’ debts to suppliers. A solution was found, however, to one of the issues in dispute between President Traian Basescu and the government headed by Victor Ponta, namely, the one related to the increase in the fuel excise duty by 7 eurocents.

The measure is not laid down in the letter of intent to the IMF, but it will be applied as from April 1st. The Prime Minister also announced two decisions with an impact on the economy. The first measure targets people with bank loans. So, pensioners or employees with a maximum monthly income of 1,610 lei, about 360 Euros, and with overdue debts no longer than 90 days, will have their monthly instalment halved for a two-year period. The second measure will be applied in the private sector as from July 1st. In this case, the state will pay half of the total salaries to the companies creating at least 20 jobs.

Election regulations in Romania have been changed

In 2014 the government in Bucharest is preparing for EP elections on May 25th and Romanian presidential elections on November 2nd and 16th. The government has issued an emergency ordinance to make the Election Registry operational and change the law regulating the elections for the European Parliament. The new order issued by the government stipulates that the permanent election lists will be drawn up by mayors based on this registry, which will be used for all types of elections.

The Election Registry, constantly updated by the local authorities, contains the identity data of all Romanian citizens who have the right to vote. Voters may check their names in the registry and also request to be included on the list providing their address of residence. This also applies to Romanian citizens residing abroad or who are on a temporary visit abroad. They may request for their names to be included in the registry along with their latest address.

A final vote was cast on the new draft Constitution

Members of the Parliament Committee in charge of revising Romania’s Constitution cast their final vote on the draft of this fundamental law. The most important amendment is the separation of the prerogatives of the two Parliament Chambers. So, the Chamber of Deputies will mainly have legislative prerogatives, whereas the Senate will be in charge of controlling public institutions and appointing people in leading positions. Major decisions, such as those concerning the national security strategy, will be made by the two chambers assembled in plenary sessions. The MPs will no longer be tried by the Higher Court of Cassation and Justice but by regular courts.

Under the new draft Constitution, the country’s president or 250 thousand eligible voters will no longer need Parliament approval to stage a referendum. Members of the Parliament Committee in charge of revising the Constitution have equally relinquished an article, which allowed the prosecutors to start a 48 hour phone-tapping procedure without a warrant issued by a judge.

The plane crash inquiry continues

The Romanian Parliament has initiated the procedure for passing a new law to regulate the activity of the Special Telecommunications Service, STS. The Government has green lighted a draft law under which the Special Telecommunications Service, currently subordinated to the head of state, should become a specialised department of the interior ministry. The move has been initiated after the Government criticised the manner in which the STS responded during the rescue operations in the Apuseni Mountains. Two people were killed and five injured when a small plane crashed on the 20th of January in the Apuseni Mountains. A Senate’s inquiry committee is also checking the way in which state institutions reacted in this case. The delay with which the relevant state institutions responded has been harshly criticised by civil society, the media and politicians alike.

The Romanian President’s visit to Turkey

Romania’s President Traian Basescu paid a two-day official visit to Turkey, where he reiterated, during talks with his counterpart Abdullah Gul, Bucharest’s support for the country’s accession to the European Union. President Basescu voiced hope that two-way trade exchanges, which are currently worth 5 billion dollars, would double. The two heads of state also analysed the possibility of having F-16 fighter maintenance technicians from Romania trained in Turkey. The F-16 fighters will soon become part of Romania’s Air Force fleet.

Romania reacts to an incident that occurred at the only Romanian high-school in Transdniester

Romania faces harsh winter weather.This week Romania has been hit by powerful snowstorms and frost, which made the authorities announce a state of alert in several counties in the east and southeast of the country. Additional military and civilian forces have been sent to those regions to help solve the problems caused by the bad weather. According to the Inspectorate for Emergency Situations hundreds of villages and communes are still affected by heavy snowfalls and strong winds. Highways and several national roads have been temporarily closed and classes have been suspended for one week in Bucharest and several counties in the southeast. Speed restrictions have been imposed on several railways, hundreds of trains have been cancelled and others reported big delays.

Two former ministers sentenced on corruption charges. The former transport minister, the Liberal Relu Fenechiu, has received a final sentence this past week from the High Court of Cassation and Justice. He was sentenced to 5 years in prison in a corruption case. Fenechiu is accused of having sold outdated, second-hand transformers and circuit breakers made in the 1970s to state-run energy companies, at the price of new equipment. The total damage calculated by prosecutors exceeds 1.7 million euros. A 5-year sentence was also passed in a case involving Monica Iacob Ridzi, a former minister of Youth and Sports between 2008-2009 in the Liberal Democratic government led by Emil Boc. She was found guilty of abuse of office related to events organized in 2009 on the National Youth Day. She illegally awarded service contracts to several private companies. After the start of the investigation, Ridzi is said to have tried to delete relevant information from ministry computers. The ruling is not final and can be challenged in court.

Changes in the Romanian judiciary. The Romanian President, Traian Basescu, has called on PM Victor Ponta to pass an emergency ordinance to change the new Code of Criminal Procedure scheduled to take effect on February 1st alongside the Criminal Code. According to the President, certain provisions, such as the one allowing phone tapping in the case of suspected criminals only after they have been notified, are likely to create malfunctions in the judiciary. In reply, the PM called on the President to assume responsibility publicly for having promulgated the aforementioned codes, and announced that the justice minister would present the government with proposals for the modification of the codes, to be discussed next week. The National Anti-Corruption Directorate and the Higher Council of Magistracy have repeatedly asked for the modification of the Criminal and Criminal Procedure Codes. The two codes were endorsed in 2009 after the Liberal Democratic government headed by Emil Boc asked for Parliament’s vote of confidence on the new legislation.

International lenders continue their assessment visit to Bucharest.The joint IMF, European Commission and World Bank delegation is on a visit to Bucharest to assess the stand-by agreement concluded with Romania last autumn. They have held talks with PM Ponta and other Romanian officials as well as with trade union representatives. The talks, to end on February 5th, focus on economic reform priorities and the legislative framework with impact on the economy. The PM announced that the government could not give up the 7-eurocent fuel excise increase. He conveyed his opinion to President Basescu who opposes the additional taxes on fuels. The introduction of the new excise could be postponed by another 3 months but only for diesel oil, PM Ponta pointed out.

The investigation into the causes of the plane crash in the Apuseni Mountains continues. The investigation into the causes of the plane crash in the Apuseni Mountains of January 20th 2014 continues. The plane, which was carrying a medical team, was forced to land in a bumpy mountain area, at more than 1,400 meters altitude. All the 7 passengers had survived the crash but two of them died of cold before the rescue teams found them after more than 6 hours. Following criticism against his failure to properly coordinate the rescue operation, interior minister Radu Stroe has resigned. The Liberal minister was also blamed for the undiplomatic press statements he made soon after the accident, for which he subsequently apologized publicly.

The situation in Ukraine continues to be tense. The Romanian Foreign Ministry has said it is closely following the developments in Ukraine and monitoring the situation of the Romanian community in the west of that country. For the moment no risk situations have been identified for the Romanians in Ukraine. The Romanian Foreign Ministry is pleading for dialogue as a way of solving the crisis, underlining that it will remain actively involved in the debates regarding Ukraine held within the European and Euro Atlantic institutions. Ukraine has been faced with an unprecedented political crisis after the Yanukovych regime refused, in November, to sign the association and free trade agreements with the EU, choosing instead to come closer to Russia. The EU foreign policy chief, Catherine Ashton, has called for halting violence and the acts of intimidation, pleading for dialogue between the power and opposition.

The European Commission has released its report on the Romanian judiciary

Early this week the European Commission has released its annual report on the Romanian justice system, as part of the Cooperation and Verification Mechanism. This year’s report was awaited with special interest, as some EU countries make Romania’s accession to Schengen conditional on the country’s progress in this respect. According to the EC report, Romania has made progress in many areas, and the key institutions in the justice system were found to work properly in spite of difficult circumstances. The Commission made a number of recommendations focusing on the judicial reform and fight against corruption, while also expressing some concern with respect to the independence of the judiciary. The report is not explicitly defined as overall positive or negative. Instead, its conclusions must be taken as such: some progress has been made in certain areas, and steps back were reported in others. According to Bucharest, Romania’s Schengen accession should not be tied to the conclusions of this report, but rather to technical criteria, which the country fully meets.

An airplane crash has political consequences

Two people dead, five injured, the Interior Minister resigning, second-rank government officials dismissed, and public outrage — this is the summary of the consequences of an airplane crash that took place Monday in western Romania. A small plane carrying medical personnel was forced to land in a forested isolated place in the Apuseni Mountains. The pilot and a young intern died, the co-pilot and four doctors were injured. Search operations started late and took seven hours, and the one who found the victims was not a professional rescuer, but a local. In the wake of the tragedy, Prime Minister Victor Ponta said this failure must lead to personal responsibility taking, to improved emergency response procedures and to thorough reflection on how public money is spent.

An international financial assessment mission is in Romania A joint mission of the IMF, European Commission and World Bank is in Bucharest until February the 5th. The talks with Romanian authorities focus on recent economic developments, the restructuring of state-owned companies, the better prioritizing and monitoring of public investments, the control of arrears and measures to offset the drop in public budget revenues. In addition, the IMF seeks to make sure that the budget deficit remains below 2.2% of the GDP, as stipulated in the stand-by loan agreement signed with Romania in the autumn of 2013. The international financial mission was originally scheduled for December 2013, but it was postponed after President Traian Basescu refused to sign the letter of intent to the IMF. The head of state was against an increase of the excise on fuels, and he has reiterated his views at a meeting with the IMF experts. The excise increase was postponed to April the 1st.

Poverty and labor force in Europe

Five years after hitting Europe, the economic crisis is far from over. A European Commission report for 2013 shows that unemployment, which in some EU countries has reached record levels, is a constant concern for the Brussels officials. It’s not just creating jobs that is important, says commissioner for social affairs Laszlo Andor, but also the quality of these jobs. It all depends on the type of job, the payment level, the number of working hours and the family situation. In Romania’s case, the European Commission report shows that the risk of poverty and social exclusion in the below-18 age category saw the highest increase, to 52% in 2012 compared to 2011. The unemployment rate, which has not reached alarming levels, dropped from 7.4 to 7%. Although most Romanians do have a job, they are poorly paid.

The Romanian President visits Israel and the Palestinian territories

The plea for peace in the Middle East was the main topic of the talks that Romanian President Traian Basescu has held this week with leaders in Tel Aviv and Ramallah and also with Jews originating from Romania or Romanian citizens living in the Palestinian territories. During his visit to Israel and the Palestinian territories, President Basescu told both his Israeli counterpart Shimon Peres and the Palestinian leader Mahmoud Abbas that Romania unreservedly supported the peace initiative of the US Secretary of State John Kerry. The Romanian President reiterated that peace is impossible without Israel having its security guaranteed and that Palestinians have the right to a state of their own. Traian Basescu did not hide the fact that he is interested in a completion of the peace negotiations also because both Israel and the Palestinian territories are home to many Romanian citizens, for whose lives the Bucharest authorities are directly responsible.

The 155 anniversary of the unification of the Romanian Principalities

The unification of the Romanian principalities of Moldavia and Wallachia was marked this year as well, 155 years after this historic moment. On January 24th 1859 Alexandru Ioan Cuza was elected ruler in both principalities and thanks to the radical reforms he promoted he laid the institutional foundation of modern Romania. In 1918 the process of establishing the Romanian nation state was completed by the Unification of the historical provinces with a majority Romania –speaking population with Romania. These provinces had been, for a long time, under the rule of the neighboring multinational empires.