The draft law also stipulates the gradual elimination of regulatory fees for energy and natural gas. The process is due to end by late 2012 for industrial consumers, while for home users it will start out next year, to be completed by 2017. Social fees will be gradually eliminated from the system, while disadvantaged consumers will enjoy certain benefits depending on age, health records or income-related criteria. Another major modification consists in the end user’s ability to change their electricity supplier if they should find its services unsatisfactory. Under the new law, electricity suppliers are compelled to comply with the client’s request within a total of three weeks since the application is filed.

The head of the National Regulatory Authority in the Field of Energy, Iuliu Plaveti, gave us more details:

“By using a methodology that allows clients to change their electricity suppliers, we intend to observe the three-week interval, basically putting increased pressure on suppliers, as they will know clients can switch suppliers any time they want, while on the other hand it boosts market competitiveness. Moreover, we will start working on standard offer formats, so that each user might easily compare electricity offers”.

In order to rule out major inconsistencies between demand and supply or obvious malfunctions on the electricity market, the National Authority in the Field of Energy has the possibility to set a ceiling on price rises or freeze prices over a six-month period. The new law sets up the National Authority as self-governing, operating as an administrative authority with its own legal personality and budget. The Social-Liberal opposition has condemned the government-backed draft law, arguing a deregulation would lead to an increase in energy and natural gas prices, exceeding the population’s purchasing power, and that people will no longer afford to pay their electricity bills.

The Romanian government, in return, wants Parliament to adopt the draft law under emergency proceedings, considering the one-year delay since the European Commission and the International Monetary Fund called for its implementation, as well as in order to avoid attracting penalties from Brussels.