Romania's Senate passes energy price cap extension

Business Forum
Price caps on electricity and natural gas will remain in place under the same conditions as at present, from the start of April to the end of June 2025 for electricity and to the end of March 2026 for natural gas, following draft legislation passed by the Senate on Monday.

The bill was adopted with 71 votes in favour, three against, and 47 abstentions. The voted bill will replace the current price caps that will expire in April.

This means the three maximum price caps for electricity will be maintained at RON /kWh, RON 0.80/kWh and RON 1.3/kWh, including VAT, depending on consumption, and at RON 0.31 and RON 0.37/kWh, including VAT, for natural gas.

An amendment to the bill stipulates that "in cases where the Republic of Moldova cannot secure its national electricity consumption through its own production, electricity producers are obliged to conclude bilateral contracts, within the limit of available quantities, with electricity suppliers designated by the Government of the Republic of Moldova for this purpose."

USR Senator Violeta Alexandru (opposition) stated that the scheme "caps some costs, some prices that are high anyway from the gate of the state energy producers."

In contrast, PSD Senator Daniel Zamfir (ruling coalition) argued that the capping mechanism protects citizens from the "fluctuation" of energy prices, according to Agerpres.

Romania's energy price capping scheme has been in effect since April 2022 in a move designed to protect Romanian households from spiraling costs due to the energy crisis triggered by Russia's invasion of Ukraine. 

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