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The country’s largest energy consumer, Alro Slatina, benefited from the payment of approximately 243 million lei, after the Government approved, at the end of May, an Emergency Ordinance on a state aid scheme for large energy consumers. Energy.
“Companies operating in Romania in sectors that face significant electricity costs and are particularly exposed to international competition have started to receive the help they need, after the Romanian government approved an Emergency Ordinance at the end of May regarding a state aid scheme for large energy consumers ”, reported the Ministry of Economy, Energy and Business Environment, writes news.ro.
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Thus, the first major industrial consumer of high energy consumption to submit its file under this state aid scheme, Alro Slatina, benefited from the payment of approximately 243 million lei.
“We promised during the emergency that we would do everything possible to help and support the Romanian industry to remain competitive, both in the context of the coronavirus pandemic and in the complicated context of an increasingly demanding global market.” Today we can see the fruits of the measures taken by the Romanian Government and the promise we made is beginning to be fulfilled. The first large energy-intensive industrial consumer has already benefited from the payment of about 243 million lei, and in the next period the files of the next large consumers will be resolved and paid. The ordinance that we passed in May allows the support of 15 branches of Romanian industry. We are talking about producers who have more than 100,000 employees directly and horizontally in the economy. We managed to avoid the enormous risk of relocation and we managed to recover, for the first time in the last 10 years, the competitiveness of the Romanian industry. We can say, without exaggeration, that we saved the Romanian industry, especially after the measures taken in recent years led to an increase in the price of electricity, thus putting the jobs of these employees at risk “, said Virgil Popescu, Minister of Economy, Energy and Business Environment.
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In Romania, a state aid scheme is also applied in the form of direct subsidies for energy intensive consumers to offset the costs of gas emissions, transferred to the price of electricity, according to the model applied in other Member States.
Following compliance with the notification procedure and the analysis by the Commission of the measure approved by the Government Emergency Ordinance No. 81/2019, the state aid scheme was authorized by the community forum on May 8, 2020. At the same time, following the authorization of the state aid scheme by the European Commission, it was necessary to modify GEO no. 81/2019, so its provisions are in accordance with European Commission Decision no. C (2020) 3146 final of May 8, 2020.
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The measures proposed by the Emergency Ordinance approved in May make it possible to maintain the competitiveness of Romanian companies in relation to other competitors in Europe and abroad. The measure thus contributes to maintaining the competitiveness of energy-intensive products and allows companies to remain competitive both in relation to other competitors outside the European area, which have not established an ETS marketing scheme, and in relation to other competitors in the Member States of the European Union. which have already granted such financial measures to large energy consumers.
The scheme also helps to prevent the negative social effect caused by the restriction of industrial activity due to the loss of competitiveness, following the increase in electricity prices, that is, maintaining the approximately 200,000 direct and indirect jobs in the affected industries.
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At the same time, the risk of relocation is eliminated with an immediate effect on maintaining employment, limiting unemployment, maintaining highly skilled labor in the respective industrial sectors.
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