Urgent measures required by energy federations
A possible reduction of VAT to energy is an equitable measure, with the potential to mitigate the effects of market volatility, and Romania must urgently adopt several concrete and equitable measures to combat energy poverty, considers the Federation of Energy Utility Companies (Acue) and Energy Federation (FPE).
‘The proposal recently launched by energy authorities on energy reduction is a quick and equitable measure, with the potential to mitigate the effects of market volatility. Its adoption would contribute to the classification of Romania in the policy lines promoted at European level and we consider that it would be one of the desirable acts for the protection of all consumers. In fact, in February 2025, the European Commission presented a plan to reduce energy costs in the EU, which also includes the recommendation for Member States to reduce national electricity taxes to support consumers and economy. The measure was applied by most European states’, it is shown in a common statement of the two organizations.
The document draws attention to the fact that Romania must urgently adopt several concrete and equitable measures to combat energy poverty, reduce pressure on the public budget and use the resources available for vulnerable consumers. The current interventions through the generalized capping of the electricity and natural gas prices have proven ineffective, expensive and distortion generators in the functioning of the energy market, emphasizes Acue and FPE.
According to them, from the package of measures should not be lacking the correct definition of the vulnerable consumer that is not properly updated and does not sufficiently reflect the criteria imposed by the European Commission. Identification and support tools are not effectively implemented, and coherent and interconnected databases between institutions (ANAF, ANRE, City Hall, Ministries) are missing.
‘In the context of discussions about insufficient budgetary resources, we point out that Romania loses non -reimbursable European funds due to administrative incapacity to define and correctly identify vulnerable consumers of electricity and natural gas. The European Commission has issued clear warnings that, without a clear framework, the amounts allocated through numerous programs will not be settled ‘, the statement said.
The document recalls, at the same time, that Romania requested around 1.4 billion euros through Repowereu, part of the funds in the Energy Component of PNRR (for example subsidies for energy efficiency at the level of households), which are conditioned by the implementation of the protection of vulnerable consumers.
The European Social Fund provides financial support to support vulnerable households, vulnerable micro -enterprises and vulnerable transport users. Romania can benefit from an allocation between 5.05 and a maximum of 6.01 billion euros, starting with 2026, if it finalizes the social plan for the climate (including establishing the number of households and vulnerable micro -enterprises) until June 30, 2025, the statement states.
‘The national budget is already facing major pressure. Without urgent reforms and targeted policies, Romania risks losing access to important European funds and aggravating the imbalances in the energy sector ‘, warns the two federations.
Acue is a representative federation at the level of the activity of electricity, oil, gas and energy mining, representing the interests of important companies in the field of production, distribution, provision of electricity and natural gas and services related to these activities. Acue represents 23 companies in the energy sector, which adds over 25,000 employees and an annual turnover of over 5.5 billion euros.
The Energy Federation, founded in 1991, represents 95% of the oil and gas industry of Romania.
