State-owned companies subordinated to Department for Energy, compelled to draw up development strategies for at least 10 years


The state-owned companies subordinated to the Department for Energy will be compelled to draw up development strategies for at least 10 years, but also a transparent system for granting sponsorship, reads an Order issued by Minister-Delegate for Energy, Razvan Nicolescu.

‘Minister-Delegate for Energy has issued a minister order to strengthen the rules of corporate governance in energy state-owned companies, order that the Privatisation and Management of State Ownership in Energy General Department must implement in the near future. The Order aims at introducing the obligation for the existence of a development strategy for each company subordinated to the Department, valid for a time horizon of minimum ten years, a better monitoring of the system for public acquisitions existing in state-held energy companies, as well as making transparent the way in which sponsorship is granted,’ reads a press release by the Department for Energy.

Thus, acquisition contracts that exceed the value of 100,000 euros (for acquisitions of services) and 500,000 euros (for goods and works) respectively, will be published quarterly on the websites of energy state-owned companies. Moreover, in January of each year, the relevant companies will publish in an annual report all sponsorship made in the previous year.

According to Minister Razvan Nicolescu, it is ‘necessary to increase transparency for everything that the public acquisitions system and the system of sponsorship in state-held companies in the energy sector means.’

‘Additionally, we want each company to have a strategic thinking, on longer term, which would exceed the duration of current administrators’ term. All these measures are a continuation of the efforts to improve corporate governance, transparency and making efficient state-owned companies subordinated to the Department for Energy,’ said Nicolescu.