14.3 C
Bucharest
September 19, 2019
COMPANIES ECONOMY ENERGY

Energy Minister: Cuts in distribution costs, VAT to cause 8pct lower electricity bills

Electricity bills will decrease by 8pct on average in January, after cuts will be operated on VAT and distribution tariffs, Minister of Energy Victor Grigorescu stated on Tuesday.
‘We are monitoring the effects of the VAT cut, including on the electricity market, where, after cuts operated by the regulator, there are estimates for an 8pct decrease on average,’ Grigorescu told broadcaster Antena 3.

On January 1, 2016, the VAT was cut from 24pct to 20pct.

Also starting January 1, 2016, the National Energy Regulatory Authority (ANRE) cut by 12pct on average the electricity distribution tariffs, which represent 40pct of the final cost.
On the other hand, the share of green certificates in the bill increased from 35 lei/MWh to 43 lei/MWh, resulting in a 3.5pct cut in the final price. Had the share of green certificates remained unchanged, ANRE would have operated a 5.5pct cut.

The share of green certificates in the electricity bill of household consumers increased after several large energy consumers were exempt from paying a share of green certificates, with the cost being passed on to consumers. The list of companies includes Alro Slatina, Arcelor Mittal Galati, Lafarge, Carpat Cement, Saint-Gobain and Azomures.


Domestic electricity consumption up 3.2pct nine months into 2015

The national electricity consumption from January to September 2015 reached 38.2 TWh, up by 3.2pct compared to the same period of last year, according to a report by the National Energy Regulatory Authority (ANRE).

The household consumption in regulated regime decreased by 42.3pct to 1.6 TWh, but that in competitive regime increased by 11.9pct.
The amount of electricity produced in the said period was 1.8pct higher by 46 TWh than that in the same period in 2014. Imports increased by 0.2 TWh to 2.7 TWh in, whilst exports rose by 40pct to 7.5 TWh.

Hidroelectrica provided the largest amount of electricity, 28.9pct of the total energy generated in the said period respectively. Oltenia Energy Complex produced 22.9pct, Nuclarelectrica – 18.2pct, OMV Petrom – 4.7 pct, Hunedoara Energy Complex – 2.9pct, Electrocentrale Bucharest – 2.8pct and Romgaz – 2.6pct.

Related posts

Dana GRUIA DUFAUT: To be a credible voice in Europe, Romania must get rid of its inferiority complex, fight corruption, draft projects, develop partnerships

Nine O' Clock

2016, a good year for UPC Romania

Black Sea natural gas deposits, estimated at 130 bln cubic metres

Nine O' Clock