The protocol resolved issues regarding the payment of the third tranche of severance to personnel laid off in 2011, the personnel deficit created by departures for retirement in 2012, and created the legal framework to set the delivery price for coal back in relation to the company’s production costs, says a press release from the Economy Ministry, the mining company’s shareholder.
CNH supplies coal to the Mintia and Paroseni thermal power plants, which cover almost 6% of the country’s energy consumption. On Monday, CNH ceased deliveries, saying the prices paid by the two plants are too low and render the company unable to pay its 8,800 employees.
The protocol ensures that coal deliveries to the two power plants will resume without interruptions, says the press release.
Mintia and Paroseni, along with CNH’s profitable mines, will be merged into a new company, called the Hunedoara Energy Complex. As per the Government’s commitments to the International Monetary Fund, this new company will be privatized this year.
CNH’s debts to the state budget exceed four billion lei (over EUR920 million). (EUR1=RON4.3497)