The main reason for this extension is the drought that affected hydropower production, as Hidroelectrica was one of the producers that contributed to the electricity basket and was unable to meet its contractual obligations.
“The electricity export contract signed with supplier Rudnap had July 31, 2011 as its end date, but was extended so that the participants to the power basket could fill their contractual obligations, which they had not met by that date,” Electrica officials say. Electrica was the broker of the contract and collected and sold the electricity provided by producers to Rudnap.
“Hidroelectrica was unable to provide the amount of power stipulated in the contract, so the contract was made more flexible by an extension of the deadline until the end of the year,” said Ioan Silvas, Electrica supply manager.
He added the amount of power to be supplied by Hidroelectrica did not increase, just the deadline was extended.
Hidroelectrica was unable to meet is contractual quota because of the drought, which causes it to operate at half the capacity of last year.
The export contract with Rudnap was signed last year when, as a result of the very good year for hydropower generation, thermoelectric power plants running on coal had a difficult time. The Economy Ministry run by Adriean Videanu at the time came up with a way to help them, by organizing a massive export of electricity supplied by the three thermoelectric power plants in Oltenia (southern Romania), Hidroelectrica and Nuclearelectrica.
(English version by Loredana Fratila-Cristescu; Editing by Radu Bostan)