Dumitrascu told 2014 ZF Power Summit that Hidroelectrica currently has to invest RON700 million in hydro-technical works that would lead to the production of an insignificant quantity of energy, besides previous investments of over RON800 million.
The official added that Hidroelectrica representatives Thursday will have talks to the companies selected to broker the power producer’s listing, and their contracts will be extended until Hidroelectrica exist insolvency.
Dumitrascu also said that, following talks with the lawyers, the Economy Ministry might file extraordinary appeal for Hidroelectrica to exit insolvency.
Tuesday, Hidrolectrica was placed back under reorganization procedure after the Bucharest Appellate Court cancelled a court decision allowing Hidroelectrica to complete a 12-month insolvency process.
Insolvency company Euro Insol has been reinstated as judicial administrator of Hidroelectrica after the latter was court-ordered into re-entering reorganization procedure.
Additionally, the appellate court has cancelled and sent back to the syndic judge for retrial two other cases. The first case was filed by Hidroelectrica against a decision through which the syndic judge admitted the claim of Termoelectrica regarding a receivable, while the second one was filed by Elsid Titu against a decision of the syndic judge through which he did not admit a claim worth around 13 million lei (EUR2.87 million) following the application of a force majeure clause in 2011.
Hidroelectrica, Romania’s largest power producer, underwent restructuring between June 2012 and June 2013 after it sold electricity outside the energy exchange for less than market prices.
Hidrolectrica runs units with a total installed capacity of 6,400 megawatts and covers around 30% of the local power consumption
The government plans to sell 15% in the hydropower company and considers a dual listing, in Bucharest and in London.
Hidroelectrica has 80.05% of its shares in the hands of the Economy Ministry, while Fondul Proprietatea holds a 19.95% stake.