Energy Certificates Required In Romania Home Deals Starting July 20
Romanians who want to sell or rent their homes will be obliged starting July 20 to present the building’s energy efficiency certificate to prospective buyers or tenants.
Starting July 20, 2013, homeowners must present potential buyers or tenants with the building’s energy certificate before the transaction is completed, otherwise the contract is considered void, Alexandru Petrescu, managing partner of real estate consulting company Esop Consulting, said Wednesday.
The measure is stated in Law 159/2013, which was published in the Official Journal last week and amends Law 372/2005 on energy efficiency in buildings.
The measure should have been applied starting 2010 but was put off several times as notaries argued it would lead to a 5%-10% increase in old home prices, which would freeze transactions. Also, the Government said the norms to apply the new system were not clear enough and the number of energy auditors was scarce. (Curentul)
Romania Has More Children Eligible For Adoption Than Families Seeking To Adopt
The number of families seeking to adopt children is lower than the number of children eligible for adoption, according to Bogdan Panait, head of the Romanian Office for Adoption.
Romania currently has around 1.400 families looking to adopt, compared to 1,600 children eligible for adoption, Panait also said. (Curentul)
EU Says Romania Should Be Removed From Deficit Procedure
The European Commission Wednesday recommended Romania be removed from the list of countries with excessive deficits in light of the country’s progress in lowering the budget gap below the bloc’s limit of 3% of the gross domestic product.
Romania has joined the list of EU countries with excessive deficit in 2009, when it recorded a budget gap of 9% of GDP. The deficit was subsequently reduced to 6.8% of GDP in 2010, to 5.6% of GDP in 2011 and to 2.9% of GDP in 2012, the Commission noted.
The lower deficit was also supported by revenue measures such as a 5 percentage points increase in the value added tax rate and a broadening of the personal income tax base, it said.
The Commission estimates Romania’s general government deficit will decrease to 2.6% of GDP in 2013 and to 2.4% of GDP in 2014, assuming the authorities in Bucharest will not sidetrack from their assumed fiscal and economic policies. (Adevarul)
Romania Terminates Transylvania Highway Contract With Bechtel
Romania has terminated the contract with U.S. constructor Bechtel to build the Transylvania Highway, according to Minister-delegate for Infrastructure Projects Dan Sova.
Sova said the Romanian Government ought to pay damages of EUR37.2 million and debts of EUR50 million to Bechtel.
Sova has recently said the termination of the contract was a matter of days, as there were only few details left to resolve. Sova previously said the contract would be terminated Monday, May 27.
Prime Minister Victor Ponta said Sova was wrong to tell the media that the contract with Bechtel would be terminated on May 27, arguing the minister should not have said anything until the finalization of negotiations.
The project to build the Transylvania Highway, which links Brasov to Bors, was approved in 2003 and started a year later. The contract winner was Bechtel and the value of the contract was worth EUR2.2 billion. Works should have been finished in 2012 at the latest.
The project was hindered by political disputes and lack of funds from the budget. Bechtel has built only 52 kilometers of the 415-km highway. (Adevarul)
UE: Romania Should Continue Reforms, Better Performance Needed
The European Commission Wednesday recommended Romania continue its economic and social reforms undertaken under a EUR5 billion loan agreement with the International Monetary Fund and the EU, saying the country has yet to improve performance in key economic sectors.
In its assessment of Romania’s convergence and national reform programs which were submitted earlier this year, the Commission noted the east European country has made significant progress in lowering its budget deficit and cutting public expenses.
“The main risks to the convergence program (covering the 2012-2016 period – e.n.) relate to further possible financial corrections linked to the absorption of EU funds, or the financing from the national budget of priority projects, renewed accumulation of arrears, especially at local government level, and limited progress with restructuring of state-owned enterprises,” the Commission said.
Although Romania’s fiscal position has improved, the country still faces major challenges, particularly regarding tax collection efficiency.
The Commission recommends Romania improve tax collection by implementing a comprehensive tax compliance strategy and fight undeclared work.
It said poor administrative capacity is a core concern for Romania, as the public administration is characterized by an inconsistent legal framework, frequent recourse to emergency ordinances, low levels of inter-ministerial cooperation and excessive bureaucracy.
The end-2012 absorption target agreed under the EU financial assistance program was missed by a “wide margin,” the document noted. (Curentul)
Romanian Parliament Lowers Referendum Required Quorum To 30%
Romania’s Chamber of Deputies on Wednesday voted 221 to 73 and two abstentions to lower the required quorum on a national referendum to 30% from 50%.
The bill approved Wednesday lowers the required referendum quorum to 30% from 50% and sets a 25% vote for the results of a referendum to be validated.
The Chamber of Deputies has the final say on this bill, which must now be signed by the head of state before it can become law.
Mircea Toader, leader of democrat liberal lawmakers in the Chamber of Deputies, said opposition parties PDL, UDMR and PPDD would challenge the bill with the Constitutional Court. (Curentul)
PM Victor Ponta Strongly Supports Shale Gas Exploitation In Romania
Prime Minister Victor Ponta has asked Environment Minister Rovana Plumb to ignore the campaigns aimed at preventing Romania from searching for new energy resources.
He said Romania ought to know its strategic interests, while observing environmental standards.
Ponta added it all goes down to Romania securing its energy independence from gas imports from Russia and even becoming energy exporter in the region. (Curentul)