EU Seeks To Replace Refugee Quotas With Percentages
The European Commission is working on a new mechanism for the relocation of refugees, considering percentages instead of quotas.
Under the new system, Romania would have to take in 3.9% of the total number of refugees pouring into Europe from Middle eastern and African countries.
Presidential adviser Leonard Orban said technical talks on a new refugee relocation mechanism have begun. “All of a sudden, we’re no longer talking figures, a quota of 6,200 people, but percentages. According to the proposal of the Commission, Romania would have to take in 3.9% of refugees coming into the EU. You do the math considering one million refugees,” said Orban. (Adevarul)
Government Wants Royalties Bill In Parliament By Year-End
Romania’s government wants to send a new law regulating royalties in the energy sector to Parliament by the end of the this year, to have it approved by mid-next year and in effect as of 2017.
The Cabinet is currently waiting for the International Monetary Fund’s input before launching the bill for public debate, said finance minister Eugen Teodorovici.
The minister did not give any details regarding the value of future royalties but said they will remain unchanged next year and the state budget will not be affected.(Romania Libera)
IMF Disagrees With VAT Cut, Wage Hikes
Romanian Prime Minister Victor Ponta said Thursday in a Facebook post the government and the International Monetary Fund disagree on the country’s budget deficit target for 2016 and 2017.
Ponta said the IMF disagrees with the cut in the value-added tax rate and planned wage hikes in the country’s education and healthcare sectors.”
“The IMF says the 2016 budget deficit will be around 2.9% of GDP, the finance ministry says it will be 2.5% of GDP — below the 3% EU-imposed threshold,” said Ponta, adding VAT rate cuts and wage hikes, although frowned upon by the IMF, are “necessary and sustainable measures”. (Puterea)
Electricity Prices Seen Rising By Up To 3% A Year Until Around 2025
Electricity prices in Romania are estimated to rise by an annual 3% until around 2025.
Production costs for each type of energy will start to converge, regardless of the utilized technology, said Filip Carlea, head of the Center for the Promotion of Renewable Energy and Energy efficiency.
Carlea said the renewable energy sector is becoming more and more competitive from the point of view of costs and will no longer need subsidies after 2020.
As for coal-based energy production, Carlea said he believes only CE Oltenia may survive, but CE Hunedoara’s production costs are gradually increasing, making it unattractive to investors. He said CE Hunedoara is very likely to go insolvent or even bankrupt and part of the country’s coal mines will be shut down. (Evenimentul Zilei)