The Government’s initial plan was to merge the main energy and coal producers into two national companies, called Electra and Hidroenergetica, but this was hindered by legal issues. The Executive is now considering creating two smaller energy companies – Complexul Energetic Oltenia and Complexul Energetic Hunedoara.
CE Hunedoara will be made up of the Paroseni and Mintia thermal power plants and the viable mines operated by CNH, while CE Oltenia will include SNLO and the Craiova, Turceni and Rovinari thermal plants. These companies will be privatized through an initial public offering or through a strategic investor. The Government will hire consultants for this process by the end of March 2012.
According to the document, restructuring the units with a view toward privatization will entail layoffs; at least 900 jobs will be cut by the end of October, plus another 200 at Turceni.
CNH’s viable assets will be taken over by the state through debt recovery procedures run by the fiscal regulation agency (ANAF).