Price deregulation is set to unfold in six separate rounds for corporate clients, between September 2012 and January 2014, according to an official document obtained by Mediafax Wednesday.
In the case of household consumers, the deregulation scheme will include 10 stages, between July 2013 and December 2017.
Additionally, the government plans to eliminate a social tariff applicable to vulnerable consumers, the document noted. The social tariffs, aimed to protect low-income consumers from expensive electricity bills, will be lifted in three stages, between 2013 and 2015.
“The scenario was discussed with representatives of the International Monetary Fund, the European Union and the World Bank during the latest review mission in January 2012,” the document said.
Power and natural gas companies serve around 8.36 million household consumers in Romania, with 1.15 million to 1.4 million benefiting from social tariffs.
Vulnerable consumers will benefit from state aid to compensate the higher bills, but their numbers is estimated to drop significantly. According to a government document obtained earlier this year by Mediafax, the state aid will be granted only to individuals or families whose net income is smaller or equal to the minimum wage.
Romania’s minimum wage is currently at 700 lei (EUR160.5) a month.