“We are extending the current system into next year,” said Valcov.
The decision will be adopted by the Cabinet through an emergency decree.
Prime Minister Victor Ponta said in September a bill amending the country’s royalty system would be put up for debate early next year. He said the new system would ensure budget resources comparable to the EU average and would not discourage investments by raising taxes too much.
Romania’s current legislation does not differentiate between various types of resources and the level of royalties ranges from 3% to 13% of hydrocarbon production levels.
The current royalty levels were established in 2004 in the law approving the privatization of oil company Petrom, which was bought at the time by Austria’s OMV. The royalty levels established then are set to expire at the end of this year.