Headlines
Romanian government extends energy price caps
Published by Global Banking & Finance Review®
Posted on February 27, 2025
2 min readLast updated: January 25, 2026
Global Banking & Finance Review®
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Published by Global Banking & Finance Review®
Posted on February 27, 2025
2 min readLast updated: January 25, 2026
Romania extends energy price caps for electricity and gas to protect consumers from rising costs, with electricity capped until June and gas for a year.
BUCHAREST (Reuters) - Romania's coalition government will extend a price cap on electricity for households and businesses until June and on gas for a year, Prime Minister Marcel Ciolacu said on Thursday, to shield consumers from a recent surge in energy costs.
Romania has been capping gas and power bills for households, small businesses, hospitals, schools and public institutions up to certain monthly consumption levels and compensating suppliers for the difference since November 2021.
The scheme has been modified several times and was due to expire at the end of March. Suppliers have repeatedly complained about delayed government payments and observers have warned market distortions will be difficult to redress.
"We will approve today continuing the energy price cap," Ciolacu said at the start of a government meeting.
"For electricity until end-June and until then we will introduce measures to increase market volumes so that prices remain low. For gas we will keep the cap for another year to rebuild our stored reserves for next winter at manageable prices."
Romania uses a mix of gas, coal, hydro, nuclear and renewables for electricity generation and has committed to phasing out lignite, or brown coal, although the energy ministry is currently seeking an extension.
The country produces almost all the gas it consumes locally through producers OMV Petrom, state-owned Romgaz and offshore producer Black Sea Oil & Gas (BSOG).
(Reporting by Luiza Ilie; Editing by Alex Richardson)
The price cap on electricity for households and businesses will be extended until the end of June.
The gas price cap will be kept in place for another year.
Suppliers have complained about delayed government payments, which has raised concerns about market distortion.
Romania uses a mix of gas, coal, hydro, nuclear, and renewables for electricity generation.
The main gas producers in Romania include OMV Petrom, state-owned Romgaz, and offshore producer Black Sea Oil & Gas.
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