According to the draft, for consumption in the period from April 1, 2026 to March 31, 2027, the final price invoiced by natural gas suppliers to household customers and heat producers, only for the quantity of natural gas used to produce heat in cogeneration plants and thermal power plants for household consumption, shall be established by each supplier as the sum of four components, namely the purchase component (established by a new formula included in the Ordinance), the supply component (15 lei/MWh), the components represented by the regulated tariffs/established according to the regulations of the National Energy Regulatory Authority and the components represented by VAT and excise duties.
At the same time, natural gas suppliers/thermal energy producers in cogeneration and thermal power plants as direct customers of natural gas producers will have to build up a minimum stock of 90% of storage capacity in underground natural gas storage facilities to ensure continuity and security of supply to their end customers.
According to the project's substantiation note, in the period from April 1, 2026 to March 31, 2027, natural gas producers carrying out both onshore and/or offshore extraction activities, regardless of the date of commencement of such activities, and natural gas sales activities are obliged to deliver, at a price of 110 lei/MWh (compared to 120 lei/MWh at present) the necessary quantities of natural gas resulting from the domestic production activity to suppliers and heat producers, only for the quantity of natural gas used for the production of heat in cogeneration plants and in thermal power plants for the consumption of the population that have opted for the purchase of natural gas directly from the producer.
Although the document is presented as a step towards the complete liberalization of the market, the proposed form raises questions about Romania's obligations towards the European Union regarding the functioning of the internal energy market.
The prolongation of such administrative safeguards, even in the form of a „gradual transition”, can be interpreted as maintaining state intervention in the market, especially if it affects price formation or competition.
Risk of infringement
If the European Commission finds that the proposed measures distort the market or go beyond the framework allowed for the protection of vulnerable consumers, Romania could face infringement proceedings for failure to comply with EU law.
The experience of previous years shows that extensive energy price interventions have been carefully monitored at European level, and their justification must be: Protecting household consumers, especially vulnerable ones, is a legitimate objective. However, this objective must be achieved through instruments compatible with the European framework in order to avoid legal risks and possible financial penalties.
The boomerang effect
A semi-regulated market, where prices are capped or administratively controlled, can discourage investment in production and infrastructure, as investors no longer have sufficient predictability and returns to take long-term risks. In the absence of investment and real competition, supply shrinks or remains rigid, and when state intervention is removed, prices can rise sharply, creating a boomerang effect on final consumers.
It remains to be seen whether the final form of the legislation will strike a real balance between consumer protection and respect for European commitments on energy market liberalization.
The Energy Ministry has published the draft for the gradual liberalization of the gas market. Future support scheme could put Romania at odds with EU law
The Ministry of Energy has published the draft Emergency Ordinance on the continuation of the protection of domestic gas consumers in the period from 1 April 2026 to 31 March 2027 and the gradual transition to a liberalized market for this category of consumers.
Although the document is presented as a step towards the complete liberalization of the market, the proposed form raises questions about Romania's obligations towards the European Union regarding the functioning of the internal energy market.
The prolongation of such administrative safeguards, even in the form of a „gradual transition”, can be interpreted as maintaining structural intervention in the market, especially if it affects price formation or competition.
Risk of infringement
If the European Commission finds that the proposed measures distort the market or go beyond the framework allowed for the protection of vulnerable consumers, Romania could face infringement proceedings for failure to comply with EU law.
The experience of previous years shows that extensive energy price interventions have been carefully monitored at European level and their justification needs to be clear, proportionate and limited in time.
Protecting household consumers, especially the vulnerable, is a legitimate objective. However, this objective must be achieved through instruments compatible with the European framework in order to avoid legal risks and possible financial penalties.
The boomerang effect
A semi-regulated market, where prices are capped or administratively controlled, can discourage investment in production and infrastructure because investors no longer have sufficient predictability and returns to take long-term risks. In the absence of investment and real competition, supply shrinks or remains inflexible and, when state intervention is removed, prices can rise sharply, with a boomerang effect on final consumers.
It remains to be seen whether the final form of the legislation will strike a real balance between consumer protection and respect for European commitments on energy market liberalization.
