“We are legally dissolving the state-owned energy giant, because it has two problems. The first is that it is subordinate to AVAS [the Authority for State Assets Recovery], whose attributes include privatization, and the second is that it is in direct contravention with European Directive 54, which indicates that distribution and production should not be part of the same structure,” said the quoted sources.
The emergency ordinance, which will void the document initiated by AVAS regarding the founding of the National Energy Company (CEN), is currently being drafted. CEN would have included the state-owned Electrica and Hidroelectrica companies, and the Turceni and Rovinari energy complexes. Officials of the Ministry of Economy said that the institution will privatize the companies which were to be part of the state-owned energy giant.
According to the government sources, the priorities of the new team in the Ministry of Economy, which recently took over the share packages of more than 40 companies from AVAS, do not include privatizing energy companies, especially at this time, considering the financial and economic crisis, which led to a sharp drop in the value of sale of assets.
