Romanian Minister of Energy Virgil Popescu said that the Government is considering to subsidize households’ electricity and natural gas bills during this winter season.
The households with the consumption between 30 kWh and 200 kWh per month will pay 0.036 euros/kWh, which is around 22 % of the average electricity price (0.17 euros/kWh). According to Minister Popescu, the amount of subsidy was calculated as the differential between the best (lowest) offer on the market and the average offer.
He explained that the households using less than 30 kWh per month are holiday homes, and households using more than 200 kWh per month are wealthy enough and they need no subsidies. Therefore, using electricity for heating is not a very good option.
Minister Popescu claims that some 13 million Romanian households (out of total of 19 million) fall into this category (monthly consumption between 30 and 200 kWh).
Regarding the subsidies for natural gas consumers, households with annual consumption of under 1,200 cubic meters will receive the subsidies. The 25 % subsidy was calculated based on an expected price of 51.5 euros/MWh, about twice the price last winter.
The subsidies should come into force as of 1 November 2021.
