The latest decisions of the National Regulatory Authority for Energy – ANRE set out the destinations for natural gas from domestic production in 2019, after the GEO 114/2018 established the producers’ sale price. There is not much left over from the free market, and all these provisions make clear the violation of the basic principles of the European single market. It is only a matter of time until Romania is forced to abolish these measures. Until then, here’s how the natural gas market looks after OUG 114/2018.
From April 1, the domestic gas production price will be capped at 68 lei per MWh for three years, according to GEO 114/ 2018.
ANRE decided on March 20th that OMV Petrom and Romgaz would allocate 16 million MWh of their production to population consumption. Thus, OMV Petrom will deliver 6.7 million MWh of gas to households’ suppliers in the second and third quarters of the year. Accordingly to their market shares, ENGIE Romania and the companies in the E.ON group (E.ON Energie România and E.ON Gaz Furnizare) will benefit from the largest quantities, in total 6.6 million MWh during the next six months.
From Romgaz, 9.2 million cubic meters of gas will go to the population, mainly through Engie Romania – 4.1 million MWh and the companies in the E.ON group – 3.2 million MWh.
Romgaz and OMV Petrom will still have remained with about 8 million MWh available after covering the estimated needs for household consumers. A second ANRE Decision on March 20 aims to clarify which final industrial consumers are benefiting from domestic production gas directly from producers at frozen price. Of the 83 companies included in the ANRE list, four were allocated with about 1 million MWh for their own technological use (Transgaz, Depogaz Ploieşti, Depomureş and Distrigaz Sud Networks), and the rest are mostly gas suppliers for the industry.
Beside these, there are several companies in the InterAgro group, owned by Ioan Niculae, noted e-nergia.ro. There is Chemgaz Holding, which will receive a total quantity of 670,367 MWh of domestic gas, from 1 April to 30 September 2019, and there are also Donau Chem – 686,405 MWh, Ga Pro Co Chemicals – 555,243 MWh, Nitroporos – 115,156 MWh and Viromet – 311,769 MWh – totaling more than 2.33 million MWh, about 26% of the total domestic natural gas allocated by the regulator to the industry. The total value of this volume, at the regulated price, is over 158 million lei.
Other industrial consumers receiving gas at frozen price are Electrocentrale Bucharest – 510,949 MWh, Electrocentrale Constanta – 37,136 MWh, Hunedoara Energy Complex – 28,374 MWh.