Romanian energy market regulator to enact 2% corporate turnover tax after consultations

14 January 2019

Romania’s energy market regulator ANRE will enact the 2% turnover tax only after consultations, which will be launches this week, the regulator said in a response to Agerpres.

A document will be published for public debate on the institution’s website in this regard.

The 2% turnover tax is levied under a methodology drafted by ANRE and reviewed by the National Strategy and Prognosis Commission (CNSP), under article 78 of the emergency ordinance 114/2018. The tax is levied to companies that produce natural gas or electricity, including the co-generation plants for the revenues generated from the sale of electricity. The use of the funds thus collected remains unclear.

ANRE had already issued an order stipulating a 0.1% turnover tax for the energy companies, under another law.

The electricity suppliers’ association AFEER President Ion Lungu questioned the sharp increase of the tax and the enforcement of a retroactive tax in principle as it seems to also target 2018 revenues. The renewable energy producers’ association, Patres, also questioned the use of the money collected from this tax. The 0.1% turnover tax was used by ANRE for financing its functioning costs -- but the 2% tax is excessive and it remains unclear what ANRE should do with the money, Patres vice-president Martin Moise commented.

editor@romania-insider.com

Normal

Romanian energy market regulator to enact 2% corporate turnover tax after consultations

14 January 2019

Romania’s energy market regulator ANRE will enact the 2% turnover tax only after consultations, which will be launches this week, the regulator said in a response to Agerpres.

A document will be published for public debate on the institution’s website in this regard.

The 2% turnover tax is levied under a methodology drafted by ANRE and reviewed by the National Strategy and Prognosis Commission (CNSP), under article 78 of the emergency ordinance 114/2018. The tax is levied to companies that produce natural gas or electricity, including the co-generation plants for the revenues generated from the sale of electricity. The use of the funds thus collected remains unclear.

ANRE had already issued an order stipulating a 0.1% turnover tax for the energy companies, under another law.

The electricity suppliers’ association AFEER President Ion Lungu questioned the sharp increase of the tax and the enforcement of a retroactive tax in principle as it seems to also target 2018 revenues. The renewable energy producers’ association, Patres, also questioned the use of the money collected from this tax. The 0.1% turnover tax was used by ANRE for financing its functioning costs -- but the 2% tax is excessive and it remains unclear what ANRE should do with the money, Patres vice-president Martin Moise commented.

editor@romania-insider.com

Normal
 

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