E.ON confirms it is exploring options to sell Romanian energy supply business

The German utility group E.ON is "exploring the option" of selling the electricity and natural gas supply operations in Romania because the risk-return ratio is deteriorating due to frequent changes in the energy capping scheme, announced Leonhard Birnbaum, E.ON's CEO, speaking on the occasion of the Eurelectric Power Summit 2024 in Athens on May 21.

E.ON admitted that this option is being explored in March after Hotnews.ro reported that Romania's Romgaz might take over the local energy supply division of the German group.

E.ON stressed at that time in its press release that "no decision has been made yet."

"[Head of E.ON Romania] Volker Raffel came to the board many times to explain the situation to us, and it was always a different one. It's a very bad thing because we value stability and predictability," said Birnbaum, speaking in Athens on May 21, quoted by Profit.ro.

"The risk in the supply business in Romania is massive. We lose in one year what we could have gained in 20 years," he added.

In 2022, E.ON Energie Romania reported RON 13.7 billion (EUR 2.75 billion) in revenues and RON 356 million in losses.

(Photo source: Facebook/E.ON)