Electra and Hidroenergetica power holdings could be set up by year-end, says Econ. Min rep

Romania’s national power holdings Electra and Hidroenergetica might be set up by the end of the year, said Claudiu Stafie, state secretary within the Economy Ministry. "We hope the two power holdings will be established by the end of 2010," Stafie told the MEDIAFAX Talks about Energy conference. The government decided to create two national power giants that will include most of the state-owned energy and coal production assets. The setup of Electra and Hidroenergetica was delayed by at least six months from the initial deadline announced by the authorities, respectively July 1. In April this year, the Romanian Competition Council has started an investigation on the planned set up of the two national energy companies, Electra and Hidroenergetica in order to establish their impact over the market. It is likely that the restructuring on the Romanian energy production segment will lead to the consolidation of a dominant position, according to Bogdan Chiritoiu, the head of the Romanian Competition Council. Electra will be created through the merger of Rovinari, Turceni and Craiova energy compounds with Societatea Naţională a Lignitului Oltenia (The Oltenia National Lignite Company), Nuclearelectrica, Hidroserv Râmnicu Vâlcea and Hidroelectrica’s subsidiaries in Ramnicu Valcea, Sibiu and Targu Jiu. Hidroenergetica will include Hidroelectrica’s other subsidiaries in Bistriţa, Buzău, Curtea de Argeş, Haţeg, Porţile de Fier, Cluj, Oradea, Sebeş, Slatina and Caransebeş, as well as Hidroserv Bistriţa, Curtea de Argeş, Sebeş, Haţeg, Cluj, Porţile de Fier and Slatina. It will also include Electrocentrale Deva, Electrocentrale Bucureşti, Compania Naţională a Huilei (The National Coal Company), the Paroşeni thermal power plant and the Termoserv Paroşeni subsidiary of Termoelectrica. Mediafax, Romania-Insider.com