Electricity transmission fees to be cut by 10.8% in Romania starting July 1

The electricity transmission fees and the system service fees charged by Romanian power grid operator Transelectrica will be cut starting July 1, according to a draft order of the local energy market regulator ANRE. The transmission fee will go down by 10.8%, to RON 18.7 per MWh. The system service fee will also drop by 6.3%, to RON 12.88 per MWh. The transmission fee cut will have a very low impact on the electricity bills paid by end-consumers, as it represents only a small fraction of the final electricity price. According to Economica.net, the impact may be of some 0.6%. However, this measure will significantly reduce Transelectrica’s profit. Transelectrica is a state-owned company that holds the monopoly over the country’s high voltage power lines. The company has been criticized in recent years for not investing enough in upgrading the power grid. Transelectrica has instead posted high profits, most of which it distributed to shareholders. Last year, it made a net profit of EUR 81 million and distributed dividends of almost EUR 44 million. The company is listed on the Bucharest Stock Exchange and has a market capitalization of EUR 456 million. Its shares plunged by 3.8% after the fee cut was announced. editor@romania-insider.com