A large majority of parties in Romania’s Parliament, including all parties but the ruling National Liberal Party (PNL), passed on Friday (April 3) a bill that gives household consumers and a broad category of companies the right to defer their utilities bills (save those owed to telecom operators) for three months and pay the deferred bills in installments with zero interest rate, Hotnews.ro reported. 

Separately, the firms that demonstrate financial losses generated by the coronavirus pandemic - specifically, firms whose revenues in March decreased by at least 15% compared to January-February average, can defer for three months the social security contributions related to the wages paid to their employees. However, the companies must agree to maintain the personnel for at least 12 months. In exchange, the firms will be waived 50% of the deferred social security contribution and the remaining 50% will be paid in installments with zero interest rate.

To compensate the negative impact on the utility companies’ cash flow, reformist party Save Romania Union (USR) proposed an amendment (eventually approved) provisioning for zero interest rate funds extended by Treasury to utility firms.

PNL will ask the Constitutional Court to check the law, said the head of Liberal deputies, Florin Roman, quoted by Adevarul daily. The bill fails to evaluate the impact on the budget and the financing source, Roman added.

The bill also needs the president’s signature to become effective.

editor@romania-insider.com

(Photo source: Dreamstime.com)