The association of electricity suppliers (ACUE) criticized the arbitrary price used under the "cap and subsidy” system that is currently under debate in Parliament for final approval, claiming that it will result in losses, according to a release quoted by Economica.net.

Specifically, the power suppliers are disbursed from the state budget the differential between the (regulated) sell price and the buy price under a certain threshold (revised to RON900 per MWh from RON1,300 per MWh under a recent amendment).

ACUE wants the market regulator ANRE to come up with a more transparent formula for calculating the average buy price based on the actual deals in the spot market.

The cap on the buy price used for compensations may generate losses to the power suppliers, their association argued.

The lawmakers are currently discussing the bill on enacting the emergency ordinance on the "cap and subsidy” system after President Klaus Iohannis returned the bill from promulgations on the grounds that some provisions are not clear and may generate diverging interpretations.

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iulian@romania-insider.com