On Friday, the Government wants to create a mechanism for the centralized purchase of electricity by an extraordinary decree, which aims to limit the income of electricity producers. The only buyer will be OPCOM, and the selling price will be 450 lei/MWh.

What changes is the government making through GEO

The purpose of this regulatory act is to establish temporary measures that may limit the income received by electricity producers in the sense that:

– Introduction of a mechanism for centralized electricity procurementoperations with electricity are used:

• 1. manufacturers whose total installed capacity is greater than or equal to 10 MW, with the exception of producers of electricity from renewable energy sources, for the technologies and installed capacity provided for in Article 3, paragraph (1) of Law no. 220/2008, to create a system of promotion of the production of energy from renewable energy sources, with the following changes and additions, power generation capacities put into operation after the date of entry into force of this emergency decree, as well as producers with power generation capacities and thermal energy in cogeneration, which supplies thermal energy to SACET.
• 2. electricity suppliers which have contracts concluded with end consumers, the operator of transportation and electricity supply systems, and operators of electricity distribution, to cover their own technological consumption of the networks that operate them. The company “OPCOM” SA, Operator of the electricity and natural gas market, has been identified as the sole buyer.

– During the period of using the centralized procurement mechanism electrical energy the price paid by a single buyer to electricity producersfor the amount of electricity sold by them through this mechanism is 450 lei/MWh and, at the same time, the single buyer sells the purchased amount of electricity to the electricity suppliers who have concluded contracts with the final consumers, the operator of the transmission and the electric energy system and the operators of the electric energy distribution through the centralized electricity purchase mechanism, with a price of 450 lei/MW – hours

– to implement the mechanism of centralized procurement, market participants, to whom the provisions of this regulatory act apply, are obliged transmission to OPCOM and/or Compania Nationala de Transport al Energei Electrice Transelectrica SA, as the case may be, of annual consumption forecasts, broken down by month, to take them into account in the procurement procedures organized by OPCOM.

– OPCOM organizes the annual procurement procedurein December of the year preceding the year of application, based on the confirmed data sent by ANRE and the monthly procurement procedure, which aims to supplement the amount of electricity sold/purchased each month within the framework of the annual procedure.

– Annual and monthly volumes of electric energy received under the mechanism of centralized procurement are firm obligations of market participants, which are subject to the provisions of this regulatory act.

• SEE DRAFT GEO AND KEYNOTE HERE

It is updated