Energy price rises in store for industrial consumers

The free-market energy prices for industrial consumers will rise in the next period, but it is very important that consumers don't react emotionally in order to not cause a market slippage, Electrica CEO Corina Popescu told a press conference on Wednesday. The statement comes as the National Energy Regulatory Authority approved an increase by about 2.5 pct on average of electricity distribution tariffs as of March 1, following the introduction of the 2 pct contribution of the energy companies' turnover based on OUG No. 114/2018. "I have been working in this sector for a very long time, and I think that neither creating very high expectations, nor stating that disaster is looming but yet end up with good results is good. It's very difficult, with a not very stable regulatory framework and as laws might appear that could send the sector reeling. Energy is a utility, and making promises is not advisable. Regrettably, certain consumers might decide on their Romanian business based on these emotions. This is also the reason why we didn't notify the consumers, but waited to see exactly what the impact is, to assess it and only then react accordingly," said the Electrica top official. "On the other hand, we are a trading company and cannot afford to operate at a loss. One way or another, these costs must be recovered," Popescu said. AGERPRES (RO - author: Florentina Cernat, editor: Oana Tilica; EN - author: Simona Klodnischi, editor: Simona Iacob)