The Romanian state is the main beneficiary of fuel prices, so that the best measure for the lowing of prices would be the reduction of excise and VAT, while capping would be worse than better, shows an analysis made by the Association Intelligent Energy (AEI).An analysis of the cost estimates for oil products at the pump shows that, compared to the same day in 2021, the price at the pump is 63% higher, and this increase is based on several considerations: The increase in crude oil prices by 64%, compared to the quotations on the same day in 2021, The increase in the leu/dollar exchange rate by 14%, compared to the quotations on the same day of 2021, the increase in the costs of shipping crude oil in the Black Sea by over 500%, the increase in insurance costs for ships traveling in the Black Sea by over 600%.An analysis of estimate of costs for oil products At the same time, refinery costs increased by 30%, supply costs by 100%, excise increased by 3% and the VAT perceived by the state as a result of the increase of application basis by 63%.Following gasoline quotations in 2022, they increased by 75%, more than double the price increase in Romania. At the same time, the state has profited fully from this increase, with the money collected from VAT this year, from the sale of gasoline increasing by 40%. As regards the quotations of diesel, in 2022, they increased by 80%, more than the double against the price increase in Romania. The money obtained from VAT by the state this year from the sale of diesel have increased by 40%.‘The state, in the case of fuels as well as gas and electricity is the big winner as a result of increased prices. Concretely, the state has gained supplementary against the similar period of last year (the first six months of 2022), 600 million euro from the increased price of petrol and diesel at the pump. The companies which sell fuels probably got more than the similar period of last year, the tenth part of what the state got supplimentarily’ the authors of the analysis said.‘The measures which are necessary: the diminution of VAT and excise for fuels, to limit the commercial margins for suppliers, to make a campaign of energy diplomacy for accession to the new sources and routes for oil transport, to develop a plan for emergency situations for protected consumers. The populist alternative for capping the price is the equivalent of the installation of fuel shortages in Romania in a few months’ the AEI specialists say.Unfortunately, things will not stop here. The AEI provisions show that in the near future the petrol and diesel price will increase at least to the level of quotations for these products, namely over 11 lei/l for diesel and over 10 lei/petrol.
The Bucharest National Opera will open the Romania–Italy Cultural Year 2026 with a gala concert in Rome on December 1, Romania’s National Day. The event, hosted at the prestigious Teatro dell’Opera di Roma, is organized by the Romanian Embassy in Italy in partnership with the Bucharest National Opera and supported by Romania’s Ministry of Foreign […]
German company Henkel, with over 500 employees in Romania, has opened a new headquarters in Bucharest, marking a fresh chapter in its three-decade presence in the local market. The space blends Henkel’s “Smart Work” concept with Romanian cultural design elements inspired by Constantin Brâncuși and traditional motifs, while a dedicated quiet zone pays tribute to […]
A couple of years ago, Romania’s Defense Ministry concluded a USD 400 million deal with Israeli company Elbit for the development of seven Watchkeeper X systems, which will be used to detect Russian operations near the border areas. The drones will be delivered in a few months, according to the manufacturer, as reported by Digi24. […]
Ruling on the draft law on the disbursement of privately-managed pensions, namely 2nd and 3rd Pillars, inked by the Financial Supervisory Authority (ASF), promoted by the Romanian government and approved with amendments by the Parliament, the Constitutional Court (CCR) concluded that the capping the single payment granted before the start of the monthly payments to […]
The revised bill that bans the cumulation of the public pension of a special (non-contributive) nature with a wage paid in the budgetary sector, currently available for public debate, will be amended so as to restrict the exceptions provisioned in the original form, labor minister Florin Manole said, according to
The Romanian business community reiterated its firm call to decision-makers to eliminate the minimum turnover tax (IMCA), in view of the discussions on the construction of the state budget for 2026, according to a statement signed by more than 100 employers' federations, business associations, and chambers of commerce in Romania. The Romanian government will address […]
