Energy #28 Legislative focus

On 22 October, the Ministry of Energy published two draft Government Decisions addressing electricity supply security.

The first establishes measures for the winter period from 1 November 2026 to 31 March 2027, covering both electricity and natural gas. It provides for the establishment of a Winter Energy Command Centre, responsible for monitoring supply conditions and coordinating responses to potential shortages.

The proposed measures include maintaining coal and natural gas reserves, preserving hydropower reservoir levels, keeping four lignite-fired units at Complexul Energetic Oltenia in commercial operation and supporting the commissioning of new generation capacity, including at Mintia. They also address natural gas storage, infrastructure maintenance and the availability of electricity generation facilities.

Separately, the Ministry proposes extending until 30 November the emergency electricity market measures previously introduced under Government Decision no. 603/2026 and subsequently prolonged. These allow Transelectrica to apply exceptional measures during a supply security crisis, including restrictions on electricity exports and, as a last resort, temporary consumption limitations.

For electricity generators, transmission and distribution operators, gas suppliers and storage operators, the winter framework reinforces operational requirements concerning fuel availability, infrastructure readiness and crisis response.

The two draft decisions address different aspects of supply security. The winter programme establishes preventive and operational arrangements for the heating season, while the extension maintains exceptional intervention powers in the electricity market.

For large industrial consumers, the main exposure concerns possible consumption restrictions if other measures prove insufficient. In the gas sector, emergency arrangements may also affect non-protected customers to preserve supplies for protected consumers.

Energy companies should monitor the adoption of both draft decisions and assess their operational exposure to winter preparedness requirements and potential emergency restrictions.

On 22 October, Romania’s Constitutional Court found that the Government had exceeded its constitutional powers when adopting Emergency Ordinance no. 38/2026 after being dismissed through a parliamentary no-confidence vote.

The Court established the existence of a constitutional conflict between Parliament and the Government, finding that the adoption of the ordinance exceeded the caretaker Government’s authority to administer public affairs.

The ordinance contains provisions affecting several economic sectors, including electricity and natural gas. Articles VI and VII introduce mechanisms allowing authorities to suspend compensation payments under energy support schemes when verification procedures identify inconsistencies or potential risks to the state budget.

The Court’s ruling does not repeal the ordinance or invalidate its provisions. However, it creates uncertainty regarding their legislative future and the parliamentary approval process.

For electricity and gas suppliers, the uncertainty concerns the legal framework governing compensation payments, including the authorities’ powers to suspend reimbursements during verification procedures.

Although the Senate had removed the relevant provisions during its examination of the ordinance, this did not guarantee their final exclusion, as the Chamber of Deputies could still amend the text.

The Constitutional Court’s decision introduces an additional institutional dimension to the legislative process, potentially influencing how Parliament addresses the ordinance and whether the Government pursues alternative legislation.

Energy suppliers should follow the publication of the Court's reasoning and subsequent parliamentary decisions to determine whether the compensation-related provisions will be retained, amended or removed.

A new draft bill registered with the Senate on 21 October seeks to establish a legal framework for installing, financing and operating photovoltaic systems and battery storage in apartment buildings.

The proposal would allow apartment owners and tenants to share electricity generated by installations located on common property, without requiring participants to establish an energy community or contract with the same electricity supplier.

Electricity allocated to participating households would be deducted from their purchased electricity consumption based on validated metering data and agreed allocation shares. The proposal also allows private investors to participate in financing installations and establishes conditions for selling surplus electricity.

The initiative addresses part of Romania’s outstanding obligations under Directive (EU) 2024/1711 concerning electricity sharing. It follows an earlier, broader draft emergency ordinance prepared by the Ministry of Energy that was not adopted, as well as infringement proceedings launched by the European Commission in September 2026.

For electricity suppliers and distribution operators, implementing the proposed framework would require adjustments to metering infrastructure, billing systems, data exchanges and balancing arrangements.

Distribution operators would have to install or adapt meters within 90 days for eligible connection points and activate sharing arrangements within 10 working days after the necessary conditions are met. Suppliers would need to reflect shared electricity separately on invoices and apply the corresponding deductions and adjustments.

The proposal also provides for exemptions from certain electricity supply licensing requirements for eligible installations of up to 50 kW serving household consumers in the same building.

However, the draft addresses only part of the EU electricity-sharing framework. Further legislative and regulatory measures would still be required to complete transposition and establish operational arrangements.

Suppliers, distribution operators and industry associations should monitor Senate committee discussions and the subsequent ANRE regulatory process, particularly regarding metering, settlement, billing and cost recovery.