Romania’s ruling party makes key changes to offshore bill favoring energy corporations

Romania’s ruling party has accepted in the energy commission of the Parliament two key-changes offshore bill that are favoring major energy corporations investing in Black Sea offshore gas fields.

According to g4media.ro, a PSD member proposed two amendments to the law, which allow investors to deduce their investment when paying taxes and freeze the taxes for the period of offshore gas production.

These amendments are favoring large investors like ExxonMobil and OMV, which discovered large gas deposits in Romania’s exclusive economic area in the Black Sea.

On August 2, president Klaus Iohannis asked the Parliament to re-examine the controversial draft bill that regulates the development of offshore energy projects.

Romania’s head of state says the draft bill has to be re-analyzed by the Parliament from the perspective of the legal stability and predictability on the long term.

Oil companies have expressed concern about the new offshore law, saying that it may discourage new investments in the Black Sea.

OMV Petrom, one of the companies engaged in exploration works offshore Romania, said that it could announce by the end of the year a decision to start commercial operations.