The correct implementation of the „public services“ concept - an essential condition for the development of fair competition within the energy market and a solution for its durable and long term development

Sorin Dimitriu () and Eliade Mihãilescu ()
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Sorin Dimitriu: University Politehnica Bucharest
Eliade Mihãilescu: Expert USAID REP3 - Energy Program for Romania

The AMFITEATRU ECONOMIC journal, 2007, vol. 9, issue 22, 174-183

Abstract: The authors have identified the problems of the energy sector in Romania and especially in the thermo production sector as being linked to inefficiency, difficulties in conforming with environmental requirements, financial blockage and the problems in the monitoring process of the energy market. They concluded that a main cause for these negative aspects resides from the fact that Romania has not transposed and implemented the EU regulations on services of general interest (SGI). The rules in the White Book on SGI represent solutions for an efficient functioning of market mechanisms for these type of services including the energy sector, by setting aside the additional costs generated by the responsibilities resulting from the public service concept, which are established, organized, attributed, evaluated and financed by the national or local public authorities. By identifying the inconsistencies in the approach of these issues in the legal framework and the inadequate structures for implementation, the paper presents the new European approach in the energy field as în the Presidency Conclusions to the European Council 8/9/ March 2007, including elements from the White Book on GSI as well as cosºiderations and possible means for correct implementation of the concept of public service. Finally the authors present possible solutions of structures for implementation and market surveillance. Fully în line with the position stated during of the European Council 8/9 March 2007, the authors consider of utmost importance the participation of the civil society and hence, the involvement of the Chamber of Commerce and Industry of Romania and other NGO's in solving the problems of the energy sector in Romania.

Keywords: public service; finances; concession; energy markets; state aid fund. (search for similar items in EconPapers)
JEL-codes: H00 H40 (search for similar items in EconPapers)
Date: 2007
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