Romania's ruling coalition announces grand reindustrialization scheme
<p>Finance minister Marcel Boloș, at the meeting of his Liberal Party (PNL) on September 16, unveiled a project for the reindustrialization of Romania. Social Democrat (PSD) prime minister Marcel Ciolacu confirmed the plan.&nbsp;</p>

<p>The plan's budget remains unclear, but it is high: EUR 2 billion-3 billion, which, according to the authorities, makes it the most important such strategy since the fall of communism.&nbsp;</p>

<p>The package reportedly targets essential industries such as metallurgy, defense, construction, electrical equipment, automotive, and chemical.&nbsp;</p>

<p>Minister Marcel Boloș made a presentation of the support and aid measures prepared by the Government, showing that the project is a consistent package of measures through which it is proposed to provide support for Romania's industry.&nbsp;</p>

<p>The starting point was the EUR 650 million investment made by Nokian, minister Boloș said.</p>

<p>PM Ciolacu, quoted by <a href="https://www.zf.ro/eveniment/premierul-marcel-ciolacu-anunta-pe-facebook-un-mare-plan-de-22488741" rel="noopener" target="_blank">Ziarul Financiar</a>, spoke of a EUR 1.9 billion budget for the scheme and three major components.</p>

<p>The first component involves a state aid scheme of EUR 500 million and fiscal facilities for investments of over EUR 150 million, which directly creates at least 250 jobs and develops in regions with a GDP/capita below the national average.&nbsp;</p>

<p>The second component is the National Support Program for Large Industry in Romania – a state aid scheme of EUR 1 billion over 6 years for the decarbonization of production processes and energy efficiency.&nbsp;</p>

<p>An estimated number of 30 companies from the metallurgy and chemical industry will receive support of up to EUR 100 million per beneficiary. The recipients are companies that will implement investments with eligible costs of at least EUR 8 million, which reduce by 40% the direct emissions of greenhouse gases from industrial installations and/or reduce by at least 20% the energy consumption in industrial installations in relation to supported activities.&nbsp;</p>

<p>The financing of the state aid scheme is mainly achieved from the sale of greenhouse gas emission certificates related to Romania, and the investment must be maintained for 5 years from the date of its completion.&nbsp;</p>

<p>The third component involves a state aid scheme of RON 1.25 billion (EUR 250 million) for 15 companies that implement investments in the production of industrial raw materials (pipes, profiles, bars, aluminum, copper, etc.).&nbsp;</p>

<p>These three support programs are in line with the measures proposed in the Draghi Plan for increasing the industrial competitiveness of the European economy, PM Ciolacu said.</p>

<p>Finance minister Bolos, quoted by <a href="https://www.profit.ro/stiri/politic/foto-proiectul-de-reindustrializare-a-romaniei-unul-dintre-cele-mai-importante-ale-tarii-din-ultimii-34-ani-pachet-de-masuri-consistent-de-sprijin-pentru-industrie-21736166" rel="noopener" target="_blank">Profit.ro</a>, spoke of three components as well, but they do not coincide with those unveiled by PM Ciolacu.</p>

<p><em>iulian@romania-insider.com</em></p>

<p><em>(Photo source: Silviu Matei/Dreamstime.com)</em></p>