Negotiations regarding the takeover of Azomureș by Romgaz are advanced, given that the company has already sent an offer to the shareholders of the plant, said on Tuesday the Secretary of State in the Ministry of Energy, Cristian-Silviu Bușoi.
“There is a decision in principle by the Romanian Government – and here the Ministry of Energy strongly supports that a Romanian state company, partially listed on the Stock Exchange, which must take into account all these things, Romgaz, should take over Azomureș. There are some advanced discussions, there is even a clear, concrete offer made to the shareholders of Azomureș. I cannot go into much detail, because these are confidential matters,” Cristian-Silviu Bușoi mentioned, according to Agerpres.
He was asked whether the takeover of Azomureș by Romgaz could provide fertilizers at more competitive prices for Romanian agriculture.
“Romgaz is not only a company in which the state is the majority shareholder, but a company that must also take into account the rules of the Stock Exchange and the rules of corporate governance. Gas and fertilizer prices align with European and international prices, but we are still in a globalized market. At least in terms of security of supply, things can be safer here if the Romanian state, through a company in which it holds majority control, will be able to develop a strategic company, such as Azomureș”, the secretary of state also said.
According to him, once we have “an increase in production, an abundance, we should also have a price regulation”.
“We are talking about a company and a free market. The expectation would be that the price would be more competitive, easier for farmers to bear, but it cannot be very different from the international price. At least theoretically, Azomureș can sell fertilizers on the international market at the price there. Obviously, if it has some firm contracts, through the mediation of the Romanian state, a balanced solution can be reached, but also for natural gas used for electricity production, for heating. There we still have a regulated price for the population, at least until next year,” Bușoi added.
Romania continues discussions with the European Commission to maintain regulated energy prices that support the competitiveness of agriculture and industry, but these cannot be much different from international levels, the dignitary added.
“We are in a continuous dispute with the Commission, because I don’t really see these regulated energy prices in a good light. But in the new context, things are easier. And I also look to HENRO (Association of Electricity Producers, n.r.), to the profile associations. The idea would be that we should have better prices, which would keep us competitive in agriculture, in industry, in electricity production, and in heating. But they cannot be much different from the international price,” said the Secretary of State.