CIECH Soda Romania has already approved, in the first part of the month, a collective redundancy plan within the company, through which over 500 jobs will be effectively cut, according to an official document of CIECH Soda, quoted by Profit.ro.

The decision of the Board of Directors will now be subject to ratification by the shareholders, in a GMS convened for next month. Shareholders will also have to decide on “the continuation of the activity of the silicate production plant during the stand-by period of the calcined soda factory, depending on customer demand, with which they are currently or will be concluded commercial contracts in the future”, according to quoted source.

The company stopped production at its plant in Râmnicu Vâlcea starting with September 18, 2019. The reason was the impossibility to obtain the necessary quantities of industrial steam at a sustainable price. According to CIECH Soda, during 2019, the steam price requested by the only local supplier, CET Govora, increased by 75%, despite previous successive increases, which had already brought the price to the highest sustainable level of 122 lei/ Gcal (excluding the costs of CO2 certificates, which are paid separately by CIECH Soda Romania to CET Govora).