The increase in sales volumes in the first quarter seems to indicate a recovery of the economy, but it is not known whether this rate will be maintained until the end of the year, says Kinga Daradics, country chairman & CEO of Mol Romania. MOL posted an increase of 7% in fuel sales in the first quarter of the year, compared to the same quarter of 2014, advancing by 5% in diesel and by 8% in gas segments.
Daradics explains, however, that the beginning of the year 2015 is atypical, whereas in April 2014 was introduced the new 7 euro cents per liter of fuel supplementary excise. However, there are reasons for optimism.
“Private consumption has started to recover, there are January to April statistics that indicate a positive trend for Romania”, says Daradics, explaining that sales of new cars increased as well. However, “it is difficult to make forecasts on a retail market where everything falls since 2008”, says Mol Romania’s CEO, explaining that the optimism of 2014 finally saw a “flat” growth over the previous year.
However, both infrastructure works in Romania that started to unfold and international oil developments seem to indicate a positive evolution of the Romanian economy in 2015. “I hope that the World Bank is right to revise the forecast for Romanian economic growth … upping it to 3% … depends on what will happen in Europe”.
As for the effects of the possible now Grexit from the eurozone, they are currently impossible to estimate.
“It’s very difficult to make any prediction. But if you guide myself on what was written in the press quoting as saying, for example, the governor Mugur Isarescu, Romania has a stable and strong position in the region and does not depend on Greece … but it will be an unprecedented situation at the EU level”, said Daradics, answering energynomics.ro questions in a press conference.
Investments of 15 million euro in 2015
If last year MOL has invested 11 million euro in opening 12 new gas stations, this year’s investment could reach 15 million – besides the ENI transaction, in which MOL bought 42 AGIP gas stations, all rebranded now.
Investments to be made in 2015 will include logistics, business-to-business projects, retail and energy efficiency – but “there is sufficient liquidity, in Romania, as well as in other countries of the group,” for new possible takeovers.
At the same time, the entry of new companies in the fuel retail segment is beneficial to the market, as it is raising the bar and “forcing companies to find better solutions for customers.”
MOL will focus furthermore towards customers its retail strategy, putting more emphasis on services. “The market is very competitive and requires more investment. For example, Mol Romania has invested over 200 million dollars since we entered this market,” concluded Daradics.
