Termoenergetica’s debt to ELCEN, representing unpaid invoices for the consumption months March-December 2024, has exceeded 1.18 billion lei (236 mln. euro) and endangers investments in new plants, informs Electrocentrale București.
“This situation endangers ELCEN’s investment projects aimed at streamlining the activity to ensure quality and continuity of hot water and heat in Bucharest, as well as balancing the National Energy System. At the same time, it affects the finalization of the revenue and expenditure budget that is currently being drawn up at ELCEN level and which requires an as precise estimate of revenue and expenditure as possible,” the statement said, according to Agerpres.
On November 27, 2024, ELCEN signed three financing contracts for the construction of three new, efficient, sustainable CHPs in Bucharest, with non-reimbursable European financing, amounting to 362 million euros, from the Modernization Fund. This money is very important and can only be attracted if the co-financing of the projects is ensured.
“The modernization of the CHPs still depends on the payment of the debts that the Bucharest City Hall has to ELCEN. PMB must pay its obligations, otherwise ELCEN may lose the chance to attract the available European funds, with high risks in terms of electricity and thermal energy supply. In order for Bucharest residents connected to the district heating system to have hot water and heat in their homes, two conditions must be met: the CHPs must function, and the distribution network must no longer have frequent breakdowns. The Bucharest City Hall has the duty to ensure a fair financial circuit between the City Hall of the Capital, Termoenergetica and ELCEN, but poor management and lack of action and interest have led to this problematic situation that has been dragging on for over 30 years,” the press release emphasizes.
According to the cited source, in 2020, Termoenergetica’s debt to ELCEN was approximately 250 million lei, and in 5 years it reached approximately 1.2 billion lei. At this moment, the debt of the Bucharest City Hall on account of the unpaid subsidy amounts to approximately 385 million lei. Another significant part is losses not covered by the PMB and unfounded to date.
“The Mayor of the Capital, Nicușor Dan, declared in September 2023 that he would conduct an audit to clarify the situation of these losses. After more than a year, the audit has not been carried out, and the losses are rolling in, completing a debt with significant negative effects, both from an economic and social perspective. Inaction generates chain effects, with severe repercussions up to the final consumer. Over 550,000 apartments depend on the centralized heating system. The Bucharest City Hall must assume responsibility for ensuring the continuity of the public service of providing hot water and heat to Bucharest residents, honoring its payment obligations,” the statement added.