Tax amnesty is included in the governing programme, it is to be completed without discussions, Premier’s state counsellor Valcov says. Gas price expected to fall

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Prime Minister’s State Counsellor, Darius Valcov, announced Monday evening that the tax amnesty is included in the governing programme, it includes the cancelling of some companies’ debts, adding that such things are ‘to be completed and not discussed.’

“Tax amnesty is included in the governing programme, meaning that the chapter ‘small and medium size enterprises’ reads about the restart of the business environment. Actually, this means, from the governing programme’s viewpoint and deriving from the discussions with Chairman Dragnea, such things are completed and not discussed, because we don’t want to stimulate someone not to pay the debts and, furthermore, we must reward or stimulate the ones who have paid their taxes,” Darius Valcov told Antena 3 TV private broadcaster Monday evening.

Valcov argued the tax amnesty would represent a moment from the scratch in the centennial yeat, adding though that it is just his opinion, as state adviser, but the PM will have the final call.

The former Finance Minister said the Romanian state faces the situation of businessmen’s debts and natural persons’ debts amounting to RON 98 billion.

“We can recover less than RON 500 million. 84% are not recoverable, but most of the indebted companies are state companies. We are talking about tens of thousands of companies and hundreds of thousands of employees, maybe more than one million. (…) Tax amnesty is to be analysed, a debate is needed and, if the decision is made, it should be implemented without lots of discussions. The debate should be conducted with closed doors,” Valcov said.

On the other hand, he said the public-private partnership (PPP) will be launched for three motorways, 15 projects in all.  The motorways are: Ploiesti-Brasov, the southern highway and Targu Neamt-Iasi-Ungheni. There is also a project for 160 km of slopes in the Fagaras Mountains. Valcov claims Germany, France, China, the US and countries from the Arabian Peninsula are interested in the projects.

Gas price to fall by 20pc next year

Darius Valcov claims that next year the gas price will decrease by over 20%. He said PM Viorica Dancila has received from the National Agency for Mineral Resources (ANRM) a document reading that the gas price has increased by 75% since 2013.

“As of August 1 an increase is expected, by 4%. Two companies have 95% of the output in Romania and can afford a production price of RON 27 to reach the market for RON 81, with a 300% profit. Part of it is collected by the Romanian state, as shareholder in both companies. Why? Because this is the way some have understood to go ahead. We increase the price and some fool has to pay, instead of increasing production and diversifying the sources in order to sell more for lower prices,” Valcov said.

He claims that the legal framework allows the Government to intervene in order to regulate the gas price for maximum three years.

“This is the recommendation I support and I believe this is the direction to head to, in the next year the gas price will decrease by over 20%,” Valcov said.

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