ENERGY - LICENSE FOR THE COMMERCIAL OPERATION OF NEW ENERGY PRODUCTION CAPACITIES IN ROMANIA - REQUIRED DOCUMENTS. LICENSING PROCEDURE

ENERGY - LICENSE FOR THE COMMERCIAL OPERATION OF NEW ENERGY PRODUCTION CAPACITIES IN ROMANIA - REQUIRED DOCUMENTS. LICENSING PROCEDURE

ENERGY - LICENSE FOR THE COMMERCIAL OPERATION OF NEW ENERGY PRODUCTION CAPACITIES IN ROMANIA - REQUIRED DOCUMENTS. LICENSING PROCEDURE

In the dynamic landscape of Romanian energy sector, the legal intricacies surrounding the commercial exploitation of new production capacities are of paramount importance.

The license, a critical document issued by the Romanian National Regulatory Authority for Energy (ANRE), grants approval for the commercial operation of electricity production or storage capacities, as well as the engagement in other activities within the sector such as transport, system balancing services, distribution, market operation, supply, trading, aggregation activities, and other commercial exploitations of storage facilities.

Notably, certain licenses cannot be held simultaneously by the same entity, and some licenses, by law, encompass others. For example, licenses for the operation of production and storage capacities, as well as supply licenses, inherently include the trader license.

Operating without a license is forbidden, with corporate offenders facing fines ranging from RON 10,000 to RON 200,000.

For new production or storage capacities and the modernization of existing ones, exceeding 1 MW, prior the license, an establishment authorization from ANRE is also needed.

 

This article aims to shed light on the licensing process for commercial use of new energy production capacities in Romania and the necessary documentation.

Both Romanian individuals (under certain conditions) and legal entities, whether domestic or foreign, are eligible to apply.  Foreign companies based outside EU must establish a secondary office in Romania for the entire validity of the license.

 

Necessary Documentation:

  • The application form, as specified in ANRE regulations, completed, and signed.
  • Proof of payment for the analysis fee; otherwise, the application will not be processed and will be closed within 10 days of submission. If ANRE decided to approve the application, before issuing the license, the applicant also shall pay the licensing fee.
  • The ascertaining certificate issued by the relevant Trade Register, in original or copy, with up-to-date comprehensive information about the applicant.
  • Copies of the latest financial statements submitted accordingly by the applicant to the competent tax authorities, along with the proof of their submission, the balance sheet and profit and loss account. Newly established applicants within the year must attach the copy of the latest monthly trial balance.
  • Declarations as per ANRE's standardized model, in original or notarized copy, sworn by:
    • Shareholders/associates holding control over the applicant,
    • Administrators,
    • Members of the Management or Supervisory Board.

These individuals must attest, under criminal liability, whether they have previously held shareholder/associate or administrator roles within operators holding licenses/authorizations from ANRE and confirm that these entities have not defaulted on obligations arising from electricity market transactions.

  • Addresses of the production capacities' locations.
  • All technical and economic characteristics of the energy capacities, as specified in ANRE regulations.
  • All technical and economic characteristics of the electrical networks managed by the license applicant, as specified in ANRE regulations.
  • The applicant's organizational chart, indicating the organizational entity responsible for conducting the licensed activity.
  • A dossier on the applicant's personnel, detailing the staff's structure by specialties and proving the qualification of personnel allocated to the licensed activity, including a sufficient number of authorized electricians and specialized staff, relative to the volume of managed activities/capacities.
  • The estimated turnover for the year of the license issuance resulting from the activities subject to the license.
  • The minutes of the production capacities’ commissioning reception, signed by the applicant's legal representatives, indicating the operational status.
  • Documents proving ownership or usage rights over the energy capacities in question.
  • The connection certificate issued by the corresponding network operator as per the development stage(s) outlined in the technical connection approval (ART).
  • Proofs of initiating the procedure for the environmental authorization.

 

These documents also hint at preliminary steps the applicant must undertake, such as hiring qualified personnel, preparing, and submitting legally prescribed financial documents before applying, obtaining the connection certificate, commissioning the capacity, completing the corresponding Minutes, and initiating the environmental authorization procedure.

All documents must be in Romanian, submitted to ANRE on paper, and signed on each page by the legal or designated representative for conformity (where applicable).

 

ANRE reviews the documentation and notifies the applicant within 60 days of any required amendments, corrections, or clarifications.

The applicant has 60 days from receiving this notification to comply.

ANRE has another 60 days from when the documentation is deemed complete and compliant to resolve the application. For capacities using renewable sources, under request, the processing time may be reduced to 30 days.

 

The license's validity period is determined by ANRE based on the applicant's provided data, with a maximum of 25 years for licenses involving the operation of electricity production and storage capacities.

Throughout the license's validity, the licensee must pay an annual contribution set by an order from the ANRE president and operate within the license's limits and conditions, fulfilling associated obligations.

Failure to maintain the license's conditions may lead to its withdrawal before its expiration.

At least 60 days before the license's expiry, the holder may apply for a new license.

 

Any refusal to grant the license, lack of response within the specified legal term, or any other decision of the authority, deemed illegal and damaging by the applicant, can be contested, at the Bucharest Court of Appeal, Administrative Litigation Section, after using the prior administrative procedure, within the legal deadlines.

 

Navigating the legal framework of Romania's energy sector requires expertise and diligence.

As an attorney specializing in energy law, I offer comprehensive legal services to guide clients through the licensing process, ensuring compliance and advocating for their rights in front of regulatory challenges.

I hope this article was useful to you!

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