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COVID-19 EU PolicyWatch

Database of national-level responses

Eurofound's COVID-19 EU PolicyWatch collates information on the responses of government and social partners to the crisis, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for case RO-2020-12/928 – measures in Romania

Deferment of payment for utilities and rent for SMEs

Amânarea plății chiriei și utilităților pentru IMM-uri

Country Romania , applies nationwide
Time period Temporary, 21 March 2020 – 15 May 2020
Type Legislations or other statutory regulations
Category Supporting businesses to stay afloat
– Deferral of payments or liabilities
Author Victoria Stoiciu (European Institute of Romania) and Eurofound
Case created 05 July 2020 (updated 22 July 2020)

Background information

As of 16 March 2020, the state of emergency was declared in Romania. Several lockdown measures, such as closing of shopping centres, bars, restaurants, indoor activities and travel ban have been imposed by authorities, leading to financial difficulties for many companies. Small and Medium Enterprises have been among the most affected economically. In order to mitigate the negative impact on economy of COVID-19, the Government issued a Government Emergency Ordinance (GEO 29//2020) that provides for deferred payment for small and medium-sized enterprises (SME) for utilities and rent for premises used as headquarters or secondary offices.

Content of measure

Throughout the state of emergency, small and medium-sized enterprises (SME) can delay the utilities and rent payment. To be eligible, beneficiaries should have fully or partly interrupted their activity based on decisions issued by public authorities and should hold a state of emergency certificate.The business disruption is not sufficient, additionally, the locations of the enterprises must be closed (even partially) as a result of the state of emergency related measures taken by the public authorities. Utilities for which deferment of payment is granted are electricity, natural gas, water, telephone and internet services. Deferment of rent payment is granted for the main office and for the secondary offices.

Use of measure

Throughout the state of emergency, 45,000 companies have applied for an emergency certificate, which is a condition for SMEs to benefit of the deferment. But there is no official estimation on the number of SMEs that made use of the legal provisions provided by the measure.

Target groups

Workers Businesses Citizens
Does not apply to workers SMEs
Does not apply to citizens

Actors and funding

Actors Funding
National government
Company / Companies
No special funding required

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role Unknown Unknown
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • No involvement
  • Main level of involvement: Unknown

Involvement

The involvement of social partners in the design of the measure is unknown. There is no involvement of social partners required for the implementation and monitoring of the measure.

Views and reactions

No public positions have been expressed by social partners regarding the measure.

Sources

  • 21 March 2020: Ordonanța de urgență nr. 29/2020 privind unele măsuri economice și fiscal-bugetare (static.anaf.ro)

Citation

Eurofound (2020), Deferment of payment for utilities and rent for SMEs , case RO-2020-12/928 (measures in Romania), COVID-19 EU PolicyWatch, Dublin, http://eurofound.link/covid19eupolicywatch

Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process. All information is preliminary and subject to change.