Although Romania has begun the process of meeting the criteria for EU membership, it has a long way to go, and full membership is not expected until well into the next century. The country is relatively energy-rich, having significant oil and gas reserves and considerable quantities of lignite. Electricity Romania's power sector produces about 58 TWh annually, from 23 GW of installed capacity. Cernavoda, Romania's nuclear plant, makes a relatively insignificant contribution. There is therefore a considerable need for investment in refurbishment.
Electricity prices remain well below cost-covering levels, especially in the residential sector.
However, there is a strong commitment to address this problem in the immediate future. Unfortunately, the steady weakening of the leu means that successive increases in household electricity tariffs have done little to close the gap with international prices. Generators will then be sold off, and the generation market will be opened up to independent power producers and autoproducers. Finally, licences will be granted to privatised distribution companies, who will have the monopoly of supply in their areas of the country. The gas distribution infrastructure is extensive, although somewhat aged, and the availability of gas is therefore very good.