Romania’s parliament rushes through PNRR reform laws on last session day, dodging over €2.7 billion in EU penalties

The vote and its stakes

Romania’s parliament approved a crucial legislative package on 30 June, the last day of its regular session, satisfying key milestones under the National Recovery and Resilience Plan (PNRR). Interim Prime Minister Ilie Bolojan announced that the passed laws avert financial penalties exceeding 2.7 billion euros and secure continued access to EU funds.

Today, Parliament approved an important package of laws needed to fulfil the milestones assumed by Romania through the PNRR. By adopting these laws, we avoid financial penalties of over 2.7 billion euros and ensure that Romania does not lose important European funds.

What the laws cover

The adopted legislation targets digitalization and efficiency in research, modernization of water legislation (including the so-called “water mechanism”), better administration of state agricultural land, and acceleration of public investment, especially in construction. Before the vote, each relevant ministry (education, research, environment, agriculture) prepared its draft laws, which were then discussed and confirmed by European Commission representatives as complying with Romania’s commitments.

Political context

Romania is governed by a caretaker cabinet after the dissolution of the government. President Nicușor Dan has not yet designated a new prime minister, and parties are entering a parliamentary recess. The recess can be interrupted by an extraordinary session to vote on a new executive. The interim government led by Bolojan retains the authority to manage current affairs, mirroring the extended interim period seen during the Boc government in 2009.

Financial magnitude and upcoming deadlines

The PNRR in its current form totals 21.41 billion euros, split into 13.57 billion in grants and 7.84 billion in loans. Romania has already received over 9 billion euros through the plan, following the full approval of its fourth payment request. The next two requests (5 and 6) must be submitted soon; together they unlock roughly 10 billion euros, as recently stated by interim Minister of European Funds Dragoș Pîslaru.

On 23 June, the European Commission agreed to lower targets for Romania to preserve the 13.6 billion euro grant envelope. The parliamentary vote on 30 June implements the agreed reforms. All PNRR projects must be completed by 31 August.

The new measures will reduce administrative bottlenecks and allow for faster implementation of investment projects underway. Our priority is not to lose European money and to complete the investments Romania needs.