Romania's parliament votes on extending fuel price cap on final day before expiration, with fears of sharp price increases

Background of the crisis

In April 2026, after the escalation in the Middle East, the Romanian government declared a crisis on the crude oil and petroleum products market. Measures introduced included a 30-bani cut in diesel excise duty, effectively a 36-bani reduction per liter with VAT, a cap on commercial margins, export limits, and higher taxation on windfall revenues.

Parliamentary race against time

The measures expire on June 30, and the interim government cannot issue emergency ordinances. PSD, through former energy minister Bogdan Ivan, filed an amendment on June 29 to extend them by three months. Parliament must pass it through committees and plenary on the last day of session.

“I call on all parties to support this project.”

He admitted they hoped for a fully empowered government to act, which did not materialise.

“We hoped for a government with full powers to take this step.”

Price impact and consumer fears

FORT warns that without the cap, diesel could rise by at least 50 bani per litre. Increased transport costs would feed into inflation. Yet, oil prices have fallen, with Brent around $72/barrel, reducing the need for the cap. Benzina has already dropped 10% in the past month.

Expert skepticism

Some experts argue the cap is no longer necessary. Energy expert Eugenia Gusilov stated:

“In the current moment, there is no need to extend that scheme. It was a short-term measure for the emergency we all entered in March-April. Now we are no longer in that situation, and as a medium-term solution, it is not necessary. The market has already adjusted and shown flexibility.”

Dumitru Chisăliță of the Intelligent Energy Association believes fuel could become cheaper faster without the cap.

Side effects and future uncertainties

The cap caused temporary diesel shortages as capped prices attracted demand exceeding supply. Even if parliament passes the law, it may not be enacted in time to prevent a temporary price rise on July 1, because promulgation and publication take time.