Romania's parliament votes on extending fuel price cap on final day before expiration, with fears of sharp price increases
With a deadline of June 30, Romanian lawmakers voted on an amendment to extend the fuel price cap and diesel excise reduction by three months. Former energy minister Bogdan Ivan warns that without the extension, fuel prices could rise as early as July 1.
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.
- Measures introduced: diesel excise cut, commercial markup cap, export limits, windfall tax.
- PSD files amendment to extend measures for three months.
- Parliament debates and votes in last session day; measures expire.
- Possible fuel price increase if law not in force.
- New deadline for measures if extension is adopted and enacted.
