Romanian PPP law under fire

Romania’s government has approved selection criteria for PPP bidders under new law.

Bidders will be found eligible based on their results in similar projects in the past five years and a financial audit of the past three years, according to an announcement from Romanian Prime Minister Emil Boc.

However according to the executive director of the American Chamber of Commerce in Romania, Anca Harasim, the new legislation has been introduced too quickly and may not be given approval from the European Commission.

Speaking to local press, Harasim said the 2% guarantee requested from investors and the direct awarding of contracts infringes EU law.

PPPs in Romania are expected for municipal roads, leisure centres, sewerage and heating distribution systems and social housing.

Projects will be tendered by municipal councils, but partnerships for national roads and regional water distribution networks will be initiated only by the government and central departments.