Green Forum • 15 November, 2024 at 7:36 AM
The European Commission has given the green light to a €790 million state aid package for Romania. This funding will be used to cover the exceptional costs associated with the closure of four uncompetitive coal mines in the Jiu Valley region of southwestern Romania.
The state-owned company Societatea Complexul Energetic Valea Jiului, which oversees the Lonea, Lupeni, Livezeni, and Vulcan mines, as well as the Paroseni power plant, will benefit from the aid. The funds will support the company in phasing out coal mining operations, aligning with Romania's commitment to a coal phase-out by 2032, as outlined in its National Recovery and Resilience Plan and Territorial Just Transition Plan.
The aid will be allocated towards various costs, including:
Social Costs: Supporting workers who will lose their jobs due to the mine closures.
Environmental Remediation: Funding safety and remediation measures, such as securing mine shafts, repairing environmental damage caused by mining activities, and reclaiming the land.
This financial support will help Romania transition away from coal and towards a more sustainable energy future.