National Romanian Regulator for Public Services - ANRSC (Romania)

Regulation

Regulatory Model

A.N.R.S.C., in conformity with the competences given by Law no. 51/2006 regarding public services, issues licenses, creates methodologies and frame regulations in the domain of public utility services within the area of settlement and for the markets of those services and monitors the way in which the legislation of these services is met and applied.
For the completion of their assignments, A.N.R.S.C. is coordinated by the Ministry of Regional Development and Public Administration, fact stated by Law no. 51/2006, art. 15.
A.N.R.S.C. conducts its activity based on the following principles: a) protecting the users’ interests in relation with the operators which act in the area of public utility services; b) promoting the competition, efficacy and efficiency in the area of public utility services which function on the basis of monopoly; c) promote the principles of transparency, accessibility, equal treatment and protection of users; d)promotes the balanced contractual relations, resultoriented; e) insures the equality of treatment and opportunities the relation with the authorities of the central and local public administration with the operators of public utility services; f) preserves the resources, the protection of the environment and the population’s health; (3) A.N.R.S.C. exercises its prerogatives of public authority in terms of equidistance and balance both in front of the users and operators and in front of the authorities of local public administration. A.N.R.S.C. exercises its abilities and attributions given by the present act in regards to all the operators, disregarding the property form or nature of capital, its organization, country of origin or organizational method, at the level of the administrative – territorial units, management of public utility services and in front of the economical agents or public institutions which have a monopoly based activity in the area of the public utility services.

Regulated sectors

ANRSC is a multi sectorial regulator for services such us: water supply; sewerage and purification used waters; sewerage and evacuation of pluvial waters; sanitation of towns; public illumination; the administration of the public and private sector of the administrative territorial; the local public transportation.

Main responsibilities

A.N.R.S.C:

  1. creates and establishes mandatory sector regulations of secondary and tertiary level;
  2. gives, modifies, suspends or takes back licenses or authorizations;
  3. demands the authorities of local public administration new rehabilitation programs, modernization and development of the public utility services and the technical and urban infrastructure;
  4. creates calculation methodologies in order to establish, adjust, modify the prices and tariffs;
  5. issues, in accordance with the competences given by the special laws, specific to each service of public utility, the specialized notice in order to establish, adjust, modify the prices and tariffs for the public utility services; when this notice is mentioned by the special laws.

Tariff Setting

No average price
The invoice is issued monthly
The cost recovery is done 100% and also there is a realistic profit part taken into consideration.

Quality of Service

Creates and establishes mandatory sector regulations of secondary and tertiary level;
Gives, modifies, suspends or takes back licenses or authorizations;
Supervises delegating procedures for public services;
Elaborates regulations for public utility services form its own area settlement;
Monitors the operators’ obedience and fulfillment of the established measures and obligations when issuing or extending the availability of a license or authorization;
Issues the specialized notice in order to establish, adjust, modify the prices and tariffs for the public utility services.
Ministry of Health is in charge with the percentage for the drinking water quality and the indicators are reported to the contract`s requests (ex. Delegation contracts).
The Ministry of Environment is in charge with the percentage for the wastewater treated and the indicators are reported to the contract`s requests (ex. Delegation contracts).
Regarding benchmarking in WWW SECTOR Romania is promoting and implementing the benchmarking on water sector at this time. Also it has been launched a programme on benchmarking, financed by BERD (European Banck of Reconstruction) with ARA (Romanian Association for Water) as beneficiary and ANRSC as designated partner.

The Regulator

Year of establishment 2002
Characteristics Multi-sector regulator, coordinated by Ministry of Regional Development and Public Administration
Share of operators regulated 1077
Number of employees 96 (besides president and vice president)
Regulator’s budget 1,227 mil EUR
Regulator’s contacts National Regulator for Public Services, www.anrsc.ro,
Stavropoleos St. 3, 4th floor, 3 sector, Bucharest, Romania.
Phone: 0040213179751
Fax: 0040213179752

Email: cabinet@anrsc.ro

Other relevant entities

Ministry of Health Ministry of Environment Ministry of Economics Ministry of Finance Customers Association and Customer Council Water Association.

Sector

Sector Description

The Romanian water and waste water market has 1077 operators. 42 are Regional operators and their share cover is 90% of the market. Among the 42 Regional operators there are 2 Private Operators Apa Nova Bucuresti and Apa Nova Ploiesti (both Veolia).

Legal and institutional framework

In order to obtain a unitary juridical framework there were established License Rules, Procedure for delegation, Organization and Function for the service, tender book, Supplying contract, Methodologies for establishing, adjusting, modifying the prices and tariffs./prices.
A.N.R.S.C., in conformity with the competences given by Law no. 51/2006 regarding public services, issues licenses, creates methodologies and frame regulations in the domain of public utility services within the area of settlement and for the markets of those services and monitors the way in which the legislation of these services is met and applied.

A.N.R.S.C.:

  1. creates and establishes mandatory sector regulations of secondary and tertiary level;
  2. gives, modifies, suspends or takes back licenses or authorizations;
  3. demands the authorities of local public administration new rehabilitation programs, modernization and development of the public utility services and the technical and urban infrastructure;
  4. creates calculation methodologies in order to establish, adjust, modify the prices and tariffs;
  5. issues, in accordance with the competences given by the special laws, specific to each service of public utility, the specialized notice in order to establish, adjust, modify the prices and tariffs for the public utility services; when this notice is mentioned by the special laws.

Law 241/2006 regarding water sector states the unitary judicial frame regarding the setting up, organization, management, financing, exploitation, monitoring and the control over the functioning of the public water supply and sewerage service.
The stipulations of this law apply to the public sewerage and water supply of villages, cities and towns, regardless of their capacity.

Market Structure

Currently there are 1077 WWS operator which cover 100% of the market.

Ownership and management of services

42 Regional Operators with state capital that exploit public WW infrastructure
132 Private operators that exploit public WW infrastructure
58 Private operators that exploit private WW infrastructure
845 Local operators (public administration) that exploit public WW infrastructure
Regional operators and local operators have 100% public capital.
Private operators have 100% privat capital.

Country profile (2011 level)

Area 238.891 km2
Population 20.121.641 inhab
Population density 84.41 inhab/km
Share of urban population 10.859.000 inhab (54%)
Number of households 8.427.941
Average households’ size 330.007.974 m2

Main indicators of the water sector (2013 level)

Number of operators per activity 1077
Percentage of hoseholds served – water supply 12.347.231 inhab, 61.9%
Percentage of households served – adequate wastewater treatment 8.883.583 inhab, 46.8%
Abstracted water volume 1.028.367 m3
Average per capita consumption 56.69/m3/inhab/y

Evolution

The existence of an unitary framework helped the evolution and the development of the water and wastewater system at national level. The investment were done for:

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