Privatization of Electricity Supply and Distribution Services

The Romanian electricity distribution and supply services have been substantial affected by the transition of moving from state-owned to privately-owned companies. We analyzed how important elements of sustainability of electricity distribution and generation companies in Romania have been affected by this privatization process. The key finding is that little progress toward sustainability in Romanian energy sector after privatization has been achieved. The analyses included aspects like legal framework, evolution of prices, competitiveness, advantages and disadvantages of privatization process of state-owned companies in energy sector, and the level of services quality. As a research method we used personal interviews, which help us gain deeper insight into the actual meanings of how the privatization of electricity distribution services is perceived by different stakeholders. In the end of the paper, we can conclude that there remains much for government institutions, policymakers, private companies and other important stakeholders to do in order to establish a sustainable market structure that could generate economic growth and welfare for population.