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A New Challenge For The Romanian Coal Industry: Elimination Of The State Aid

Author

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  • Gruian Claudiu-Marian

    (West University of Timisoara, Faculty of Economy and Business Administration)

Abstract

According to the European Commission decision N 239/2007 the Romanian coal industry will receive state aid by the end of 2010. After this period public companies in this sector will finance the costs of current production and investment entirely by their revenue. This article presents a short literature review regarding the subsidization of coal industry, shows the evolution of the mining industry in Romania so far, and identifies opportunities for continuing coal production after December 31, 2010 without state aid. The paper concludes that the abolition of subsides in is a positive measure but it must be taken gradually and responsibly, in order to ameliorate the negative effects on social end natural environment.

Suggested Citation

  • Gruian Claudiu-Marian, 2010. "A New Challenge For The Romanian Coal Industry: Elimination Of The State Aid," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(2), pages 249-255, December.
    • Handle: RePEc:ora:journl:v:1:y:2010:i:2:p:249-255
    as

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    File URL: http://anale.steconomiceuoradea.ro/volume/2010/n2/036.pdf
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    References listed on IDEAS

    as
    1. Anderson, Kym, 1995. "The political economy of coal subsidies in Europe," Energy Policy, Elsevier, vol. 23(6), pages 485-496, June.
    2. Frondel, Manuel & Kambeck, Rainer & Schmidt, Christoph M., 2007. "Hard coal subsidies: A never-ending story?," Energy Policy, Elsevier, vol. 35(7), pages 3807-3814, July.
    3. Storchmann, Karl, 2005. "The rise and fall of German hard coal subsidies," Energy Policy, Elsevier, vol. 33(11), pages 1469-1492, July.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    coal industry; state aid; National Hard Coal Company;
    All these keywords.

    JEL classification:

    • Q30 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - General
    • Q38 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Government Policy (includes OPEC Policy)

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