Electrica subsidiary faces lawsuit over alleged service failures

Published 20/05/2025, 16:42
Electrica subsidiary faces lawsuit over alleged service failures

BUCHAREST - Societatea Energetica Electrica S.A., a leading Romanian energy company, announced today that its subsidiary, Distributie Energie Electrica Romania S.A. (DEER), has been named as a party in a litigation initiated by Romcab S.A., an insolvent company currently undergoing judicial reorganization. The lawsuit, case no. 37417/3/2024, also involves SPEEH Hidroelectrica S.A. as the initial defendant and is being heard by the Bucharest Tribunal.

Romcab S.A. has made several claims against Hidroelectrica, including the return of RON 17,035,525, allegedly representing reversed payments, and the payment of penalty interest from the date of the issuance of the reversal invoices until the actual refund. Additionally, Romcab is seeking RON 1,509,285,516.46, provisionally estimated and adjusted for inflation, plus legal penalty interest, for damages purportedly caused by repeated electricity supply interruptions and the provision of electricity at performance levels that allegedly contravene the Standard for the electricity distribution service approved by ANRE (the Romanian Energy Regulatory Authority).

The litigation stems from claims of tort civil liability due to purported non-compliance with performance indicators outlined in the Performance Standard approved by ANRE Order no. 46/2021. DEER maintains that the interruptions were within the limits of the Performance Standard, and therefore no monetary compensation was granted. According to DEER’s preliminary analysis, the user, in this case, Romcab, had the obligation to implement their own solutions to avoid economic effects from any interruption of energy supply, as the duration for establishing energy supply was contingent on the time necessary to remedy system faults.

Electrica has committed to providing additional information as the judicial procedure progresses. This development could have implications for investors and stakeholders of Societatea Energetica Electrica S.A., which is traded on both the Bucharest Stock Exchange (BSE) and the London Stock Exchange (LON:LSEG) (LSE). The company’s statement is based on a press release issued today.

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