E.ON to slash planned investments in Romania by 26%, in the background of the economic turmoil

E.ON Romania will allot this year a total 245 million lei for investments and will cut by 26 percent spendings of 331 million lei announced at the beginning of the year for the electricity and gas networks, due to the economic crisis, company data reads.

The company representatives did not specify which of the investments will be trimmed.

E.ON announced in February it would pump a total 331 million lei in the electricity and gas networks.

E.ON Moldova Distributie, partly owned by E.ON Gaz Romania Holding announced it was planning to inject about 440 million lei by 2012 in revamping the infrastructure, after the last four years saw investments of 560 million lei.

The plan for this year was to replace about 40 percent of the company's pipeline web, which adds to the 850 kilometers of pipeline that were repaired during the last four years and to the 1,450 kilometers that were replaced.

E.ON Moldova Distributie, primarily owned by E.ON Romania Holding, allotted a budget of 141 million lei for this year, most of which are to be used for revamping and developing the distribution web.

E.ON Gaz Distributie currently administers a distribution web of over 18,800 kilometers. E.ON Gaz Romania Holding owns a participation in each of the companies E.ON Gaz and E.ON Gaz Distributie. The E.ON Group operates in almost 30 countries and cumulates an annual sales volume of 69 billion euros, employing 88,000 people.

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