Romania

[RO] Governmental Aid for Cinematography

IRIS 2018-2:1/29

Eugen Cojocariu

Radio Romania International

On 29 November 2017, the Romanian Government discussed and approved a memorandum for the modification of both the de minimis aid scheme for participation in domestic and international film festivals and fairs, and the de minimis aid scheme for the distribution and exploitation of Romanian films of all kinds (see IRIS 2004-2/35 and IRIS 2011-2/5).

The memorandum was adopted in application of the provisions of Government Ordinance No. 39/2005 with regard to cinematography, approved with amendments and completions by Law No. 328/2006, with further modifications and completions. The memorandum aims at giving de minimis aid for the promotion of Romanian films by increasing the budget allocated to participation in domestic and international film festivals and fairs from EUR 585 000 to EUR 750 000 (the equivalent in the national currency lei). The budget for the distribution and exploitation of Romanian films has been increased from EUR 547 000 to EUR 1 000 000. The money comes from the Cinematography Fund, powered by sources established by Article 13 paragraph (1) of Government Ordinance No. 39/2005, without involving financial resources from the state budget.

The validity of the scheme in which the de minimis aid will be granted is five years after the initial scheme was approved by decision of the Director-General of the National Cinema Center (CNC), until 8 December 2019 respectively. The CNC, subordinated to the Ministry of Culture and National Identity, is the initiator, provider and administrator of the de minimis aid scheme. Non-reimbursable financial support is granted through a contract between the beneficiary and the Center, and the date of signing the contract is considered the date of granting this form of support. The de minimis aid payments will be made by 2020. Ineligible expenditure will be borne entirely by the beneficiaries.

Eligible beneficiaries are Romanian companies legally established and operating in Romania, registered in the Registry of Cinematography, which do not record debts to the state budget, special budgets or local budgets and which also have to meet the specific conditions specified in the field regulations. With the increase in the budgets allocated to the two de minimis schemes, the estimated number of beneficiaries increases; in the case of the distribution and exploitation of Romanian films, there is a 100% increase, from 75 to 150 beneficiaries. The measure envisaged by the Government is based on several domestic and international documents that focus on the protection and promotion of cultural diversity, including the EU Treaty of Lisbon, the October 2005 UNESCO Convention and the Government Program of the Romanian ruling coalition. At the same time, the Executive aims at stimulating Romanian cinematography, which has achieved outstanding success in recent years at international level: over the period 2012-2016, 77 Romanian films have won over 250 prestigious awards in international film competitions.