On June 18, 2025, the Environmental Fund Administration (AFM) announced that it would suspend the launch of all new funding programs, including the Green Home – Photovoltaics Program 2025 (Casa Verde Fotovoltaice 2025) and the Car Scrappage Program (Rabla pentru persoane fizice).

The decision is temporary and will remain in place until a new official government is established. No restart date has been communicated, creating significant uncertainty for applicants, contractors, and developers.

What did AFM decide?

• Suspension of new calls for applications (not ongoing projects) — the first press release caused confusion internationally, but a later clarification confirmed that only the 2025 planned calls are affected.
• The decision impacts: Car Scrappage Program (Rabla pentru persoane fizice), Green Home – Photovoltaics Program (Casa Verde Fotovoltaice), Scrappage Program for tractors, Scrappage Program for stoves, public lighting, water, and sewerage projects.
• Background: ongoing fiscal negotiations related to the budget deficit and the need for a stable government.

Impact on the Car Scrappage Program (Rabla pentru persoane fizice)

• The launch of applications was scheduled for June 19, 2025, but it was postponed just before opening, preventing the submission of eco-voucher requests.
• This year’s allocated budget: over 1.43 billion lei for the Classic and Plus Scrappage Programs; support amounted to up to €7,500 for electric cars / 15,000 lei for plug-in hybrids.
• Industry associations (APIA) warned that the suspension shakes the auto market, affects consumers, and undermines the morale of Romania’s automotive industry.

Green Home – Photovoltaics Program 2025 (Casa Verde Fotovoltaice 2025) – what changes?

• Although AFM did not initially specify, Green Report later confirmed that the Green Home 2025 (Casa Verde 2025) is also part of the suspension, and the new application session has been officially postponed.
• Previously submitted or approved projects (2023–2024) are unaffected and will continue under current rules.
• Prime Minister Ilie Bolojan emphasized that there are not enough funds to cover all government-supported initiatives and that a delay of at least two years is possible.

Market reactions and concrete risks

The Association of Prosumers and Energy Consumers (APCE) strongly criticized the decision, highlighting a lack of transparency and pointing out that AFM resources do not come from the state budget, but from the sale of emission allowances (PECO), which are legally earmarked for pollution reduction — not for filling budget deficits.

• The confusing first press release raised legal questions about AFM’s authority
• The program’s blockage could affect tens of thousands of prosumers
• Autocritica.ro noted that many Romanians had already paid deposits or prepared for applications when the program was suspended. At the same time, car sales had been growing → 32% drop in car registrations in June 2025, while electric vehicles recorded a 41% decrease compared to the same period in 2024.

What is not affected?

Ongoing initiatives:

• Previously approved projects under Green Home 2023/2024 (Casa Verde 2023/2024)
• Car Scrappage Program for companies (Rabla pentru persoane juridice) (SMEs & HoReCa), which already launched in May 2025 with a ~670 million lei budget, and was not impacted by the June decision.

Outlook

• The suspension is closely tied to the state budget deficit — once new priorities are set, the Green Home 2025 (Casa Verde 2025) and the Car Scrappage Program (Rabla PF) could restart.
• Environment Minister Diana Buzoianu announced a possible relaunch by September 1, 2025, but with reduced subsidy amounts and an updated guide.
• Chances for relaunch depend on budgetary developments and the political coalition: without a functioning government, financing will remain on standby.

URBANLED recommendations for clients and prosumers

• Prepare your documents in advance: property deed, tax certificates (ANAF, DITL), ID card, active AFM account.
• Practice filling in the application form using demo platforms (e.g., AFM Scrappage Program demo) to minimize errors on launch day.
• Subscribe to AFM’s official website and notifications (email/WhatsApp) to receive immediate updates on program restarts.
• Those already registered (in any previous session): project implementation remains unaffected, execution continues under the approved contract.
• URBANLED offers free consulting: document preparation, eligibility simulation, and fast, up-to-date registration.

The suspension of the Green Home – Photovoltaics Program (Casa Verde Fotovoltaice) and the Car Scrappage Program (Rabla pentru persoane fizice), announced just one day before launch, reflects political and budgetary instability. Although temporary, prolonged uncertainty undermines trust in green policies. Interested parties must prepare quickly and carefully to be ready for potential relaunches.

At any stage (documentation, registration, processing), the URBANLED team provides complete and up-to-date support.