Member Article

As of February 2014, Amendments to the Gas Market Act have become applicable in Croatia. The amended Act defines the new role of wholesale supplier of natural gas. Supplier should be company that domestic natural gas producers will sell the gas under regulated price and conditions and who will then resell the natural gas at another regulated distribution price to local suppliers that ultimately supply end users with natural gas. This role is named “the supplier's supplier”, and Croatian Government will appoint such supplier for a definite term, not longer than 3 years.

At the end of February 2014, the Croatian Government adopted a decision to appoint HEP d.d. as the new natural gas wholesale supplier until 2017, replacing Prirodni plin d.o.o. as the wholesale supplier. In addition to the wholesale supplier appointment, the Government adopted a decision on the regulation of natural gas prices for households. The price of natural gas for industry consumers is not regulated by the state. Complete liberalisation of the natural gas market in Croatia is expected in three years, when the price of natural gas for households will also be formed by the market.