Agreement on first renewables development analysis in Croatia signed

The Croatian Ministry of Environment and Energy, Croatian Transmission System Operator (HOPS), Croatian Energy Market Operator (HROTE) and the Energy Institute Hrvoje Požar (EIHP) signed an agreement on the analysis of the renewable energy sources (RES) development.

The signing of the agreement is a first step in the development of an integrated analysis of the effects of the use of renewables in Croatia in the period 2007-2016. The tool should be used to monitor the renewable energy market in the future. This is the first analysis of the effects of renewables’ integration in Croatia. The effects will be analyzed from a technical, technological, economic, legal and social aspect, which should provide insights for the future in this field.

According to a press release published on the HOPS official website, the use of renewable energy sources is one of the priorities of energy policy both in Croatia and the European Union (EU).

Referring to the new “Winter Energy Package” issued by the European Commission, the representatives of HOPS say that the future of the energy sector is in the implementation of renewable energy sources, not only for the electricity generation but also for heating and cooling.

The agreement was signed by Goran Granić, Miroslav Mesić, Boris Abramović and Slaven Dobrović on behalf of EIHP, HOPS, HROTE and the Ministry of Environment and Energy.

New renewable energy incentives as of April?

The system of incentive fees for the generation of electricity from RES was introduced in Croatia in 2007 and since then it has undergone a series of changes.

In December 2016, electricity suppliers in Croatia have criticized announced changes to the law supposed to provide greater incentives for producers of electricity from renewable energy sources and demanded from the Government to ensure the purchase of electricity from renewable sources at market prices.

Although it was due to come into force on January 1, the implementation of the law has been postponed until further notice. According to Croatian national broadcaster, there is speculation that the application of new measures aimed to promote electricity generation from RES is expected to come into force on April 1. The media service reported that  the incentive fees for RES will be increased by a maximum of HRK 0.07 (EUR 0.0094).

In addition, the Government might impose excise duties as a new burden for producers of electricity from RES, media reported.