Croatian entrepreneurs urge government action as power bills triple

Croatia’s association of entrepreneurs is asking the government to ensure the price of electricity they pay is equal to the one paid by households, because their power bills have tripled. If nothing changes, entrepreneurs will be forced to increase the prices of their goods and services, lay off workers, and close down businesses, the association warned.

Businesses in Croatia have been hit by high electricity prices in recent weeks due to the energy crisis, so in mid-April, the Croatian Employers’ Association (HUP) urged the government to react because their power bills had jumped by up to 400%.

The prices of last resort supply have jumped from 18 euro cents to 33 and 40 euro cents

The Voice of Entrepreneurs, with over 18,000 members, says that not only have oil and gas prices risen, but the vast majority of entrepreneurs have received electricity bills up to three times higher than the previous ones. It is difficult for entrepreneurs to pay such high bills, so they will be forced to lay off workers, close down businesses, or get loans, according to the association.

Until March 31, the price of last resort supply after two months without a contract was 18 euro cents, but from April 1 it jumped to 40 euro cents for firms with a grid connection of under 20 kW, or 33 euro cents for those with a grid connection capacity above 20 kW.

The basic price is three times higher for entrepreneurs compared to households, a model that does not exist anywhere in the EU

The Voice of Entrepreneurs is asking the government to equalize the tariff for entrepreneurs and households, because the basic price is three times higher for entrepreneurs compared to households. Such a model cannot be found anywhere in the EU, according to the association.

In case the authorities do not react, the prices of many goods and services offered by entrepreneurs will go up, and that will affect everyone, entrepreneurs warned.

Hrvoje Bujas, president of the Voice of Entrepreneurs, said it is a shame that electricity is three times more expensive for entrepreneurs than for citizens. Such discrimination does not exist anywhere in the EU, he added.