LAWS TO WATCH: Electricity Market Act

HERA-17 April 2015, LPJ Croatia Issue 127

According to the proposed amendments, the act introduces an obligation by system operators to adopt business plans (annual, 3-year and 10-year) that are to be submitted to the Croatian Energy Regulatory Agency (HERA).

Regarding the procurement of goods, works, and services related to the construction and maintenance of their energy networks that are financed from connection fees, the act stipulates that the transmission system operator or distribution system operator is obliged to act in accordance with the provisions of the Public Procurement Act.

The transmission or distribution system operator is determined to be responsible for any change in energy suppliers. It stipulates that the contract with the former supplier is terminated on the date that the contract with the new supplier takes effect.  This will allow the transition process between suppliers to run more smoothly and with less legal obstacles.

In order to balance the energy market, the act stipulates that the transmission system operator buys and sells electricity from participants in the electricity market according to measured economic priorities.

The act increases consumer rights in the area of resolving complaints. The supplier shall efficiently resolve consumer complaints, including out-of-court settlements, and is required to provide an annual report on these activities to the HERA.

Proposed by: Ministry of Economy

Note: Public debate is open until 14 April 2015

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