engleski

Energy Efficiency and Environmental Protection in the Liberalization of the Croatian Energy Sector

Energy efficiency and renewable energy sources have been brought into the focus of the energy policy not only in developed countries but also in Croatia. This is especially pronounced in the Kyoto Protocol and in the energy sector liberalization processes going on since '90s of the last century. The most important underlying reason is the scarcity of energy resources and, consequently, heavy dependency on energy imports in Europe &#8211 ; ; above 50% and still increasing &#8211 ; ; leading to the adoption of European Energy Strategy (Green Paper) which emphasizes energy efficiency and utilization of renewable energy sources as one of the measures for lowering the dependency. Other important reasons are environmental problems that are a consequence of intensive development, competitive market, increased living standards, and energy costs. Incentives for investment into renewable energy resources and energy efficiency as well as environmental protection measures will be financed through a number of different charges, the most important for Hrvatska Elektroprivreda being the charges on CO2, SO2 and NOx emissions, on buildings for which environmental impact assessment is legally required, and on burdening the environment with waste. The imposing of these charges will affect the prices of final products of Hrvatska Elektroprivreda and, at the same time, costs of industry, services and households. The ratification and implementation of the Kyoto protocol, without taking into consideration Croatia-specific requirements, together with stranded costs arising as a result of the coming into force of energy legislation in 2001, exert an additional pressure on electricity prices and thereby on the economic development of Croatia. The paper discusses the above aspects and the effects of the Environmental Protection and Energy Efficiency Fund, development of renewable energy sources, and implementation of energy efficiency and more stringent environmental regulations, on the day-to-day operations of Hrvatska Elektroprivreda and preparation for the arrival of competition in the energy sector.

energy efficiency; environmental protection; liberalization; energy sector; Croatia

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