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Croatia: Zagreb Mayor comments on Administrative Court ruling in gas service dispute

Zagreb Mayor Tomislav Tomasevic announced earlier this week that the Administrative Court did not rule on the merits of the lawsuit filed by Gradska Plinara Zagreb against the energy market regulatory authority HERA. Instead, the court declined to grant a suspensive effect, which would have temporarily halted HERA’s decision to appoint Medjimurje Plin as the public service provider starting October 1.

Tomasevic clarified that the court’s decision pertains only to the suspensive effect and not to the underlying legality of HERA’s decision, which GPZO contests as illegal. He stated that the Administrative Court’s ruling does not address the core issues of the case.

While he could not yet disclose the number of citizens who have chosen to remain customers of Gradska Plinara Zagreb – Opskrba (GPZO), he indicated that the response has exceeded his expectations. This information, currently deemed commercially sensitive, will be made public soon.

Reports indicate that the Administrative Court rejected GPZO’s request aimed at HERA and indirectly at Medjimurje Plin regarding the selection of a public service provider for Zagreb. HERA had previously selected Medjimurje Plin over GPZO for this role.

The court dismissed GPZO’s argument that their lawsuit warranted a suspensive effect, which they claimed would prevent a projected annual revenue loss of €222 million based on 2023 financial reports, potentially jeopardizing the company’s operations. Medjimurje Plin opposed the request, asserting that HERA’s decision was based on errors and irregularities not in line with the Gas Market Act.

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