Croatia is preparing a broad revision of its electricity-market legislation covering delayed renewable projects and new provisions for grid connections, energy sharing, retail contracts and long-term power-market instruments. One immediate issue highlighted in the proposal relates to uncertainty in connection regulation. Regulator HERA set the unit grid-connection fee only in May after a prolonged delay that prevented some developers from completing connection agreements.
According to the Croatian Renewable Energy Sources Association, 16 energy approvals covering 711 MW were scheduled to expire by the end of August. The draft legislation would protect projects from losing approvals where the delay stemmed from regulatory circumstances beyond developers’ control. The proposal also targets cases linked specifically to the absence of the connection fee.
For projects affected by the lack of the fee, relevant deadlines would be calculated from the date HERA adopted its decision. Developers whose approvals had already expired for the same reason would be able to apply again. The draft also allows extensions where administrative delays occur in spatial planning or construction permitting.
Grid-connection procedures and timelines under proposed amendments
The amendments are described as extending beyond transitional relief. Distribution operators would be required to publish clearer information on available connection capacity. They would also have to apply transparent and non-discriminatory procedures for grid connections.
The legislation would further require existing producer connection agreements that do not include final completion deadlines to be concluded within four years after the revised law enters into force. This requirement is intended to set a defined timeframe for projects without specified completion dates.
Electricity sharing, retail contract options and wholesale-market changes
The reform would introduce electricity sharing mechanisms. Under the proposal, renewable generation including surplus rooftop solar could be distributed between consumers and within residential communities. Customers would be offered a wider range of contract types, including fixed-term and fixed-price products, as well as dynamic tariffs linked to wholesale prices.
Wholesale-market provisions in the draft would support greater use of power purchase agreements and two-way contracts for difference. Supplier risk-management obligations and national resource-adequacy assessments would also be incorporated into the framework.
