Croatia is preparing an intermediate household gas pricing system starting Oct. 1, 2027, with a transition period before full household gas deregulation. The approach is intended to delay immediate full deregulation while exposing consumers more gradually to wholesale market prices.
HERA consultation on regulated public-service option
Energy regulator HERA is consulting on a model under which households would keep access to regulated public-service gas supply alongside commercial market offers. Under the proposal, the existing methodology for setting public-service prices would broadly remain.
HERA said regulated tariffs could be made more responsive to changing market conditions. The regulator is also consulting on changes to supplier obligations tied to the provision of the regulated option.
Changes to public-service supplier appointment and obligations
Instead of appointing public-service suppliers through tenders, companies offering commercial household gas contracts in a distribution area would also be required to provide a regulated public-service option there. HERA expects the framework to increase competition without immediately removing consumer protection.
The consumer protection element became particularly important during the 2022-23 energy crisis, according to HERA’s consultation context. The regulator is conducting a fresh assessment covering wholesale and retail competition, security of supply, and barriers to fully market-based pricing.
Switching rates and pace toward full market-based retail
HERA identified low household switching rates as an obstacle to immediate deregulation. The regulator’s assessment indicates Croatia will continue moving cautiously toward a fully commercial retail gas market.
