The price of electricity in Croatia has been steadily increasing since the start of the year, with household electricity costs rising by approximately 10% in recent months. However, a decision made by the Croatian Energy Regulatory Agency (HERA) on 9 December regarding changes to electricity transmission and distribution fees was not publicly disclosed.
During the 9 December session, HERA approved an increase in network fees by 12% for all customer categories, effective from 1 January 2025. This change will lead to a 3.7% increase in the average annual electricity bill for households, which is about 10% higher compared to rates before 1 November 2024. For example, a household consuming 3,000 kWh annually will face an additional cost of less than 4 euros per month. Despite this adjustment, state-owned electricity provider HEP has stated that electricity prices for Croatian households will remain among the lowest in the European Union.
Since 1 November 2024, households have already been experiencing a slight increase of around 2 euros per month on their electricity bills. Institutions such as hospitals, schools, and kindergartens, along with associations and small businesses with semi-annual consumption of up to 250 MWh, began facing similar tariff increases on 1 October 2024. For these entities, the average increase was 6.8% for institutions and 6.4% for small businesses.
Consumers on a six-month billing cycle will receive an adjusted bill in the spring, which will account for consumption under three different rates: before 1 November 2024 (one rate), from 1 November to 31 December 2024 (second rate), and after 1 January 2025 (third rate). However, customers who submit meter readings through one of five available methods will avoid receiving an estimated bill.
The 12% cap on network fee increases was set by the Croatian Government to prevent disturbances in the energy market. This regulation simplified the decision-making process for HERA, as rejecting an increase above this limit would have been difficult to justify.
