HERA's Scope of Work

HERA's duties are of interest for the Republic of Croatia and HERA perform them on the basis of public authority.

HERA's activities, powers and responsibilities are laid down in the Act on the Regulation of Energy Activities (Official Gazette, No. 120/12), the Energy Act (Official Gazette, No. 120/12, 14/14, 102/15), HERA's Statute and other legal acts governing the performing of specific energy activities.

Regulation of energy activities has the following basic objectives:
  • ensuring the objectivity, transparency and impartiality in the performing of energy activities,
  • helping with the execution of the principle of regulated access to network/system,
  • fixing methodologies for setting the tariff items of tariff systems,
  • establishing the efficient energy market and market competition,
  • protecting the energy customers and energy undertakings
Regulation of energy activities promotes:
  • efficient and rational use of energy,
  • entrepreneurship in the energy sector,
  • investments in the energy sector,
  • environmental protection
HERA's basic duties include:
  1. issuance, prolongation and transfer of licences to perform energy activities, as well as temporary and permanent revoking of licences,
  2. monitoring the energy undertaking in their performing of energy activities,
  3. monitoring compliance with provisions on unbundling in accordance with the Energy Act and regulations governing the performance of specific energy activities,
  4. monitoring the separate account keeping, as prescribed by the Energy Act and regulations governing the performance of specific energy activities,
  5. monitoring compliance with the prohibition of cross-subsidies between energy activities, in accordance with regulations governing the performance of specific energy activities,
  6. monitoring compliance with the principles of transparency, objectiveness and non-discrimination in activities of energy market operators,
  7. giving approval to the market rules for electricity and natural gas,
  8. issuing decisions on acquiring of the status of eligible energy producer, as well as temporary and permanent revoking of the status of eligible energy producer,
  9. adopting methodologies i.e. tariff systems in accordance with this Act, the Energy Act and other regulations governing the performance of specific energy activities,
  10. fixing or approving prices, amounts of tariff items and remunerations in accordance with methodologies i.e. tariff systems referred to under point 9 of this Article,
  11. giving approval to investment plans as well as system development and construction plans, in accordance with regulations governing the performance of specific energy activities,
  12. monitoring of the compatibility of investment plans as well as development- and construction plans of transmission and transportation system operators with development plans of ENTSO-E and ENTSO-G,
  13. monitoring the compliance of transmission-, transportation and distribution system operators, as well as of system owners, with the obligations prescribed in this Act, the Energy Act and other regulations governing the performance of specific energy activities, and with Regulations 714/2009 and 715/2009,
  14. cooperation with regulatory bodies of the member states of European Union, neighbouring states and ACER concerning the cross-border issues,
  15. cooperation with regulatory- and other bodies within the frame of Energy Community in accordance with the Act on Ratification of the Energy Community Treaty,
  16. executing the legally binding decisions by ACER and the Commission,
  17. submitting an annual report to the Croatian Parliament on the Agency's activities and fulfilment of obligations prescribed in this Act, the Energy Act and other regulations governing the performance of specific energy activities,
  18. reporting to other relevant state bodies, ACER, the Commission and other EU bodies,
  19. adopting the terms of the quality of energy supply, in accordance with regulations governing the performing of energy activities,
  20. adopting the general conditions of energy supply,
  21. adopting of and monitoring the compliance with the methodology for setting the connection charges for connecting new energy undertakings and final customers to the network/system, as well as for the upgrade of their connection ratings/capacities,
  22. undertaking cost-benefit analysis and collecting opinions of the representatives of customer protection bodies regarding the introduction of advanced metering devices for final customers,
  23. monitoring the quality of energy supply in accordance with regulations governing the performance of energy activities,
  24. monitoring the transparency of functioning of the energy market,
  25. monitoring the level of market opening, competition and malpractices on the energy market and in the customer supply,
  26. monitoring restrictive contractual practices, and in particular contracts including clauses limiting the number of suppliers and, where appropriate, informing the national market competition protection authorities,
  27. monitoring the contractual freedom with regard to interruptible supply contracts and long-term contracts, providing these are compatible with European Union law and policies,
  28. monitoring the time taken by transmission, transportation or distribution system operators to execute connections and repairs,
  29. helping to ensure, together with other relevant authorities, the application of efficient and prescribed customer protection measures,
  30. publishing recommendations, at least annually, related to prices of energy supply which is being performed as public service,
  31. ensuring the right of customers to access their energy consumption data,
  32. monitoring the confidentiality of customer data related to energy consumption,
  33. monitoring investments in electricity production facilities with regard to security of supply,
  34. certification of transmission i.e. transportation system operators in accordance with provision of Electricity Market Act and Natural Gas Market Act,
  35. monitoring the application of prescribed criteria for establishing the access to gas storage system,
  36. monitoring the compliance with measures in case of critical situations prescribed by the Government of the Republic of Croatia in accordance with provisions of the Energy Act,
  37. contributing to the compatibility of data exchange for the most important market processes at regional level
Energy activities are:
  1. generation of electricity
  2. transmission of electricity
  3. distribution of electricity
  4. electricity market organization
  5. supply of electricity
  6. electricity trading
  7. gas production
  8. natural gas production
  9. gas transmission
  10. gas storage
  11. LNG facility operation
  12. gas distribution
  13. gas market organization
  14. gas trading
  15. gas supply
  16. production of thermal energy
  17. thermal energy supply
  18. distribution of thermal energy
  19. production of biofuels
  20. wholesale of biofuels
  21. retail sale of biofuels*
  22. storage of biofuels
  23. production of oil derivatives
  24. transportation of oil through oil pipelines
  25. transportation of oil derivatives through product pipelines
  26. transportation of oil, oil derivatives and biofuels by road vehicles *
  27. transportation of oil, oil derivatives and biofuels by railway *
  28. transportation of oil, oil derivatives and biofuels by waterway *
  29. wholesale of oil derivatives
  30. retail sale of oil derivatives*
  31. storage of oil and oil derivatives
  32. storage of liquefied petroleum gas (LPG)
  33. wholesale of liquefied petroleum gas (LPG)
  34. retail sale of liquefied petroleum gas (LPG)*

* For energy activities under 21, 26, 27, 28, 30 i 34 no license for performing energy activities is needed.