The Croatian Gas Association (CGA) is actively involved in events on issues related to the gas sector in Croatia. The President of the CGA, Assist Prof Dalibor Pudić, made a number of media appearances in 2022 due to the public’s great interest in the disruptions in the global gas market (due to historically high gas prices). It has become a gas crisis that intensified in 2022 on account of significant changes in geopolitical circumstances. In his statements, the President of the CGA endeavoured to clarify the views of the gas industry to timely and professionally inform the interested public.

Visitors to the CGA website can read the statements of the President of the CGA on issues relating to the gas crisis at the links below:

“Compared to the previous year, gas consumption in the EU declined by 10% (approximately 30 billion m3 of gas). The current gas price is significantly lower than in previous months due to the filling of gas storage and warm weather. In the long term, a sure drop in gas prices is not likely without an alternative solution for generating electricity from gas (22% of electricity in the EU is produced from gas), the cessation of the conflict in Ukraine and the construction of additional LNG capacity. Gas prices could fall if there is a recession and production declines and, consequently, demand. Croatia has enough gas for the coming heating season.”  (26 October 2022)

“Croatian and European storage facilities are filled to a greater capacity in this period than in previous years. Croatia is in a good situation because it also has LNG terminal and gas storage facility, contributing to secure supplies in addition to domestic gas production. Secure gas supplies are certain, and prices for citizens are protected until 31 March next year.”  (13 October2022.)

 “We have an LNG terminal, our own storage and gas production and quite a lot of gas is used to generate electricity. It’s also well-planned. It’s safe to say that there will be gas for the heating season.”
(10 October 2022)

 “Due to market disruptions, more than 100,000 household customers switched gas suppliers and moved to public supply. Croatia has all the predispositions of securing gas supplies. In this regard, it is one of the EU member states in the best possible situation.”  (28 September 2022)

 “Gas prices over the last year and a half have fluctuated a lot and depend on specific statements in public, the conflict in Ukraine, alternative heating solutions, other energy sources used within the EU… In the short term, other solutions should be sought, including different supply routes for gas, the construction of additional LNG capacities and the possible accelerated transformation of power plants that can operate on other types of energy products – to make gas available for businesses and citizens.”  (27 September 2022)

 “The Croatian Government has implemented generous measures to help households and businesses. Perhaps, if there is an opportunity concerning rising inflation and taxation, to help a certain group of consumers, or producers and businesses.”  (8 September 2022)

 “Historically, there has not been a situation when gas prices in the market increased by 10 or 15 fold. In February last year, the market price was below 20 euros/MWh; today, it is 260 euros/MWh. However, it cannot be that citizens run out of gas because there is gas on the market.”  (23 August 2022)

 “Considering the issue associated with gas supply and the gas market in Europe, the solution lies in a common European policy and investments in different supply routes. Gas should be procured for the entire EU at a lower price.”  (11 May 2022)

“If there is a disruption of deliveries, consumption has to be reduced by at least 20 percent. This situation would probably happen in the economy, but citizens should also not waste energy. Regarding securing gas supplies, the solution should be for the state to fill gas storage facilities since the state is responsible for securing supplies on its territory.”  (4 May 2022)

 “The state will assign the national state-owned electric utility company HEP to fill the underground gas storage facility PSP Okoli. All gas storage facilities in the EU must fill up to 80% capacity by 1 November 2022 and 90% next year. It is unlikely that Croatia will run out of gas, but consumption has to be more rational. In any disruption, gas-powered thermal power plants can switch to alternative fuels and free up space for other consumers.”  (4 May 2022)

“The state is responsible for securing gas supplies, and if none of the storage facility lessees plans to purchase gas due to high gas prices, the state should do so because the price of securing gas supplies is definitely lower than if there were no such gas.”  (2 May 2022)

“Gas prices will increase on 1 April; the state has stepped in to help citizens with its package of measures. The Croatian Government has provided a generous package of almost 5 billion kuna.”  (29 March 2022)

“The record increase in gas prices measuring hundreds of percent, in addition to specific factors (increase in demand due to the recovery of industrial production, increase in demand for liquefied natural gas in Asia, declining production in Norway and the Netherlands, European gas storage facilities filled at low levels on the eve of the heating season, lack of higher oil production by OPEC member states and rising environmental emission costs),  was also impacted by factors that are primarily geopolitical, and also psychological.”  (24 February 2022)