HEP Plin Acquires the Distribution Gas Network of the Municipality of Bizovac

The company HEP Plin, a member of the HEP Group, signed a contract with the Municipality of Bizovac at the beginning of July for the purchase of 52.5 kilometers of gas network owned by the municipality, with a contract value of 2.1 million kuna, reported Hrvatska elektroprivreda (HEP) on Thursday. 

According to the statement, the contract ensures the long-term functionality of the gas network in the municipality of Bizovac, and with it, HEP Plin almost completely rounds off the distribution-supply area in the Osijek-Baranja County.

– The acquisition includes the network in the settlements of Bizovac, Habjanovci, Brođanci, Cret Bizovački, Novaki Bizovački, and Samatovci, confirming HEP Plin’s position as one of the leading gas distributors and suppliers in the Croatian market. HEP Plin will supply nearly 100,000 customers and manage over 3,900 kilometers of gas distribution network in four counties in eastern Croatia – Osijek-Baranja, Požega-Slavonia, Virovitica-Podravina, and Vukovar-Srijem – HEP emphasizes.

They explain that the Municipality of Bizovac built the gas network in its area in 1995 with its own funds, which is then managed by the municipal company Dvorac from Valpovo. Based on a public tender, HEP-Plin received the concession for the distribution and supply of gas to customers in the Municipality of Bizovac in April 2003.

– The purchase of the distribution gas network of the Municipality of Bizovac is part of HEP Plin’s business strategy, which includes consolidating ownership of the gas network in its own distribution areas, taking over the gas network owned by local government units, and acquiring other companies engaged in gas distribution and supply – HEP emphasizes.

They remind that HEP Plin took over the distribution network of the municipality of Feričanci in 2018, and in 2019 the company for gas distribution and supply Plin Vtc from Virovitica. In March of this year, they add, HEP Plin signed contracts for the purchase of business shares in the companies PPD-Gas Distribution and PPD-Household Supply, thereby completing the gas distribution network and customer supply in the Vukovar-Srijem County. 

– HEP Plin’s long-term plans are focused on building additional gas networks and introducing new technologies, such as remote reading and ‘smart’ gas meters, thereby ensuring the foundations for further increasing the number of customers, the volume of distributed gas, and improving service quality – concludes the statement.

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