The Government Still Does Not Know Who Traded Surplus Gas

The government currently has no picture of who has been purchasing the surplus domestic gas that HEP bought from INA, at what prices, and what the losses for HEP are; this and other data will be presented after a thorough analysis, said Prime Minister Andrej Plenković at a press conference following the government session on Thursday.

– At this moment, we still do not have that picture – he added, reminding that he requested the Minister of Economy to conduct a comprehensive analysis.

– We are conducting a thorough analysis; it is too early to make any judgment about who has been purchasing gas. The entire procedure for selling surplus gas is complex. We will see what HEP, Plinacro, HROTE, and HERA say – said Plenković.

He stated that it is too early for any categorical judgment, as the gas trading procedures are complex and require a few more days of analysis.

Journalists pointed out two contradictory pieces of information: one from HEP, which claims it warned the government and the ministry that surpluses were being created, and the other, unofficial, that the ministry received information from HEP that they were using the surpluses for electricity production and selling at market prices.

– We will see all of that. Thanks to the government’s decisions, HEP has been purchasing gas at a much more favorable price. Whether there have been surpluses sold in the last few weeks according to the existing methodology, we will write all of that down. I cannot say that as a government we have comprehensive information on all aspects – the Prime Minister responded.

When asked whether he would dismiss the CEO of HEP, Frano Barbarić, and the HEP management, he replied that he would “still see.”

– It is too early to speak; we will carefully assess the situation, and when we have information, we will talk about further steps – he stated.

He asserted that he learned about the controversial trading of surplus gas on Friday when he returned from Brussels. He responded with ‘I don’t know’ to the question of whether this situation appears to have criminal undertones.

– It is concerning that surpluses occurred without us being clearly and timely warned. Now we will have time to calmly assess everything. We will tell you everything when we are informed – he added.

He remained without a clear answer to the question of how it is possible that millions are lost from a state company, and no one warned the Prime Minister and the government. He claims that Minister of Economy Davor Filipović was also unaware of the case until Friday. When asked why he was not informed of HROTE’s data on daily gas trading, which could have indicated something was wrong, he replied that he still does not have a complete picture.

The question of selling surplus gas that HEP purchases from INA at regulated prices arose after the Most party’s MP Zvonimir Troskot claimed that HEP sells this gas significantly below cost, thus creating losses.

Troskot claims that HEP purchases gas from INA at a price of 47.60 euros per megawatt-hour, and then sells it to suppliers through the Croatian Energy Market Operator at a significantly lower price, which in some cases results in daily losses of around 500,000 euros.

Information that HEP lost 10 million euros on gas surpluses alone in June was met with criticism in the opposition ranks in Parliament, but also with calls for accountability, not just from the heads of HEP and the Ministry of Economy, but from Prime Minister Andrej Plenković.