The Energy Act and the Electricity Market Act create the fundamental conditions for an electricity market in Croatia. Preparing and adopting Electricity Market Rules and other secondary legislative acts have created the condition for the operation and gradual opening of the market.
Only one electricity market exists in Croatia. Initially, the selected model was a bilateral market model in which electricity trading is carried out under bilateral contracts. Bilateral contracts are concluded between electricity market participants.
There are two customer categories in Croatia: eligible and tariff customers. Customers are granted the status of eligible customers in accordance with the Electricity Market Act (Article 31 ). From July 1, 2007 all non-household customers acquire the status of eligible customer.
The law provides for a gradual dynamics of opening electricity markets in the Republic of Croatia. The market is completely opened as from 1 July 2008.
The status of eligible customer gives the right to the customer to freely choose his supplier. Small customers (defined in Article 2 of the Electricity Market Act) who do not want to use acquired right of eligible customer can remain in the status of tariff customer.