Industry and Technology DepartmentIndustry and Technology Department

CROATIAN CHAMBER OF ECONOMY (CCE)

Energy as the Activity Carrier in Cooperation between Croatian Chamber

of Economy and European Organisations

CROATIAN CHAMBER OF ECONOMY (CCE)

Energy as the Activity Carrier in Cooperation between Croatian Chamber

of Economy and European Organisations

Prepared by Kresimir StihPrepared by Kresimir Stihe-mail e-mail kstih@hgk.hr

Pula, 9 May 2008Pula, 9 May 2008

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

CROATIAeconomic profile 2006

MACROECONOMIC STABILITY

• Population 4.442 mil.• GDP: 34,220 mil € • GDP per capita: 7,706 € • GDP growth: 4.8% (Q1-Q3 2007: 6.2%)• Industrial output growth: 4.5% • Inflation rate: 3.2%• Unemployment rate: 11.2% (ILO)• Average net salary: 630 €

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

CROATIAelectrical energy profile 2006

IMPORT 8,313.1 GWh 44,5%EXPORT 2,690.9 GWh 14,4%PRODUCTION 13,036.7 GWh 69,9%

• hydro power plants 6,728.7 GWh 36,1%• thermal power plants 3,930.2 GWh 21,1%• public cogen. plants 1,875.4 GWh 10,1%• industrial cogen. plants 471.9 GWh 2,5%• wind farms 19.1 GWh 0,1%• other 11.4 GWh 0,1%

TOTALNET CONSUMTION16,137.0 GWh 86,5%

IMPO

RT

IMPO

RT

HYD

RO

HYD

RO

EX

PEX

P

TH

.&C

OG

.TH

.&C

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.

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

RES IN EUNew EU Directive!

Proposal of new EU directive on the promotion of the use of energy from renewable sources: Transposition in Member State legislation – latest

31 March 2010 Electricity – average 20% of power consumption,

different for different Member States – Malta 10%, Sweden 49%

Share according to reference year (2005), energy consumption and growth,

Control through annual trajectory check points Defines 10% RES in transport Restriction to biofuels and biomass according to

environmental sustainability criteria Greenhouse gas impact Guarantees of origin – trading scheme Solar restriction – overall efficiency 35%

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

RES EXPECTATIONS

Lowering long term dependence on energy sources – improvement of energy stability & security of supply

Energy efficiency and less environment influence of fossil fuels

Employment increase, new SMEs in energy sector

New technology development

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

RES IN CROATIApossibilities

Best options for RES use in Croatia in terms of competitiveness and potential contribution to the national energy balance sheet: wind farms and biomass cogeneration for

electricity generation biomass heat plants and solar thermal collectors

for heat production liquid biofuels for transport

Other RES technologies - geothermal energy for heat, small hydro, geothermal cogeneration and solar PV for electric energy generation

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

RES IN CROATIAlegislative

Strong activities towards RES legislation, Since July 2007 legislation in conformity

with EU directives includes: Important statement: “Energy production from

RES is interest of Republic of Croatia” Definition of RES by category Energy share from RES in energy mix till end of

1010 – will not fulfil Registration procedures – MINGORP Incentive tariff system for energy produced

from RES

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

RES IN CROATIApotential

WIND POWER largest potential interest stronger

then connection to grid possibilities

1st wind farm 2005 – 5.8 MW

2nd wind farm 2006 – 12 MW

3rd wind farm under construction – 42 MW

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

RES IN CROATIApotential

Solar power: Still expensive technology, 1MW limit for

Croatia Return of investment approximately 16

years for small objects – contracts limited to 12 years

Theoretical financial reliability: coastline south from Zadar – PV, north thermal heating and cooling

Legislation does not recognise small solar power systems (less then 30 kW)

Small solar systems (4 in Croatia) – app. 56 kW capacity

Today’s PV efficiency – 15% Largest Solar power plant – Portugal, 12 MW

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

RES IN CROATIApotential

BIOFUELS: MODIBIT – Ozalj 20,000t/year

capacity Problems: raw

material, market No incentive for

agricultural production in future

VITREX - Virovitica 8,000t/year

capacity

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

RES IN CROATIA results

Legislation opens the race for licence:

Legal framework – licence requests for more then 1,500 MW RES

For illustration – Croatian electrical energy production capacities:

Hydro:

2,056 MW Thermal:

1,589 MW Nuclear:

338 MW(50% share NE Krsko,

Slovenia)

Best Scenario Realisation

HE34%

TE27%

NE6%

RES33%

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

RES IN CROATIA results Production:

First wind generator developed and produced in Croatia

Factory tested, prototype will soon be installed on-site

Production to start: Semiconductor technology for solar

panels

Important questions: New jobs: How can RES

increase employment? Energy efficiency: Who

is going on diet to save money for the food?

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

CROATIAN CHAMBER OF ECONOMYmain facts

• Established 1852

• More than 70,000 active members

• Umbrella institution of the Croatian business community

• 20 County Chambers, 7 Representative Offices abroad, 9 Departments, 6 Centres, 42 Professional Associations

• Euro Info Correspondence Centre

• BIZNET - Croatian companies database

• Business Opportunities Exchange

• Information about relevant regulations and laws in the field of economics

• Permanent Court of Arbitration and the Conciliation Centre

• ISO 9001/2000

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

CROATIAN CHAMBER OF ECONOMYmain facts

• Established 1852

• More than 70,000 active members

• Umbrella institution of the Croatian business community

• 20 County Chambers, 7 Representative Offices abroad, 9 Departments, 6 Centres, 42 Professional Associations

• Euro Info Correspondence Centre

• BIZNET - Croatian companies database

• Business Opportunities Exchange

• Information about relevant regulations and laws in the field of economics

• Permanent Court of Arbitration and the Conciliation Centre

• ISO 9001/2000

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

RES ACTIVITIEShow did it start?

Activities initiated by a group of enthusiasts involved in RES business

Beginning - hard work of a group of people Studies, promotion, education On-site measurements, research …

2005 – Established Association for RES Over 120 members after the 1st meeting

Members: Project developers, investors, companies Governmental institutions, policy creators and

energy agencies Universities, institutes and research laboratories

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

CROATIAN CHAMBER OF ECONOMYAssociation for RES – structure

ASSOCIATION FOR RENEWABLE ENERGY SOURCES(in regular frame of CCE structure)

WIND ENERGY WIND ENERGY GROUPGROUP

WIND ENERGY WIND ENERGY GROUPGROUP

SOLAR ENERGY SOLAR ENERGY GROUPGROUP

SOLAR ENERGY SOLAR ENERGY GROUPGROUP

BIOMASS GROUPBIOMASS GROUPBIOMASS GROUPBIOMASS GROUP

BIOFUEL GROUPBIOFUEL GROUPBIOFUEL GROUPBIOFUEL GROUP

SMALL HYDRO SMALL HYDRO GROUPGROUP

SMALL HYDRO SMALL HYDRO GROUPGROUP GEOTHERMAL GEOTHERMAL

ENERGY GROUPENERGY GROUP

GEOTHERMAL GEOTHERMAL ENERGY GROUPENERGY GROUP

RES EQUIPMENT RES EQUIPMENT PRODUCERS PRODUCERS

GROUPGROUP

RES EQUIPMENT RES EQUIPMENT PRODUCERS PRODUCERS

GROUPGROUP

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

RES ACTIVITIEScommon activities

Discuss issues related to RES policy, Promotion and education, Analyse the effects of the measures, propose

solutions and actively participate in final decisions,

Participation in expert teams of competent ministries,

Incentives and proposals relating to legislation and business conditions

Drafting of special laws and defining specific requirements for an activity

EU membership: EWEA, EURELECTRIC WWEA excellent relation – membership expected

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

RES ACTIVITIESpromotion & education

Regular annual conference with international participation: Wind & Solar – 2006 Biomass, biogas & biofuel – 2007o Next: Energy efficiency & Transport – end 2008

EUROPEAN BUSINESS FORUM ON

RENEWABLE ENERGY SOURCES in Cavtat – November 2007: 3 plenary sessions, 3 round tables, 1 study trip More then 210 participants, 120 from abroad Over 40 abstracts

More information: www.hgk.hr/ebfres

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

RES ACTIVITIESpromotion & education

Participation in Inteligent Energy – Europe 2007 as one of the partners to EUROCHAMBRES: CHANGE – Energy Efficiency for SMEs market monitoring, energy audits and pre-

checks and support schemes total budget over 2 mil. € 17 partners involved

Kick-off scheduled for middle September Croatian companies are invited to

participate in the programme

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

EURO INFO CORRESPONDANCE CENTRE

All relevant information from EU: EU legislative EU programmes opened for

Croatian participation Project partner search Public tendering Education

Relay centres: Dubrovnik Osijek Pula Rijeka Split

www.euroinfo.hr

PULA – ENERGY INFORMATION DAY – CROATIAN CHAMBER OF ECONOMY

EURO INFO CENTRE EU projects

Application for 128 EU project in different programmes, 3 in preparation for application: 32 succesfully closed projects 24 active project (in realisation) 24 opened applications 38 rejected project applications 3 in preparation 5 project ideas 3 quit projects 1 abandomed 1 canceled

Status on 21 April 2008

Industry and Technology DepartmentIndustry and Technology Department

THANK YOU FOR YOUR ATTENTIONTHANK YOU FOR YOUR ATTENTION

CROATIAN CHAMBER OF ECONOMYCROATIAN CHAMBER OF ECONOMYIndustry & Technology DepartmentIndustry & Technology DepartmentKresimir StihKresimir Stihe-mail e-mail kstih@hgk.hrPh. +385 (0) 1 4606 758Ph. +385 (0) 1 4606 758Fx. +385 (0) 1 4606 737Fx. +385 (0) 1 4606 737http://www.hgk.hr