Croatia, Country expects 640 million euros from the sale of CO2 emission allowances

, SEE Energy News

Croatia has launched a public debate on the amendments to the plan for the use of funds obtained from the sale of emission allowances through auctions in the country in the period 2021 -2025.

At the beginning of 2020, the price of ETS allowances was around 25 euros per ton, and today it is 80-90 euros per ton. The proceeds will be used, among other things, to control energy prices through short-term support and other measures, in line with European Commission guidelines.

Revenues in that period are projected at 622.8 million euros, with an estimate that the average adjusted price at the primary auction will be 77 euros per EUA for this year and 60 euros per EUA for the period from 2023 to 2025. The amount remaining from the auctions conducted until 2020 of about 90 million euros was added to the planned income.

Accordingly, an amount of EUR 616 million is available. Of that, 73 % or 455 million euros will be spent on the low-carbon energy transition. Also, the money will be distributed to the non-energy sector, waste management, climate change adaptation, as well as research, development and cross-border projects.

The plan also envisages co-financing energy prices for vulnerable consumers due to rising energy prices.