Croatia: HEP’s gas sector acquisitions

, SEE Energy News

Last year, HEP Plin acquired local gas distributor Plin VTC, the company that operates in Virovitrica municipality, for some 2.6 million euros.

State-owned power utility HEP continues with acquisitions and mergers in the Croatian gas sector. Namely, its subsidiary HEP Plin signed an agreement with the municipality of Bizovac on the purchase of 52.5 kilometers of gas network owned by the municipality, thus ensuring its long-term functionality.

The value of the contract amounts to 280,000 euros and with it HEP Plin almost completely owns the distribution and supply of natural gas in Osijek-Baranja County. Thus, HEP Plin will supply almost 100,000 consumers in Slavonia and manage more than 3,900 kilometers of gas distribution network in four counties: Osijek-Baranja, Pozega-Slavonia, Virovitica-Podravina and Vukovar-Srijem.

The gas network in Bizovac was built by the municipality in 1995 with its own funds and then operated by the utility company Dvorac. From 2003, HEP operated this distribution network under a concession.