NPOO.C7.1.I3.01.0001 Strengthening the gas infrastructure

Positioning Croatia as a regional energy hub requires additional investments that include expanding the capacity of the LNG terminal in Omišalj from the current 2.9 billion cubic meters of gas per year (338.000 cubic meters per hour) to 6.1 billion cubic meters of gas per year (700,000 cubic meters per hour) and investments in gas pipelines that could transport the mentioned gas to Slovenia and Hungary, ensuring gas imports and strengthening security of gas supply for the countries of Central and Southeastern Europe. Moreover, the implementation of these investments will contribute to reducing dependence on Russia and strengthening the strategic autonomy of the EU, which is fully in line with the REPowerEU plan of the European Commission published on 18 May 2022. The REPowerEU plan concludes as follows: “In Central and Southeastern Europe, among the key priority gas infrastructure projects that became operational in the course of 2020-2021, the LNG terminal on Krk was also highlighted. The assessment has also shown that, among other projects in the region, in the medium term, an expansion of the capacity of the LNG terminal in Krk will further help mitigating Russian supply dependence, but to reap these benefits, it would be necessary to enhance the Croatian transmission grid towards Slovenia and Hungary.”

As a reaction to the REPowerEU plan, the Croatian Government passed a Decision on increasing security of supply by expanding the capacity of the LNG terminal on the island of Krk and further developing gas pipelines through which the mentioned gas could be transported to Slovenia and Hungary, with the aim of maximally increasing energy independence, continuity and security of gas supply of Croatia and neighbouring EU member states.
Accordingly, the relevant projects were included in the addendum to the National Recovery and Resilience Plan (NPOO).
 
In this regard, in addition to expanding the capacity of the LNG terminal on Krk, the Plan envisages the construction of the gas pipelines Zlobin - Bosiljevo, Bosiljevo - Sisak - Kozarac and Zabok - Lučko. The existing gas pipeline Omišalj - Zlobin will be connected to the gas pipelines Zlobin - Bosiljevo and Bosiljevo - Sisak - Kozarac, which together with the existing gas pipeline Kozarac - Slobodnica will form the main evacuation gas pipeline, connecting the LNG Terminal on Krk with the countries of Central and Eastern Europe and Ukraine via Hungary. The capacity of the gas pipeline from Zlobin via Bosiljevo, Sisak and Kozarac to Hungary will increase to the maximum possible 3.5 billion cubic meters per year (depending on the directing towards Slovenia). In addition to the mentioned gas pipelines, it is planned to upgrade the gas pipeline to Slovenia (Lučko - Zabok - Rogatec) by phase 1 on the Lučko - Zabok section. This upgrade would provide a gas transmission capacity to Slovenia in the amount of 1.5 billion cubic meters per year and cover their peak consumption. All planned infrastructure will be ready for transport of hydrogen in the future.
Within the stated project the construction of four gas pipelines is planned:
     Zlobin - Bosiljevo
     Bosiljevo - Sisak
     Kozarac - Sisak and
     Zabok - Lučko.



With the construction of four gas pipelines with a total length of 216 km, Croatia will position itself as a regional energy hub. The implementation of the project will ensure the energy independence of the Republic of Croatia as well as the continuity and security of natural gas supply to households and businesses on the territory of the Republic of Croatia and other members of the European Union.

By the Council implementing decision amending the Implementing Decision of July 28, 2021 on the approval of the assessment of the recovery and resilience plan for Croatia from December 2023 and the Revised ANNEX TO THE COUNCIL IMPLEMENTING DECISION amending the Implementing Decision of July 28, 2021 on the approval of the assessment of the recovery and resilience plan for Croatia from November 2023, the European Council approved the financing of the proposed gas pipelines, and on 5 April 2024, Plinacro signed a grant agreement with the competent authorities for NPOO.C7.1.I3.01.0001 Strengthening the gas infrastructure.
 
In this contract Plinacro is granted 533 million euros from the Recovery and Resilience Facility for the construction of four gas pipelines that will transport gas from the LNG terminal on Krk to Slovenia and Hungary and other countries in Southeast Europe.


 

Note: Funded by the European Union - NextGenerationEU. Views and opinions expressed are solely those of the author and do not necessarily reflect the official views of the European Union or the European Commission. Neither the European Union nor the European Commission can be held responsible for them.