GOV'T TURNS DOWN PROPOSAL TO ANNUL DEAL ON POWER PLANT

ZAGREB, Feb 27 (Hina) - At the closed part of Thursday's session, the Croatian government turned down a proposal by the Croatian Social Liberal Party to put out of force a law ratifying an agreement with Slovenia on the Krsko nuclear power plant, Deputy Prime Minister Goran Granic told reporters. #L# Croatia's interest is that the Croatian Power Company (HEP), as the 50-percent owner of the plant located in Slovenia, realise its ownership rights, Granic said. The Croatian Sabor ratified the agreement concerning the power plant on July 3 last year while the Slovene parliament ratified the agreement on Tuesday. The Croatian side expects to receive a diplomatic note from the Slovenes about the ratification so that the agreement can finally be realised, Granic said. He expects the note could arrive within a fortnight. The agreement, signed in December 2001, provided that Croatia would begin to receive electricity from Krsko as of July 1, 2002. This, however, did not occur and HEP intends to seek compensation for the period between July 1 and the agreement's coming into force. It is not yet known whether compensation will be sought in kind (electricity) or in money. Granic could not see any reason why Croatia would wish to annul the agreement now that the Slovene parliament had ratified it. With the agreement, Croatia is going to realise some of its demands, the key right being that of ownership, Granic said. One of the major steps following the Slovene diplomatic note would be to agree on a date for HEP to assume its part in the supervision of the power plant and on when transmission of electricity to Croatia will start, he said. Whether Croatia will retain ownership over the power plant or decide to sell its share will depend on economic circumstances, said Granic. There has been no decision to sell Croatia's share in the power plant, Granic said, adding that for that decision to be even considered, Croatia had to establish itself as part-owner. (Hina) sp