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PARLIAMENT DISCUSSED PRIVATISATION OF INA, HEP

ZAGREB, March 15 (Hina) - The parliament on Friday ended a discussion on the final draft strategy on the development of Croatia's energy system until 2030, which was supported by MPs of the ruling coalition, while most of the opposition rejected it. Members of parliament will vote on the strategy next week.
ZAGREB, March 15 (Hina) - The parliament on Friday ended a discussion on the final draft strategy on the development of Croatia's energy system until 2030, which was supported by MPs of the ruling coalition, while most of the opposition rejected it. Members of parliament will vote on the strategy next week. #L# Opposition MPs believe that the strategy is only a copied text from 1999 which was vehemently opposed to by the then opposition, now the ruling coalition. Deputy Economy Minister Maja Brinar concluded the discussion saying the strategy involves a complete reform of the energy system and its development in line with European standards. The government's draft laws on INA and HEP were supported by parties of the ruling coalition, while all parties of the opposition refused to adopt them. MPs will vote on the bills on Tuesday. The Croatian Democratic Union (HDZ), Istrian Democratic Assembly (IDS) and Democratic Centre (DC) requested a third reading of the bills, because they believe that conditions for the companies' privatisation have not been met. The Croatian Party of Rights (HSP) opposed the bills completely. Opposition MPs also said that the government was trying to carry out both privatisation processes under pressure and influence of the International Monetary Fund and the World Bank. Brinar said the bills are the result of the government's programme. She added that companies JANAF and Plinacroa would be exempt from INA's privatisation. The parliament will subsequently decide on the government's suggestion. Brinar said that seven percent of INA's shares will be transferred over to Homeland War veterans and members of their families, while up to seven percent of shares will be offered under favourable conditions to current and former employees. Twenty-five percent at the most, plus one share of INA will be sold to a strategic investor, at least 15 percent will be offered via public bid, the state will keep its direct ownership of at least 25 percent, plus one share, until Croatia's entry into the European Union. The rest of the shares will be sold to a strategic investor of on the market, she said. In HEP's privatisation the government will give up from dividing certain parts of the company and not privatising them. The government has included a clause by which not more than 51 percent of the power supply company will not be sold, which the government will own until entry into the EU. The privatisation of the remaining part of shares will be regulated by a separate law. Seven percent of the shares will be transferred without charge to Homeland War veterans, seven percent to former and current employees and 15 percent will be offered by public tender. The transition of voters' rights to third persons are excluded in the privatisation of both companies. (hina) lml sb

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