ZAGREB, July 1 (Hina) - The Croatian power utility company (HEP) will protect its rights and interest in the Krsko nuclear power plant with all available means, chairman of the board Ivo Covic said on Monday.
ZAGREB, July 1 (Hina) - The Croatian power utility company (HEP)
will protect its rights and interest in the Krsko nuclear power
plant with all available means, chairman of the board Ivo Covic said
on Monday. #L#
HEP has clearly said that it wishes to come to its part of the power
plant because this is a very important power complex and there is no
effective long-term replacement to it, Covic said at a press
conference organised by HEP.
"We are definitely not thinking about renouncing something that is
ours," he said. He announced that if the ratification of the
Slovenia-Croatia deal on the power plant failed to have any effect,
HEP would defend its interests using all available means, first of
all arbitration.
Covic said the agreement should have been ratified by both
parliaments by July 1, when HEP was to start receiving its portion
of electricity from Krsko.
However, on Friday the Croatian Sabor could not obtain a quorum to
take a vote on the ratification and will try again on Wednesday.
The ratification in the Slovene parliament was blocked by the
opposition, which sent the agreement to the Constitutional Court.
It is estimated the ratification might wait until the autumn.
Electrical supply from the plant was stopped at the end of July
1998. Should the agreement not be ratified HEP would activate court
proceedings for the cut in power supplies.
According to Slovene sources, HEP could demand compensation in the
amount of US$180 million without interest.
However, unofficial sources in HEP say the amount could be as high
as 251 million dollars without interest. Should the plant continue
not to supply electricity, new invoices would be prepared at a rate
of US$5 million each month.
On the other hand, the Slovene side has certain claims from HEP
which they estimate amount to 105 million DEM, including
contributions for the decomposition, while the Croatian side
estimates this amount to be about US$25 million, without the
decomposition.
The agreement itself foresees that the amounts owed on both sides be
wavered so that both sides refrain from any further claims.
Covic reminded that HEP still had significant debts towards
creditors, amounting to about US$200 million, for an unpaid
investment loan for Krsko.
Asked whether a statute of limitations could expire for
arbitration, Covic said that if certain moves were not made this
could occur. Postponing the ratification, therefore, is not
advisable and account will be taken that the matter does not exceed
its statute of limitations, he added.
(hina) sp sb