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PRICES OF DIESEL, FUEL OIL TO DROP, ELECTRICITY WON'T GO UP IN PRICE

ZAGREB, May 2 (Hina) - The prices of diesel fuel and fuel oil in Croatia will be reduced by an approximate five, namely six percent as of Wednesday. The price of engine petrol will not change, Economy Minister Goranko Fizulic said in Zagreb on Tuesday, adding the price of electricity will also stay the same despite the national power utility company's demands to the contrary.
ZAGREB, May 2 (Hina) - The prices of diesel fuel and fuel oil in Croatia will be reduced by an approximate five, namely six percent as of Wednesday. The price of engine petrol will not change, Economy Minister Goranko Fizulic said in Zagreb on Tuesday, adding the price of electricity will also stay the same despite the national power utility company's demands to the contrary.#L# According to the new prices, a litre of D-1 diesel will cost 4.60 instead of the former 4.85 kuna, a drop of 5.2 percent, the price of D-3 diesel will drop by 5.1 percent and cost 4.12 instead of 4.34 kuna, while a litre of eurodiesel will cost 4.46 kuna instead of 4.69, a drop of 4.9 percent. Fizulic announced the Economy Ministry was working on a formula which would introduce automatic changes of oil derivatives' prices, and a new tariff system for electricity. The directors of oil company INA and HEP, the national power utility company, believe the drop in prices will bring their companies in a difficult situation. This is a tough decision for HEP and INA, but a good one for the economy, HEP director Ivo Covic said. According to INA director Tomislav Dragicevic, the decision is not an easy one for his company, but good if macroeconomic analyses show the community will benefit more than INA lose. Both companies should benefit from a government decision on the settlement of debts public companies owe them. (hina) ha jn

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