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HEP, ENRON CONTINUE TALKS ON GAS THERMAL POWER PLANT 'JERTOVEC'

ZAGREB, May 3 (Hina) - Representatives of Enron company and Croatian Power Industry (HEP) on Wednesday in Zagreb discussed the further implementation of a contract on a gas-fired thermal power plant "Jertovec", the HEP public relations office said in a statement. Following the talks, the vice president of Enron Europe company, Eric Shaw, said the talks tackled many aspects of the Jertovec project, especially the liberalisation and deregulation of Croatia's power sector. Shaw said the two sides agreed to continue with completing the project as soon as possible, in which process the liberalisation of the power sector in Croatia is of crucial importance. He added the two sides would in the next several days issue a joint statement with more details on today's talks. Shaw declined to comment on the value of the project or the deadline for the completion of the financial scheme. HEP director Ivo Covic said, "o
ZAGREB, May 3 (Hina) - Representatives of Enron company and Croatian Power Industry (HEP) on Wednesday in Zagreb discussed the further implementation of a contract on a gas-fired thermal power plant "Jertovec", the HEP public relations office said in a statement. Following the talks, the vice president of Enron Europe company, Eric Shaw, said the talks tackled many aspects of the Jertovec project, especially the liberalisation and deregulation of Croatia's power sector. Shaw said the two sides agreed to continue with completing the project as soon as possible, in which process the liberalisation of the power sector in Croatia is of crucial importance. He added the two sides would in the next several days issue a joint statement with more details on today's talks. Shaw declined to comment on the value of the project or the deadline for the completion of the financial scheme. HEP director Ivo Covic said, "over the last three months, nobody from the HEP management or any Croatian state official has explicitly spoken about the financial conditions of this arrangement in terms of whether they are favourable of unfavourable. Since this is a long-term contract, it is difficult to say at the moment what will pay or not pay at the end." Covic described the talks as very constructive, especially regarding the upcoming activities in the reform of the power sector and the harmonising of the existing contract with expected reforms. We are trying to foresee possible disputable items which could arise and find solutions now so that our relations could be better, Covic said. Asked about the contract's value, Covic said its value was not among the disputable issues. According to him, the Croatian National Sabor will adopt laws on market liberalisation and there is a wish to harmonise the existing contract with new circumstances on the market of power products and power in coming years. "More precisely, we cannot know exactly what law the Sabor will adopt and whether certain provisions of the contract will have to be changed or adjusted by a new contract," Covic said. (hina) rml

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