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HEP WANTS HIGHER PRICES FOR POWER IN HOUSEHOLDS, CHEAPER POWER FOR INDUSTRY

ZAGREB, Aug 28 (Hina) - In a request forwarded to the Government, the Croatian Power Industry (HEP) has asked that the price of power for households be increased on the average by 25.6 percent and that the price of power for industry be reduced by seven to eight percent. The average selling price of power would thus increase by 6.8 percent, the president of the HEP management, Ivo Covic, told reporters at Monday's ceremony marking HEP Day in Kriz. At a session held last week, the Government postponed for one month the adoption of a decision on HEP's request regarding price adjustment, asking that a debate on the operation of public companies, including the HEP, be held first. Covic expects that new prices could be applied as of October 1. The HEP director said he had concluded from his contacts with the Economy Ministry and the Government that "there is agreement that
ZAGREB, Aug 28 (Hina) - In a request forwarded to the Government, the Croatian Power Industry (HEP) has asked that the price of power for households be increased on the average by 25.6 percent and that the price of power for industry be reduced by seven to eight percent. The average selling price of power would thus increase by 6.8 percent, the president of the HEP management, Ivo Covic, told reporters at Monday's ceremony marking HEP Day in Kriz. At a session held last week, the Government postponed for one month the adoption of a decision on HEP's request regarding price adjustment, asking that a debate on the operation of public companies, including the HEP, be held first. Covic expects that new prices could be applied as of October 1. The HEP director said he had concluded from his contacts with the Economy Ministry and the Government that "there is agreement that the existing level of prices of power is unsustainable and that this adjustment step is necessary." The price adjustment, he said, would correct the fact that the price of power in Croatia, unlike other European countries, is higher for industry than for households. HEP Day is marked on August 28, the day when in 1895 the 'Krka' power plant, the first water power plant for public alternating electrification in Europe, was put into operation. This year the HEP also marks its tenth anniversary as a public company owned by the Republic of Croatia. (hina) jn rml

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