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146<br />

HEP ANNUAL REPORT 2010<br />

CHAPTER 7 - REPORTS BY HEP GROUP COMPANIES WITH FINANCIAL STATEMENTS<br />

HEP-OPERATOR<br />

PRIJENOSNOG SUSTAVA d.o.o.<br />

DUBRAVKO SABOLIΔ<br />

DIRECTOR<br />

IN ACCORDANCE with the legal and regulatory framework and within the limits of the approved Economic Plan and<br />

Investment Plan for 2010, HEP Operator prijenosnog sustava d.o.o. (HEP-OPS, HEP Transmission System Operator),<br />

in worsening business conditions continued to perform its basic tasks – operation of the electricity system of the<br />

Republic of Croatia, electricity transmission, maintenance and development and construction of the transmission<br />

network. The company provided intense support to the development and functioning of the Croatian electricity<br />

market taking into account its interconnections with neighboring electricity markets in the European Union and the<br />

Energy Community.<br />

In 2010, a total electricity consumption was 17,944 GWh, which is 1 percent more than the total consumption<br />

in 2009. At the same time, system peak load of 3,121 MW is almost identical to the one in 2009. The share of<br />

transmission losses of 2.11 percent in total electricity transmitted (which was 25,284 GWh) is a little lower than in<br />

2009 and is at a level of that of other transmission system operators in Europe<br />

There were no larger disruption in the electricity supply system in 2010. Compared to 2009, the availability of<br />

the electricity system increased to 99.99 percent and non-supplied electricity, estimated at 867 MWh, significantly<br />

decreased.<br />

In 2010, as in previous years, several transmission network facilities were put in operation, the most important<br />

of which are new transmission lines 2x400 kV Ernestinovo-Pecs, 2x110 kV Vinodol-Melina and 110 kV Plomin-Tupljak-<br />

Pazin, the new transformer station 110/20(35) kV Vrbovsko, while the transmission line Gojak HPP – Lešće HPP was<br />

put into operation at the voltage of 110 kV.<br />

As part of the implementation of the Dubrovnik Program, activities continued to prepare the construction of<br />

TS 220/110 kV Plat.<br />

In 2010, intensive activities continued to develop the first medium-term (ten-year) plan for the development<br />

of the Croatian transmission network for the period 2011-2020 in accordance with the provisions of the EU third<br />

energy legislative package.<br />

Continuing to participate in the ITC mechanism, in 2010 HEP OPS continued to fulfil the requirements of<br />

Regulation 1228/2003/EC and Congestion Management Guidelines (Annex to the Regulation) concerning the establishment<br />

of joint actions for cross-border capacity of Croatian borders with the EU at all time levels. In this context<br />

we emphasize the successful introduction of joint annual, monthly and daily actions for cross-border transmission<br />

capacity on the Slovenia/Croatia border and, based on bilateral talks, it is expected that joint auctions toward Serbia<br />

and Bosnia and Herzegovina will be established in 2011.<br />

HEP OPS employees cooperated with the relevant Ministry in overseeing the implementation of the obligations<br />

taken under the temporarily closed chapters 15 Energy and 21 Trans-European Networks within Croatia’s EU accession<br />

negotiations. Following European Commission Progress Report, at the end of 2010 HEP OPS signed a conditional<br />

Statement on the Co-financing of the Costs of Project Team Company which is responsible for the establishment of a<br />

coordinated auction of the 8 th Congestion Management region of South-Eastern Europe in Montenegro.<br />

HEP OPS continued to participate, in accordance with the possibilities, in the work of the ENTSO Assembly,<br />

Board and working bodies (committees and groups).<br />

In order to ensure the full functionality of the Croatian open electricity system, HEP OPS has initiated amendments<br />

to the Electricity System Balancing Rules.<br />

HEP OPS continued with the extensive activities directed towards receiving an increased electricity production<br />

from wind parks. All HEP OPS obligations relating to environmental and nature protection have been met fully and<br />

on time in accordance with Croatia’s laws and regulations, toward state institutions, local self governments and HEP<br />

Group members.

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