Energy Efficiency trends and policies in Croatia - · PDF fileEnergy Efficiency Trends and Policies in Croatia 2 The sole responsibility for the content of this publication lies with

Energy Efficiency Trends and Policies in Croatia 1

Energy Efficiency trends and policies in Croatia

Date: 30th October 2015

Contact person: Alenka Kinderman Lončarević

Energy Institute Hrvoje Požar, Croatia


The sole responsibility for the content of this publication lies with the authors. It does not necessarily

reflect the opinion of the European Communities. The European Commission is not responsible for

any use that may be made of the information contained therein.


CONTENT OF THE REPORT

The report describes energy efficiency trends and policies in Croatia, focusing on energy efficiency

trends based on the ODYSSEE database (since 2000) and recent and innovative policies and measures

from the MURE database.


TABLE OF CONTENT

CONTENT OF THE REPORT ..................................................................................................................3

TABLE OF CONTENT .............................................................................................................................4

LIST OF FIGURES ...................................................................................................................................5

LIST OF TABLES ....................................................................................................................................6

LIST OF BOXES ......................................................................................................................................6

EXECUTIVE SUMMARY ..........................................................................................................................6

1. ECONOMIC AND ENERGY EFFICIENCY CONTEXT ...................................................................7

1.1. Economic context ........................................................................................................................... 7

1.2. Total Energy consumption and intensities ..................................................................................... 8

1.3. Energy efficiency policy background ............................................................................................ 14

1.3.1. Energy efficiency targets .............................................................................................................. 15

2. ENERGY EFFICIENCY IN BUILDINGS ....................................................................................... 16

2.1. Energy efficiency trends in households ........................................................................................ 16

2.2. Energy efficiency trends in services .............................................................................................. 18

2.3. Energy efficiency policies in buildings .......................................................................................... 20

3. ENERGY EFFIENCY IN TRANSPORT ........................................................................................ 24

3.1. Energy efficiency trends ............................................................................................................... 24

3.2. Energy efficiency policies ............................................................................................................. 28

4. ENERGY EFFICIENCY IN INDUSTRY ........................................................................................ 30

4.1. Energy efficiency trends ............................................................................................................... 30

4.2. Energy efficiency policies ............................................................................................................. 34

5. ENERGY EFFICIENCY IN AGRICULTURE (ONLY IF RELEVANT) .. ERROR! BOOKMARK NOT

DEFINED.

5.1. Energy efficiency trends ...................................................................... Error! Bookmark not defined.

5.2. Energy efficiency policies .................................................................... Error! Bookmark not defined.

REFERENCES ...................................................................................................................................... 37


LIST OF FIGURES

Figure 1 : Economic growth in Croatia .................................................................................................................... 8

Figure 2 : Macro-economic development in Croatia .............................................................................................. 8

Figure 3 : Indexes of macro-economic development in Croatia (2000 = 100) ........................................................ 8

Figure 4 : Total energy consumption in Croatia ...................................................................................................... 9

Figure 5 : Shares in total energy consumption in Croatia ..................................................................................... 10

Figure 6 : Final energy consumption by sectors in Croatia ................................................................................... 10

Figure 7 : Shares in final energy consumption by sectors in Croatia .................................................................... 11

Figure 8 : Final energy consumption by energy forms in Croatia ......................................................................... 12

Figure 9 : Shares in final energy consumption by energy forms in Croatia ........................................................... 12

Figure 10 : Variations in primary and final energy intensities in Croatia .............................................................. 13

Figure 11 : Primary and final energy intensity in Croatia ...................................................................................... 13

Figure 12 : Primary energy intensity at purchasing power parities (ppp, 2005) with climatic corrections (2013) 14

Figure 13 : Final households energy consumption in Croatia by energy forms .................................................... 16

Figure 14 : Final households energy consumption in Croatia by end-uses ........................................................... 16

Figure 15 : Shares of energy forms in household final energy consumption ........................................................ 17

Figure 16 : Shares in households final energy consumption by end-uses ............................................................ 17

Figure 17 : Unit consumption of households in toe/dwelling (total and space heating) and electricity

consumption in kWh/dwelling .................................................................................................................... 18

Figure 18 : Modal structure of cargo transport in the Republic of Croatia ........................................................... 24

Figure 19 : Modal structure of passenger transport in the Republic of Croatia ................................................... 25

Figure 20 : Structure of the cars by fuel type cars ................................................................................................ 25

Figure 21 : Fuel consumption by transport mode ................................................................................................. 26

Figure 22 : Energy consumption in road transport by type of vehicles ................................................................ 27

Figure 23 : Specific consumption of personal cars ................................................................................................ 27

Figure 24 : Specific consumption of buses, light duty vehicles and trucks (l/100 km) .......................................... 28

Figure 25 : Final energy consumption by industrial branches in Croatia .............................................................. 31

Figure 26 : Industrial branches shares in final energy consumption .................................................................... 32


Figure 27 : Energy intensities by industrial branches ............................................................................................ 33

Figure 28 : Explanatory factors of the energy consumption of industry............................................................... 33

LIST OF TABLES

Table 1 : Growth rates in total energy consumption .............................................................................................. 9

Table 2 : Growth rates in final energy consumption by sectors............................................................................ 11

Table 3 : Growth rates in final energy consumption by energy forms .................................................................. 12

Table 4 : Growth rates in final energy demand by industrial branches ................................................................ 31

Table 5 : Explanatory factors of the energy consumption of industry .................................................................. 33

EXECUTIVE SUMMARY

Final energy consumption in the period from 2000 to 2013 increased at an average annual rate of 0.7%.

The fastest growth of consumption was seen in the period from 2000 to 2005, while a significant

reduction in consumption was seen in the period after 2008. In the period 2000 – 2013 the fastest

trend in consumption occurred in tertiary sector (3.0% per year) and in the transport (2.1% per year).

Final energy consumption in households was increased with average annual rate of 0.6%, while energy

consumption in industry and agriculture dropped at average annual rates of 1.6% and 1.9%,

respectively.

In the observed period, the share of transport in final consumption was increased, from 26% in the

year 2000 to 31% in the year 2013. Residential sector has the largest share of final energy consumption

in all observed years – 38%. The share of the tertiary sector and others was also increased, to 11% in

2010 and 2013. The share of industry and agriculture was reduced, and at the end of the observed

period totalled 17% and 3%, respectively.In the period 2000 – 2013 the energy efficiency index for the

whole economy (ODEX) decreased. The industrial sector and transport sector contributed the most to

this improvement. GDP and final energy consumption were increasing until 2008 followed by a decline.

GDP was lower in 2013 by 15.8 % (2.9%/year), and the final energy consumption by 13.3% (2.8%/year)

compared to the year 2008.

The national indicative energy savings targets are defined in the Energy Strategy. The expected

reduction of final energy consumption in 2016 is 19.77 PJ and in 2020 it is 22.76 PJ. The aforementioned

national energy savings targets have been set in accordance with the requirements of Directive

2006/32/EC on energy end-use efficiency and energy services (ESD), and they correspond to the

absolute amount of 9 %, or 10 % of final energy consumption, defined as average energy consumption

in the period 2001 - 2005.

The national targets for increasing energy efficiency have been defined in accordance with the

amended final energy consumption projections. The Energy Strategy is based on the presumption of


stable economic growth of the gross domestic product (GDP) of 5 % per year. Due to the economic and

financial crisis, there was a drop of the GDP. Instead of the projected GDP rise of 21.5 % in the 2009–

2012 period, a negative rate of -9 % was achieved, which is a 30.5 % difference. The decrease of

industrial production and the overall standard of living also reduced the need for energy. In view of

the aforementioned, the scenarios presented in the Energy Strategy have been corrected and adjusted

to the newly arisen situation and plans (amended projections). The indicative national energy

efficiency target expressed as the absolute amount of final energy consumption in 2020 is 293.04 PJ

(7.00 Mtoe). The corresponding target expressed as the absolute amount of primary energy in 2020 is

466.69 PJ (11.15 Mtoe).

1. ECONOMIC AND ENERGY EFFICIENCY CONTEXT

1.1. ECONOMIC CONTEXT

The average growth of the gross domestic product in Croatia for the period from 2000 to 2013 was

1.61% (Figure 1). The fastest growth was achieved in the period from 2000 to 2005 (4.46%). In the

period from 2008 to 2010 gross domestic product strongly decreased at an average yearly rate of

4.64%.

Industrial activities measures in terms of value added (VA) increased at an average annual rate of 0.69%

in the observed period from 2000 to 2013. From 2000 to 2005, VA in industry increased the fastest at

an average annual rate of 5.05%, while after 2008 there was realised very strong decrease at the

average rate of 7.79%. VA in agriculture and fisheries decreased with an average annual rate of 0.80%,

while the average annual growth rate in the tertiary sector from 2000 to 2013 was 2.22%. Private

consumption of households increased with an annual average rate of 1.68%. In the period after 2008

VA of tertiary sector and private consumption decreased by average annual rates of 2.96% and 4.48%

respectively.

Figure 2 shows the development of the real value for the GDP, VA of industry, VA of agriculture and

fisheries, VA of the tertiary sector and private consumption, in millions Kuna 2000, and Figure 3 shows

indexes of the same components.


Figure 1 : Economic growth in Croatia

Figure 2 : Macro-economic development in Croatia

4,46

1,65

5,054,60

4,99

4,023,40

3,91 4,193,58

-4,64 -4,44

-7,79

-2,96

-4,48

-1,12

-6,31

-3,59

-0,08

-1,34

1,61

-0,80

0,69

2,221,68

-10,00

-8,00

-6,00

-4,00

-2,00

0,00

2,00

4,00

6,00

GDP VA of agriculture and

fishing activities

VA of industry VA of tertiary sector Private consumption

of households

%/y

ea

r

00 - 05

05 - 08

08 - 10

10 -13

00 - 13

0

50000

100000

150000

200000

250000

300000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

MK

un

a2

00

0

GDP VA of agriculture and fishing activities VA of industry VA of tertiary sector Private consumption of households

80,00

90,00

100,00

110,00

120,00

130,00

140,00

150,00

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

GDP VA of agriculture and fishing activities VA of industry VA of tertiary sector Private consumption of households


Figure 3 : Indexes of macro-economic development in Croatia (2000 = 100)

1.2. TOTAL ENERGY CONSUMPTION AND INTENSITIES

Total energy consumption in Croatia (Figure 4) has increased at an average annual rate of 0.1% in the

period 2000 - 2013. The fastest growth in consumption was achieved in the period from 2000 – 2005,

when the growth rate of the total consumption was 3.1%. After 2008 total energy consumption

decreased at an annual rate of 2.4%. During the period 2000 – 2013 the fastest growth of consumption

was seen in coal (3.2% per year) and also hydrology of the observed period was such that the energy

of utilized water power grew at an average annual rate of 3.1%. The consumption of natural gas

increased slowly at an average annual rate of 0.3% and the consumption of oil products decreased at

an average annual rate of 1.6%. Electricity import-exports decreased at an average annual rate of 0.3%.

There was an increase of total biomass consumption at an average rate of 1.9%. Very fast growth was

recorded in wind electricity consumption (86.7% annually) and in solar and geothermal heat

consumption (29.5% annually) in the period after 2008. (Table 1.)

Figure 4 : Total energy consumption in Croatia

Table 1 : Growth rates in total energy consumption

%/year 00 - 05 05 - 08 08 - 10 10 - 13 00 - 13

Oil products 2,9 -0,4 -8,6 -5,4 -1,6

Coal 9,0 1,2 -1,6 -0,6 3,2

Natural gas 1,5 3,3 0,6 -4,7 0,3

Total biomass 4,5 -3,3 5,5 0,6 1,9

Hydro electricity 1,8 -6,1 25,8 1,1 3,1

Wind electricity 61,3 86,7 54,9

Electricity imports-exports 5,0 8,8 -14,9 -6,7 -0,3

Solar and geothermal heat 29,5 9,9

Total primary consumption 3,1 0,4 -2,4 -3,4 0,1

Figure 5. presents shares of energy products in total energy consumption in 2000, 2010 and 2013. Oil

products had the biggest share in total primary energy consumption in Croatia. This share was 45% in

0

2000

4000

6000

8000

10000

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

kto

e

Oil products Coal Natural gas Total biomass Hydro electricity

Wind electricity Electricity imports-exports Solar and geothermal heat Total primary consumption


2000, decreased in 2010 to 40% and in 2013 slowly increased up to 41%. It is followed by electricity,

which in 2000 accounted for 17% of total primary energy consumption, in 2010 19%, and in 2013 20%

of total primary energy consumption. The share of coal and coke increased from 1% in 2000 to 2% in

2010 and in 2013. The share of wood and other renewables (wind energy, solar energy, geothermal

energy, biodiesel, landfill gas and biogas) in 2000 was 17% and until 2013 it increased to 19%.

Figure 5 : Shares in total energy consumption in Croatia

Final energy consumption (Figure 6) in the period from 2000 to 2013 increased at an average annual

rate of 0.7% (Table 2). The fastest growth of consumption was seen in the period from 2000 to 2005,

while a significant reduction in consumption was seen in the period after 2008. In the period 2000 –

2013 the fastest trend in consumption occurred in tertiary sector (3.0% per year) and in the transport

(2.1% per year). Final energy consumption in households was increased with average annual rate of

0.6%, while energy consumption in industry and agriculture dropped at average annual rates of 1.6%

and 1.9%, respectively.

In the observed period, the share of transport was increased, from 26% in the year 2000 to 31% in the

year 2013. Residential sector has the largest share of final energy consumption (Figure 7) in all

observed years – 38%. The share of the tertiary sector and others was also increased, to 11% in 2010

and 2013. The share of industry and agriculture was reduced, and at the end of the observed period

totalled 17% and 3%, respectively.


Figure 6 : Final energy consumption by sectors in Croatia

Table 2 : Growth rates in final energy consumption by sectors

%/year 00 - 05 05 - 08 08 - 10 10 - 13 00 - 13

Industry 2,7 2,3 -9,7 -6,6 -1,6

Transport 4,2 4,2 -2,1 -0,5 2,1

Residential 4,3 -2,8 3,2 -3,5 0,6

Agriculture -3,5 1,5 -1,5 -2,7 -1,9

Tertiary and others 7,1 1,7 3,0 -2,2 3,0

Total final consumption 3,8 0,8 -1,3 -3,0 0,7

Figure 7 : Shares in final energy consumption by sectors in Croatia

With regard to the final consumption of individual energy forms (Figure 8 and Table 3), it can be

observed that the fastest growth of consumption was in coal and coke (2.1% per year) and electricity

(1.9% per year). The final consumption of oil products did not increase or decrease, the growth rate

amounts 0.0%. The final consumption of natural gas dropped at an average annual rate of 0.1%, while

the consumption of heat and total biomass increased, with an average annual rate of 0.6% and 1.7%,

respectively.

0

1000

2000

3000

4000

5000

6000

7000

8000

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

kto

e

Industry Transport Residential Agriculture Tertiary and others Total final consumption


Figure 9 shows the shares of specific energy forms in final energy consumption in 2000, 2010 and 2013.

Over the period 2000 to 2013 the shares of electricity, coal and coke and wood and other renewables

increased while the shares of other energy forms decreased. Oil products had the biggest share in the

final energy consumption, which dropped from 45% in 2000 down to 41% in 2013. In the same period

the share of electricity increased from 17% to 20%. The share of natural gas increased from 17% in

2000 to 18% in 2010, but in the 2013 decreased to 15% of final energy consumption in that year. The

share of wood and other renewables increased from 17% to 19%. Heat and coal and coke had

significantly lower shares in the final energy consumption. In the period 2000 to 2013 the share of heat

remained the same and amounts 3%, while the share of coal and coke increased from 1% to 2%.

Figure 8 : Final energy consumption by energy forms in Croatia

Table 3 : Growth rates in final energy consumption by energy forms

%/year 00 - 05 05 - 08 08 - 10 10 - 13 00 - 13

Oil products 3,1 1,3 -5,3 -2,6 0,0

Natural gas 4,2 1,1 0,4 -8,2 -0,1

Coal and coke 10,7 2,4 -1,1 -9,2 2,1

Electricity 3,9 3,9 -0,7 -1,4 1,9

Heat 3,9 -4,1 4,0 -2,0 0,6

Total biomass 4,5 -3,2 5,6 -0,3 1,7

Total primary consumption 3,8 0,8 -1,3 -3,0 0,7

0

1000

2000

3000

4000

5000

6000

7000

8000

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

kto

e

Oil products Natural gas Coal and coke Electricity Heat Wood and other renewables Total final consumption


Figure 9 : Shares in final energy consumption by energy forms in Croatia

There are two general indicators which are often used to characterise the overall energy efficiency of

an economy: the primary energy intensity (i.e. the ratio gross inland consumption over GDP) and the

final energy intensity (i.e. the ratio final energy consumption over GDP).

Between 2000 and 2013, the primary energy intensity decreased much more than the final intensity

(Figure 10): -1.47% per year on average compared to -0.87% per year. The strongest reduction in

primary intensity was in the period from 2005 to 2008 (-3.45%/year) as well as for the final intensity (-

3.07%/year). The reason for strongest reduction (faster decrease) of primary intensity comes from an

improvement in the efficiency of energy transformation sector (higher efficiency), from lower share of

energy sector own use, from lower share of transport and distribution losses and from lower share of

non- energy demand.

The development of primary (or final) energy intensity over time is often used as an indicator for the

overall energy efficiency of all final consumers. These indicators can be distorted by climatic variations

from year to year. The influence of climatic variations on the development of primary and final energy

intensity in Croatia is shown in Figure 11. In years with warmer winters than the long-term average

year (in terms of degree days), the climate corrected final energy intensity is above the real intensity

(e.g. 2004,2006

Figure 10 : Variations in primary and final energy intensities in Croatia

-1,27

-3,45

2,31

-2,27

-1,47

-2,01

-2,241,08

-1,78

-1,54

-0,60

-3,07

3,47

-1,93

-0,87

-1,61 -1,40

1,83

-1,27

-0,96

-4,00

-3,00

-2,00

-1,00

0,00

1,00

2,00

3,00

4,00

00 - 05 05 - 08 08 - 10 10 - 13 00 - 13

% /

ye

ar

Primary intensity

Primary intensity with climatic corrections

Final intensity

Final intensity with climatic corrections


Figure 11 : Primary and final energy intensity in Croatia

The different variations between primary and final intensities are captured by the ratio final to primary

intensity (Figure 11). This ratio has increased for Croatia from 71.1% in 2000 to the value of 76.9% in

2013 with the average annual growth rate of 0.6%. The fastest growth was achieved from 2008 to

2010, 1.1% per year. In some years reduction of this ratio was achieved (2002, 2003, 2007 and 2011).

The reason for increasing of the ratio final to primary intensity in Croatia was because the decreased

share of losses in energy transformations, energy sector own use, losses in transport and distribution

of energy and non-energy use.

Comparison of primary energy intensities in some European countries (for the year 2013) is shown

below at the Figure 12.

Figure 12 : Primary energy intensity at purchasing power parities (ppp, 2005) with climatic corrections (2013)

0,70

0,71

0,72

0,73

0,74

0,75

0,76

0,77

0,78

0,79

0,80

0,15

0,20

0,25

0,30

0,35

0,40

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Ra

tio

fin

al/

pri

ma

ry in

ten

sity

Pri

ma

ry in

ten

sity

(k

oe

/€2

00

0)

Primary intensity Primary intensity with climatic corrections Final intensity

Final intensity with climatic corrections Ratio final/primary intensity

0,000

0,050

0,100

0,150

0,200

0,250

ko

e/€

20

05

, p

pp


1.3. ENERGY EFFICIENCY POLICY BACKGROUND

By becoming a full member of the EU, the Republic of Croatia has, together with other Member States

and pursuant to Directive 2012/27/EU of the European Parliament and of the Council of 25 October

2012 on energy efficiency, amending Directives 2009/125/EC and 2010/30/EU and repealing Directives

2004/8/EC and 2006/32/EC, assumed the obligation of increasing energy efficiency in the EU in order

to achieve the objective of saving 20 per cent of primary energy consumption at EU level by 2020.

With the Energy Strategy, the National Energy Efficiency Programme, and the First National Energy

Efficiency Action Plan, the Republic of Croatia set the target of reducing final energy consumption in

2016 by 19.77 PJ, in accordance with the requirements of Directive 2006/32/EC on energy end-use

efficiency and energy services (ESD). The sectoral distribution of the target was revised in the 3rd

NEEAP in accordance with the amended projections for final energy consumption and the savings

potentials per sector.

The Environmental Protection and Energy Efficiency Fund was established in 2003 as a non-budgetary

fund with the status of a legal person with public authority, with the objective of raising earmarked

funds for financing the preparation, implementation and development of programmes, projects and

similar activities in the field of environmental preservation, sustainable use of the environment,

environmental protection and amelioration; the participation in financing national energy

programmes aimed at improving energy efficiency, the use of renewable energy sources, as well as

organising and implementing a management system for special categories of waste. EPEEF is a national

Fund, and it is competent for financing the implementation of the energy policy of the Government of

the Republic of Croatia in regard to energy efficiency improvements and increasing the use of

renewable energy sources. The Fund co-finances energy efficiency programmes and projects in

accordance with the Energy Strategy of the Republic of Croatia, the National Energy Efficiency

Programme for the 2008–2016 period, national energy efficiency action plans, as well as other

programmes derived from the aforementioned strategy documents adopted by the ministries

competent for energy, construction, environmental protection and transport.

Apart from the co-financing of home energy retrofit, energy efficient construction, use of renewable

energy sources, more energy efficient public lighting, fostering green transportation and energy

efficiency in industry, the Environmental Protection and Energy Efficiency Fund implements and co-

finances a number of other programmes and projects related to energy efficiency and use of renewable

energy sources.

Various educational, research and development activities are being co-financed, as well as the projects

that were granted co-financing from EU funding and, additionally, the funding is also available to civil

society organisations.

Furthermore, various education and information campaigns for different groups of beneficiaries –

citizens are being implemented, representatives of the business and public sectors.

1.3.1. ENERGY EFFICIENCY TARGETS


The national indicative energy savings targets are defined in the Energy Strategy. The expected

reduction of final energy consumption in 2016 is 19.77 PJ and in 2020 it is 22.76 PJ. The aforementioned

national energy savings targets have been set in accordance with the requirements of Directive

2006/32/EC on energy end-use efficiency and energy services (ESD), and they correspond to the

absolute amount of 9 %, or 10 % of final energy consumption, defined as average energy consumption

in the period 2001 - 2005.

The national targets for increasing energy efficiency have been defined in accordance with the

amended final energy consumption projections. The Energy Strategy is based on the presumption of

stable economic growth of the gross domestic product (GDP) of 5 % per year. Due to the economic and

financial crisis, there was a drop of the GDP. Instead of the projected GDP rise of 21.5 % in the 2009–

2012 period, a negative rate of -9 % was achieved, which is a 30.5 % difference. The decrease of

industrial production and the overall standard of living also reduced the need for energy. In view of

the aforementioned, the scenarios presented in the Energy Strategy have been corrected and adjusted

to the newly arisen situation and plans (amended projections). The indicative national energy

efficiency target expressed as the absolute amount of final energy consumption in 2020 is 293.04 PJ

(7.00 Mtoe). The corresponding target expressed as the absolute amount of primary energy in 2020 is

466.69 PJ (11.15 Mtoe).

2. ENERGY EFFICIENCY IN BUILDINGS

2.1. ENERGY EFFICIENCY TRENDS IN HOUSEHOLDS

In the period 2000 - 2013,final energy consumption of Croatian households grew from 2284 ktoe to

2477 ktoe. In the first part of the period, until the 2006, energy consumption steadily grew. The

increase was mainly due to the colder winter periods and living standard increase, since the population

size, the number of households and dwellings have not changed much in Croatia. After 2008 energy

consumption of households started to decrease due to the impact of the economy crisis on the living

standards. because of significantly warmer winter periods 2011-2013. Figure 13 presents development

of household energy consumption between 2000 and 2013.


Figure 13 : Final households energy consumption in Croatia by energy forms

Figure 14 : Final households energy consumption in Croatia by end-uses

The highest market share in the final consumption of households 2000 was for wood and other

renewables (41.51%) and electricity (21.57%). In 2013 the share of wood and other renewables

increased to 46.73%. The share of electricity remained approximately the same (21.62%). The share of

oil products decreased from 12.99% in 2000 to 6.16% in 2013. The share of natural gas grew from

17.86% in 2000 to 21.57% in 2008, but then decreased to 19.75% in 2013. Coal and coke has the lowest

share in the households final consumption; it decreased from 0.41% in 2000 to 0.16% in 2013. The

share of heat remained approximately the same during all observed period (around 5.60%).

The share of space heating in total energy consumption of households in 2000 and 2008 is

approximately the same (69.24% and 69.57%) and slightly decreased in 2013 to 67.97%. The share of

water heating decreased from 9.67% in 2000 to 8.06% in 2013. The share of cooking remained

approximately the same (around 9%), while the share of electrical appliances increased in the period

2000 – 2013 from 10.06% to 12.35%. Air cooling has the lowest share which grew form 1.66% in 2000

to 2.41% in 2013.

0

500

1000

1500

2000

2500

3000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

kto

e

Oil products Natural gas Coal and coke Electricity

Heat Wood and other renewables Total with climatic corrections

0

500

1000

1500

2000

2500

3000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

kto

e

Space heating Water heating Cooking Air cooling Electrical appliances Total with climatic corrections


Figure 15 : Shares of energy forms in household final energy consumption

Figure 16 : Shares in households final energy consumption by end-uses

Figure 17 shows trends in the total consumption (with climatic corrections), space heating

consumption (with climatic corrections) and electricity consumption. The average energy consumption

per dwelling for all end-uses and space heating (both climate corrected) are presented in toe/dwelling,

while electricity consumption (electrical appliances, air conditioning and lighting) is presented in

kWh/dwelling. The average growth rate of the unit consumption per dwelling for all end-uses in the

period 2000 – 2013 was -0.28%/year and -0.01%/year for space heating consumption. Only electricity

consumption has the positive value of 0.15%/year. The growth of the electricity consumption for

electrical appliances, air conditioning and lighting is explained by a intensive diffusion of household

appliances (large and small) and the rapid penetration of air conditioning. The reason for decrease in

specific energy consumption for space heating in households was lower living standard and

improvement of energy efficiency of the households and equipment in the households.

12,99% 9,38% 6,16%

17,86% 21,57%19,75%

0,41% 0,11%0,16%

21,57% 22,33%21,62%

5,66% 5,54%5,58%

41,51% 41,08%46,73%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2000 2008 2013

Oil products Natural gas Coal and coke Electricity Heat Wood and other renewables

69,24% 69,57% 67,97%

9,67% 7,29% 8,06%

9,36% 8,55% 9,21%

1,66%2,38% 2,41%

10,06% 12,21% 12,35%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2000 2008 2013

Space heating Water heating Cooking Air cooling Electrical appliances


Figure 17 : Unit consumption of households in toe/dwelling (total and space heating) and electricity consumption in kWh/dwelling

2.2. ENERGY EFFICIENCY TRENDS IN SERVICES

Electricity has the highest share in energy consumption in service sector which amounts from

approximately 51% in 2000 to approximately 65% in 2013. Heat has the stable value of approximately

5% during all observed period. The share of oil products decreased from 26% in 2000 to 9% in 2013,

while the share of natural gas varied around 18% during all observed period. The share of coal is very

small (under 1%), as shown in Figure 18. The share of wood and renewables appears in 2007 and

amounts around 1% during the period 2007 – 2013.

Because data on total energy consumption by sub-sector for the service sector in Croatia are not

available, Figure 20 presents shares of electricity consumption by sub-sector in the service sector in

Croatia. There was almost no changes in share of electricity consumption by sub-sectors in three

observed years; there was only a decrease in the consumption of public offices from 26% to 22%.

Hotels and restaurants represent the largest share of the electricity consumption in the service sector

(around one third).

Total electricity and total energy (with climatic corrections) consumption per employee in service

sector for the period 2000 – 2013 is shown at the Figure 21.

3400

3600

3800

4000

4200

4400

4600

4800

0,00

0,20

0,40

0,60

0,80

1,00

1,20

1,40

1,60

1,80

2,00

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

kW

h /

dw

ell

ing

toe

/ d

we

llin

g

Total consumption with climatic corrections Space heating consumption with climatic corrections Electricity consumption


Figure 18 : Final energy consumption of services by energy forms

Figure 19 : Shares of energy forms in final energy consumption in service sector

0

100

200

300

400

500

600

700

800

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

ktoe

Oil products Natural gas Coal and coke Electricity Heat Wood and renewables Total with climatic corrections

26,36%14,46%

9,03%

16,83%

18,27%19,09%

0,91%

0,07%0,04%

50,52%61,35%

65,11%

5,37% 5,13% 5,27%0,00%

0,72% 1,46%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2000 2008 2013

Oil products Natural gas Coal and coke Electricity Heat Wood and renewables


Figure 20 : Electricity consumption of services by sub-sectors

Figure 21 : Total electricity and total energy (with climatic corrections) consumption per employee in service sector

2.3. ENERGY EFFICIENCY POLICIES IN BUILDINGS

Measures aimed to achieve energy savings in households represent one of significant guidelines of

Croatian energy policy, in accordance with the Energy Development Strategy of the Republic of Croatia,

and the current Third National Energy Efficiency Action Plan. Apart from energy retrofit of family

homes and multi-residential buildings, the Fund is also implementing the programme of co-financing

the purchase of A+++ electrical home appliances, which is open to citizens.

The sector of buildings intended for public use must assume the leading role in the field of improving

energy efficiency in buildings and set ambitious targets for buildings intended for public use.

A regulatory obstacle to the implementation of energy renovation of multifamily housing are the

provisions of the Act on Ownership which regulate that the consent of all residents (100 % consent) is

26,97% 22,67% 22,60%

5,47%5,67% 6,00%

10,89%10,89% 11,37%

15,13% 18,90% 18,28%

33,65% 33,44% 33,22%

7,90% 8,42% 8,53%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2000 2008 2013Public offices Private offices Health sector Wholesale and retail trade Hotels & restaurants Education sector

0

1000

2000

3000

4000

5000

6000

0,00

0,10

0,20

0,30

0,40

0,50

0,60

0,70

0,80

0,90

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013k

Wh

/em

plo

ye

e

toe

/em

plo

ye

e

Total energy (climate corrected) (toe/emp) Total electricity (kWh/emp)


required for the renovation of a building. Such a regulation hinders the implementation of energy

efficiency measures, especially for large buildings which have the largest potential. The regulatory

framework for the achievement of the aforementioned measures is planned to be improved through

the development of legal provisions on energy services and amendments to the Act on Ownership.

In view of the obligation of achieving the objective for new nearly zero energy buildings by 2020 (2018

for buildings intended for public use), it is assumed that by 2016 or by 2020 new regulations will be

continuously adopted with increasingly stricter requirements regarding the energy performance of

buildings until the nearly zero energy standard is achieved for construction in 2018, or 2020. The

savings target was made based on the assumption that there would be 10 % of new buildings with heat

energy consumption for heating under 15 kWh/m2 from 2014 designed to encourage construction

participants to construct new buildings whose energy characteristics will exceed those required by the

regulations, i.e. buildings that will be constructed in compliance with nearly zero energy standard.

The Plan for fostering integral renovation of multifamily housing primarily focuses on multifamily

housing constructed before 1987, on their renovation in compliance with low-energy standards and

achievement of a B, A or A+ energy class. The precondition for participation in the co-financing

programme is the existence of project documentation required in accordance with the construction

legislation. It is assumed that energy audits will be conducted, and energy performance certificates

issued, for 500 buildings per year. Also, it is assumed that project documentation will be drawn up for

500 buildings per year.

The measure of energy renovation of commercial non-residential buildings envisages developing a

detailed action plan of renovation of existing non-residential buildings for the 2014–2020 period, with

a detailed plan of energy renovation which includes the energy renovation of buildings intended for

commercial use, especially those constructed before 1987, which offer the greatest potential for

energy savings. Renovation includes measures for the reconstruction of the building envelope of the

heated area of the building, with the objective of complying with the Technical regulation proposal

and achieving a B, A or A+ energy class. The implementation of the plan should be monitored on annual

level in regard to expended funds, achieved energy and financial savings, and reduced CO2 emissions.

The production of energy performance certificates for buildings intended for public use, before and

after renovation, is planned in scope of the measure implementation. Assumptions include that 3 % of

heated usable floor area of commercial non-residential buildings is renovated every year, or

approximately 480 000 m2, and that the specific annual heat energy consumption for heating is

reduced from the average 220–250 kWh/m2 to 45 kWh/m2.

Future activities in the field of household appliances includes active participation of the

representatives of the competent ministry in the activities of the Regulatory Committee established

under Directive 2009/125/EC, adoption of the Amendments to the Act on Efficient Energy Use in Final

Consumption should be adopted which will contain penal provisions which currently do not exist, in

order to enable economic inspectors to properly monitor and issue penalties for incorrectly labelled

products found on the market, and finally improvement of the system of monitoring the market status,

i.e. the quantity of individual products in regard to energy efficiency class. The Government has

established a co-financing programme for the procurement of the most efficient appliances available

on the market as replacements for old appliances which are being removed from use.


The Programme of energy renovation of family homes 2014–2020 is aimed at the renovation of

existing family homes by 2020. It focuses primarily on family homes of up to 400 m2 constructed before

1987, and on their renovation in compliance with low-energy standards by encouraging the renovation

of the building envelope, the replacement of the heating system and the use of RES. The most

important expected effects of the implementation of this measure are investments encouraging,

annual energy savings in final consumption achieving, reducing the citizens’ payments for energy,

reducing CO2 emissions, increasing the share of renewable energy sources, providing employment,

increasing power supply security, improving the condition and increasing the market value of real

estate, developing the production industry, reducing the ‘grey economy’, reducing energy poverty, and

an overall improvement of living conditions. It is assumed that 100 family homes per county, or

approximately 2 000 houses throughout the territory of Croatia, will participate in the programme at

an annual level. It is estimated that 100 000 m2 of the outer structure (wall) area will be thermally

insulated per year, or 35 000 m2 of windows will be installed per year.

The introduction of individual metering of energy consumption is a precondition for all future energy

efficiency activities in buildings. Moreover, the Heat Energy Market Act deems the obligation of

installing an individual metering system to be an obligation of the co-owners, which poses a financial

burden for them. Financial support will be an incentive for the implementation of this legal obligation.

A separate measure no longer exists for tourism facilities because such facilities are covered within the

scope of the renovation programme.

The implementation of the energy renovation of public sector buildings and the implementation of

energy efficiency improvement measures for public sector buildings owned and used by the central

government will include measures on the building envelope, the thermal-technical systems, electrical

systems, and water supply system works, in accordance with the requirement pursuant to which the

Member States must, as of 1 January 2014, annually renovate 3 % of the total floor area of heated

and/or cooled buildings owned and used by the central government A total of 0.991 PJ of savings must

be achieved in all public buildings by 2020, or the intermediate target of 0.53 PJ in 2016.

The energy renovation of existing public buildings for which it is determined that renovation is viable

will be performed under two programmes of energy renovation of public sector buildings, one for the

2014–2015 period and the other for the 2016–2020 period.

An organisational structure for systematic energy management at national, regional and local level was

established. The National Energy Management Information System (ISGE) was developed and

established as the basic tool for collecting, analysing and reporting on energy and water consumption

in the facilities owned by cities and counties. Further integration is expected to be achieved with

business information systems of suppliers of energy commodities and water, in order to enable direct

data transfer from their billing systems in accordance with the B2B (business-to-business) concept.

Connecting the ISGE database with external databases of the distributors of energy commodities and

water would definitely lead to higher quality, more precise and more regular data (directly enabling

real-time consumption planning) which would not depend on the users’ manual input (and error). The

establishment of such inter-system communication would enable users to focus on the strategy

analyses of consumption and help them improve consumption management at their facilities. A higher-

quality management of facilities would enable the national bottom-up approach to consumption,


whose ultimate objective is to provide the most accurate depiction of national energy and water

consumption.

Many cities have voluntarily joined the ‘Covenant of Mayors’, an initiative which encourages European

cities to combat climate change by developing Sustainable Energy Action Plans (SEAPs) which are a

basis for future implementation of specific projects on energy efficiency and use of renewable energy

sources. While cities voluntarily joined the Covenant of Mayors, counties were obliged to adopt annual

plans and triennial energy efficiency programmes.

It is necessary to intensify the activities which can provide the public procurement officers with the

legal and technical know-how for including and evaluating energy efficiency requirements in public

procurement procedures by applying the criterion of the economically most favourable bid. The aim

of this measure is to increase the inclusion of energy efficiency criteria in public procurement

procedures in accordance with the Public Procurement Act.

The measure of the energy efficiency improvement projects for public lighting covers and develops

innovative models of various financial mechanisms and project implementations (not only the ESCO

model), on the basis of the Programme of energy renovation of public lighting, which will be drawn up.

The savings from all the implemented measures, taking into account the life cycle of the equipment

installed in public lighting systems, will still be producing results in 2016 and 2020. It is expected that

the savings in 2020 will exceed the planned targets due to a more developed energy services market.

The Environmental Protection and Energy Efficiency Fund finances energy audits, design

documentation (in the case of construction of the new public lighting or extension thereof) with the

cost estimate for equipment and works, disassembling of inefficient and non-environmentally friendly

equipment, the purchase and installation of appropriate equipment and material, shaded luminaires

(lamps) with all the necessary accessories, high-pressure sodium lamps (light sources), public lighting

control system (switching on and off during the whole night, part of the night, halving the source of

light, dimming and brightening light intensity) with all the necessary equipment, systems for

independent measurement of electricity consumption with all accompanying equipment, free-

standing distribution cabinets, testing and commissioning, and other equipment used for system

operation. Apart from public lighting, the Fund is also co-financing public lighting owned by public

institutions and other extra-budgetary beneficiaries that own public lighting systems. In addition, the

preparation of the final/detailed design for the reconstruction/construction of environmentally-

friendly and energy efficient public lighting systems is also co-financed, all in compliance with the

Building Act and technical guidance of the Fund.


3. ENERGY EFFIENCY IN TRANSPORT

3.1. ENERGY EFFICIENCY TRENDS

From the energy efficiency point of view, the transport sector is the most specific sector in respect to

the use of liquid fuels as primary energy source, together with the use of electricity in the rail transport

and public transport and the use of LPG in the road transport. The potential for an energy efficiency

increase in this sector is to be found mostly in increased vehicle occupancy, usage of more energy

efficient engines and vehicles and appropriate driving regimes.

One of the basic indicators of energy efficiency in the transport sector is modal structure, i.e. the share

of different transport modes. For instance, the share of rail transport compared to road transport is an

indicator of energy efficiency in the cargo transport.

The structure of tone kilometres (tkm) in the cargo transport shows that the primary transport mode

in the cargo transport in the Republic of Croatia is road transport.

Figure 22 : Modal structure of cargo transport in the Republic of Croatia

It should be mentioned that sea and coastal transport is excluded from this comparison in order to

avoid a distorted picture it may create due to large distances covered in the international sea transport

resulting in a large number of tkm compared to other transport modes. Also, pipeline transport is

excluded from consideration.

As expected, the modal structure of passenger kilometers (with an estimation for the road transport

with private cars in Croatia based on the number of registered private cars, average vehicle occupancy

and average annual mileage) shows the highest share of private cars in total passenger kilometers

(pkm).

The share of private cars in road transport in total pkm in Croatia is exceeding 80%, and has increased

in the observed period 2000 – 2013 from 80.53% to 83.77% mostly at the expense of a lower share of

busses transport, public, rail and air transport.

76,79% 73,81%81,62%

22,65% 25,95%18,29%

0,56% 0,24% 0,09%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2000 2008 2013

Road transport Railway transport Inland waterways


Figure 23 : Modal structure of passenger transport in the Republic of Croatia

Between 2000 and 2008 in the Republic of Croatia the number of registered private vehicles

continuously increased. After that period the number started to slightly decrease. Thus, the number

of registered private cars grew from around 1 147 390 in 2000 to 1 537 876 in 2008 year and decrease

to 1 463 568 in 2013.

In the Republic of Croatia in the period from 2000 until 2013 there was a large increase in the number

of new diesel passenger cars. In the total passenger car stock structure, the share of gasoline cars

decreased from 77.86% in 2000 to 56.97% in 2013, while the share of diesel cars increased from

20.88% up to 39.67% in 2013. The share of liquefied petroleum gas (LPG) cars increased from 1.25% in

2000 up to 3.36% in 2013, as is shown in the figure below. The total number of LPG vehicles in 2013 is

estimated at about 49 191.

Figure 24 : Structure of the cars by fuel type cars

In the structure of diesel cars prevail cars with engine volumes between 1.3 – 2.0 liters, despite fast

growing category of diesel vehicles with engine volumes greater than 2.0 liters. Majority of gasoline

powered cars constitute Otto engines in category between 1.3 – 2.0 liters.

80,53% 82,72% 83,77%

0,35% 0,64%0,56%

3,93% 4,04%2,07%

2,89% 2,42%2,64%

11,95% 9,76% 10,55%0,34% 0,40% 0,36%

0,03%0,03% 0,03%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2000 2008 2013

Cars Motorcycles Rail transport Public transport (trams) Buses transport Domestic air transport Coasts and rivers

77,86%

62,21% 56,97%

20,88%

33,55% 39,67%

1,25% 4,25% 3,36%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2000 2008 2013

Gasoline cars Diesel cars LPG cars


Mentioned structure indicates costumer behavior changes with respect to the needs for greater and

powerful vehicles, while at the same time positive energy efficiency trend has been kept by purchasing

more efficient vehicles (larger share of smaller diesel-run cars). This positive structural change

mechanism is established purely on market based principles by provision of more favorable prices of

diesel fuel on the market over the period, hence without presence of any other incentive measures.

In the Republic of Croatia, between 2000 and 2007, total energy consumption in the transport sector

increased from 1550.8 ktoe up to 2171.4 ktoe. After 2007 total energy consumption in the transport

sector decreased to 2038.4 ktoe in 2013.

Road transport made 90.1% of the total consumption in 2000 and remained approximately the same

during all observed period; the share of road transport in 2013 was 89,4%. The shares of air and

domestic water transport also approximately amounted around 6.4% and 2.0%, in 2013. At the same

time, the share of rail transport decreased from 2.9% in 2000 to 2. 1% in 2013.

Figure 25 : Fuel consumption by transport mode

In energy consumption of the road transport, the share of passenger vehicles slightly decreased from

70.82% in 2000 to 67.64% in 2013, while the share of trucks increased from 18.45% in 2000 up to

20.60% in 2013. The share of consumption in buses, light duty vehicles and motorcycles slightly varied

in the observed period and in 2013 amounted 4.82%, 6.47% and 0.47%, respectively.

90,13% 89,86% 89,40%

2,97% 2,53% 2,07%

1,78% 1,97% 2,02%

4,90% 5,49% 6,40%

65,00%

70,00%

75,00%

80,00%

85,00%

90,00%

95,00%

100,00%

2000 2008 2013

Road transport Rail transport Domestic water transport Air transport


Figure 26 : Energy consumption in road transport by type of vehicles

The specific consumption of cars (litres/100km) in Croatia between 2000 and 2013 has been

substantially decreasing by 1.23%/year. Key driver for such a positive trend comes from the gradually

substitution of the existing vehicles with new and technologically more enhanced vehicles.

Figure 27 : Specific consumption of personal cars

Freight transport has its specificity regarding energy efficiency since it is primarily a function of

particular structure of transport meanings by which goods are carried on. Thus countries which use

mostly rail transport, have most efficient freight transport when it comes to the specific energy

consumption by transported tonne kilometres. Share of specific categories of heavy duties have also a

high influence on final energy efficiency. Namely, higher share of bigger and biggest loading categories

of trucks (over 7.5 tones of carrying capacity) significantly contribute to the total increase of energy

efficiency.

70,54% 67,81% 67,64%

0,31% 0,55% 0,47%

5,37% 7,67% 6,47%

5,41% 4,27% 4,82%

18,38% 19,70% 20,60%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2000 2008 2013

Cars Motorcycles Light duty vehicles Buses Trucks

4

4,5

5

5,5

6

6,5

7

7,5

8

8,5

9

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

l/1

00

km

Average specific consumption Motor spirit specific consumption

Diesel oil specific consumption


Figure 28 : Specific consumption of buses, light duty vehicles and trucks (l/100 km)

3.2. ENERGY EFFICIENCY POLICIES

In accordance with the guidelines in the EU transport strategy which places transport into the context

of the new European Union development strategy, and guidelines from the Third National Energy

Efficiency Action Plan, the Ministry of Environmental and Nature Protection prepared the

Transportation emissions reduction programme for the period 2013 – 2020. This programme, in

compliance with the Energy Strategy, envisages measures to reduce the emissions from transport and

to achieve the goal of a 10% share of RES in all modes of transport [the programme for stimulating the

purchase of electric and hybrid vehicles (“plug in” and with up to 90g CO2/km emissions) for citizens,

companies and trades, which is implemented by the Environmental Protection and Energy Efficiency

Fund; excise duties corrections – introducing environmental criteria; the Act on Promoting Clean and

Energy Efficient Vehicles in Road Transport transposing into national legislation the provisions of EU

Directive; the programme for stimulating the purchase of environmentally-friendly public transport

vehicles, implemented by EPEE; the programme for stimulating ecodriving training (so far for

companies, and in 2015 it is envisaged for natural persons as well), implemented by EPEEF; the

programme implemented by EPEEF entitled the “Green Line” under which county public institutions,

national parks and nature parks can apply for a grant to purchase electric vehicles, vessels and hybrid

vehicles].

The Environmental Protection and Energy Efficiency Fund co-finances the measures for enhancing

energy efficiency in transportation through 3 programmes:

• co-financing the purchase of electric, plug-in hybrid and hybrid vehicles for citizens, companies

and trades

• co-financing ecodriving training

• co-financing other measures for energy

The National Eco-driving Campaign was launched with the intention to achieve the maximum level of

awareness of all citizens and drivers in the Republic of Croatia on the advantages of this modern,

intelligent and environmentally friendly style of driving, through active implementation of eco-driving

8

13

18

23

28

33

38

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

l/1

00

km

Motor spirit specific consumption of light vehicles

Diesel oil specific consumption of light vehicles

Diesel oil specific consumption of buses

Diesel oil specific consumption of trucks


training among licensed (existing) drivers. Education on eco-driving elements is implemented through

short trainings (in the duration of up to 60 minutes per learner) among the drivers who obtained their

driving licence prior to the entry into force of the Rules on training learner drivers, which introduced

the obligation for all driving schools and instructors to provide education on eco-driving elements in

the course of standard training for learner drivers. It should be pointed out that the proposed measure

does not pertain to new drivers, who are trained in eco-driving in accordance with the legal obligations

laid down in the aforementioned Rules. A total of 12 750 short training courses for drivers of passenger

cars, 688 for drivers of freight vehicles, and 650 for bus drivers are assumed per year.

In order to encourage intermodal freight transport amendments to the Act on Combined Transport

are currently being drafted with the aim of stimulating road transport carriers to utilise the more

environmentally friendly and economically viable type of transport. The new amendments to the Act

on Combined Transport provide for the exemption from 50 % of the road fee during road vehicle

registration for carriers who use combined transport which allows for substantial energy savings

measures.

In order to reduce emissions from transport, one of the measures that have been implemented was

the establishment of a new payment system for the special environmental charge for motor vehicles.

Based on the ‘polluter pays’ principle, the previous model was upgraded and calculated on the basis

of emissions of CO2 and other pollutants from motor vehicles for passenger cars. Decree on unit fees,

corrective coefficients and detailed criteria and measures for determining the special environmental

charge for motor vehicles aims to establish a more equitable method for collecting the fee by

respecting the ‘pollute more - pay more’ principle and, on the other hand, the aim is to base the fee

calculation on both CO2 emissions and the emission level of a vehicle. Furthermore, the calculation

method for the unit fee, as well as the initial fee values and the corrective coefficient which depends

on the annual mileage, have also been laid down. The ultimate fee amount to be paid by the tributary

was not changed substantially, but it was more equitably distributed. The objective of this measure is

also to direct customer demand towards more environmentally friendly and economical vehicles. The

new calculation pertains only to passenger cars other vehicles are generally classified as vehicles

intended for business use and, in accordance with EU practice, it is preferred not to impose additional

costs on them when calculating the fee. The collected funds will enable the implementation of other

measures. The purchase of vehicles with lower emissions results in the reduction of emissions from

passenger cars, and therefore a reduction of total transport sector emissions.

Sustainable development of urban transport systems is promoted by the national and local

Governments. Funds are granted for optimising city logistics of freight transport, intelligent

management of public parking spaces, providing support for developing the infrastructure of public

city bikes and also introducing car-sharing schemes in cities.

Furthermore, co-financing the procurement of 15 000 electric and 6 000 hybrid vehicles by 2020 is also

assumed. It is expected that the prices of electric vehicles, as well as the required incentives for the

procurement of such vehicles, will decrease by 2020. The implementation of measures will depend on

the cost-effectiveness of subsidies for the reduction of greenhouse gas emissions.

In addition to the above measures, following measures are being financed; EV filling stations

construction, electric boats with built-in solar panels purchase, hybrid light duty vehicles purchase,


software solutions containing a database of roads, equipping of existing or construction of a new traffic

light with a visual indicator of the duration of the red light phase, electric bikes purchase and

remodeling of the existing vehicles of all categories into electrically operated or driven by compressed

natural gas (CNG).

4. ENERGY EFFICIENCY IN INDUSTRY

4.1. ENERGY EFFICIENCY TRENDS

The development and structure of individual energy forms consumption in the industry during the past

period will be analyzed for the following industrial branches:

Food, beverage and tobacco,

Textiles, clothing, leather,

Wood, wood products,

Paper, pulp and printing products,

Chemicals,

Non-metallic minerals,

Steel,

Non-ferrous metals,

Machinery and metals products,

Transport equipment,

Other manufacturing,

Mining and quarrying,

Construction.

Figure 25 shows the development of energy consumption in individual industrial branches. The

average annual growth rate of energy consumption in total industry in the period from 2000 to 2013

was negative and amounted -1.6%. In this period energy consumption was increased in six industrial

branches (food, beverage and tobacco, wood and wood products, non-ferrous metals, machinery and

metal products, other manufacturing and construction), while in all others industrial branches was

realized a reduction in energy consumption. The trend of energy consumption in individual industrial

branches was of varying intensity in different time periods (Table 4). From 2008 to 2010 energy

consumption decrease was realized in all industrial branches except paper, pulp and printing products.


Figure 29 : Final energy consumption by industrial branches in Croatia

Table 4 : Growth rates in final energy demand by industrial branches

%/year 00 - 05 05 - 08 08 - 10 10 -13 00 - 13

Food, beverage and tobacco 4,4 5,2 -8,0 -4,6 0,5

Textiles, clothing, leather -2,8 -8,9 -7,4 -3,8 -5,2

Wood, wood products 6,2 -7,2 -4,2 1,0 0,2

Paper, pulp and printing products 4,7 -5,3 4,2 -14,6 -2,5

Chemicals -2,2 1,9 -6,5 -14,6 -5,0

Non-metallic minerals 3,5 0,8 -13,9 -5,3 -2,0

Steel -6,1 9,1 -11,0 -13,5 -5,4

Non-ferrous metals 4,9 -2,4 -11,0 9,9 1,7

Machinery and metals products 5,3 9,9 -1,0 -3,4 3,3

Transport equipement 11,0 -10,0 -6,9 -6,2 -1,0

Other manufacturing -0,5 5,5 -3,9 -1,5 0,1

Minning and quarrying 2,6 4,2 -20,1 -2,5 -2,1

Construction 10,2 9,7 -17,8 -5,1 1,7

Total industry 2,7 2,3 -9,7 -6,6 -1,6

The consequences of the given growth development of energy consumption in certain industrial sub

sectors were significant structural changes of the shares of certain industrial sub sectors in the total

final energy consumption of industry. Figure 26 shows shares of certain industrial sub sectors in the

characteristic years of the period 2000 – 2013.

0,0

50,0

100,0

150,0

200,0

250,0

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

Food, beverage

and tobacco

Textiles, clothing,

leather

Wood, wood

products

Paper, pulp and

printing products

Chemicals

Non metallic

minerals

Steel

Non ferrous

metals

Machinery and

metals products

Transport

equipement

Other

manufacturing

Minning and

quarrying

Construction

Total industry


Figure 30 : Industrial branches shares in final energy consumption

The most significant energy consumption in Croatian industry is realised in the non metallic minerals

industry. Its share in the monitored period has decreased from 31.7 % to 29.8 %. Two other very

significant industries are the chemical industry, which share reduced from 19.2 % to 12.2 %, and the

food, beverage and tobacco industry, whose share has been increased from 15.0 % to 19.6 %. The

shares of other industrial sub sectors are significantly smaller.

To determine and monitor development of efficiency in energy consumption in industry, apart from

energy consumption, other parameters which influence or are connected with the level of energy

consumption must be known. Above all, there are included: the realized value added in certain

industrial sub sectors, the production index of certain industrial branches and, for energy intensive

products, their physical manufacturing.

The value added and the production index of industry are monitored in the same industrial sub sectors

as energy consumption. If we compare the realized energy consumption in certain industrial sub

sectors with the related value added, the energy intensity which shows how much energy must be

spent to realise a unit of value added could be determinate. The development of energy intensities in

certain industrial sub sectors is shown in Figure 27. We can notice the decreasing trend in energy

intensity in almost all industrial sub sectors. The total intensity in the monitored period decreased by

the average yearly rate of 2.25%. The energy intensity of the industry in 2013 was 25.65% lower in

relation to the energy intensity in 2000, which means that that much less energy needed to be spent

to produce a unit of value added. However, energy intensity is not the best indicator of the efficiency

of energy use in industry because different industrial sub sectors have a very different level of energy

intensity, so the change of structure of industrial sub sectors significantly influences the flow of total

intensity.

15,0% 17,7% 19,6%4,1%2,2%

2,5%

2,5% 2,2%3,1%5,8% 5,0%

5,2%

19,2%14,8% 12,2%

31,7%31,4% 29,8%

3,7% 2,8%2,2%

0,9%0,8% 1,3%

2,9%4,1% 5,4%

1,2% 1,2% 1,3%

4,5%4,2% 5,6%

2,1% 2,3% 2,0%6,4%11,2% 9,8%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2000 2008 2013

Construction

Minning and quarrying

Other manufacturing

Transport equipement

Machinery and metals

products

Non ferrous metals

Steel

Non metallic minerals

Chemicals

Paper, pulp and

printing products

Wood, wood products

Textiles, clothing,

leather

Food, beverage and

tobacco


Figure 31 : Energy intensities by industrial branches

In the 2000 – 2013 period, the final energy consumption (actual change) has decreased by 1.6%/year

with the growth of the value added by 0.7%/year (activity effect) as is shown in Figure 28. Energy

intensity effect (intensity with constant structure and without structural changes) has decreased by

2.3%/year in period 2000 – 2013, while the actual intensity (intensity with structural changes) has

decreased by 2.2%/year in same period. Structural effect is calculated as the difference between the

regarded energy intensity and the energy intensity at constant structure (Table 5).

Figure 32 : Explanatory factors of the energy consumption of industry

Table 5 : Explanatory factors of the energy consumption of industry

%/year 95 - 00 00 - 05 05 -10 10 -13 95 - 13

Actual change 2,7 2,3 -9,7 -6,6 -1,6

Activity effect 5,0 3,9 -7,8 -3,6 0,7

Structural effect 0,6 -0,2 -0,2 -1,1 -0,1

Energy intensity effect -3,6 -2,0 -1,5 -2,1 -2,3

0,00

0,20

0,40

0,60

0,80

1,00

1,20

1,40

1,60

1,80

2,00

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

ko

e/€

20

00

Food, beverage

and tobaccoTextiles, clothing,

leatherWood, wood

productsPaper, pulp and

printing productsChemicals

Non metallic

mineralsPrimary metals

Machinery and

metals productsTransport

equipementOther

manufacturingMinning and

quarryingConstruction

Total industry

2,7 2,3

-9,7

-6,6

-1,6

5,0

3,9

-7,8

-3,6

0,70,6

-0,2 -0,2-1,1

-0,1

-3,6

-2,0-1,5

-2,1 -2,3

-12,0

-10,0

-8,0

-6,0

-4,0

-2,0

0,0

2,0

4,0

6,0

00 - 05 05 - 08 08 - 10 10 -13 00 - 13

Actual change

Activity effect

Structural effect

Energy intensity effect


4.2. ENERGY EFFICIENCY POLICIES

As of 1997, the Industrial Energy Efficiency Network has been active in Croatia; its goal is to link the

consumers of energy, experts, state institutions and other interested parties in a functioning scheme.

It is important to identify the key industrial sectors where energy efficiency measures, such as

establishing the system of management, monitoring and analysis of energy use, setting the goals for

rational energy consumption, informing and educating the employees, will be implemented.

The Environmental Protection and Energy Efficiency Fund offers the companies a number of aid

programmes under which they can use grants or interest-free loans. Co-financing is provided for

performing energy audits, certification and introducing energy management system ISO 50001. To

companies that wish to enhance energy performance of the production process, the Fund is co-

financing the preparation of design documentation, as well as the implementation of energy efficiency

projects covering all the measures, except for works on the building envelope and construction of new

plants.

In accordance with the Heat Energy Market Act, with the aim of achieving greater utilisation of the

national thermal potential for heating and cooling, the Government of the Republic of Croatia will

adopt a programme on the utilisation of potential for heating and cooling efficiency. The Programme

on the utilisation of potential for heating and cooling efficiency will, inter alia, lay down the public

support measures for the production of thermal energy for heating and cooling.

Furthermore, series of activities will be implemented through Industrial Energy Efficiency Network

(IEEN), aimed at promoting energy efficiency in industry. The basic objective is to increase the

awareness and knowledge of the management and employees of industrial companies in order to fully

utilise the potential of achievable energy savings measures. Energy consumption management

structures should be established at company level and at industrial group level, monitoring and

analyses of energy consumption should be introduced and targets should be set. By employing this

method, a comprehensive database on energy consumption in industry will be created and indicators

will be developed, to be used for benchmarking against companies in the same sector in both Croatia

and the EU. An activities plan for key industrial sectors should be drawn up under the measure, and

the implementation of target energy efficiency measures should be co-financed.

Planed activities include institutional coordination (cooperation between state and professional bodies

involved in IEEN development, recording consumption (status overview of energy consumption and

use by branches of industry), Development of tools (SEM, M&T, energy audits, benchmarking, demo

projects), selection of key branches of industry and target companies for demo projects, in accordance

with set criteria, establishment of energy management (proposal of appropriate energy efficiency

measures for each industrial branch and implementation plans), managing finances (developing

financing aspects, considering possible ‘pipeline’ projects, developing possible application of ESCO

principles), monitoring programme implementation and results.

It is assumed that up to 90 % of electricity consumption in the industry sector pertains to pumps,

ventilators, conveyors and other electric motor drives. A substantial number of older electric motors

which are currently used are oversized – by implementing the measure of the introduction of efficient

electric motor drives the installed electrical power would be reduced, as well as the related costs, and


sudden grid overloads would be avoided. Economic savings are lower than the technical ones, but

nevertheless high enough for this measure to be economically feasible. Companies should be

encouraged to implement integral programmes of replacing and improving their electric motor drives,

and not to resort to emergency solutions for individual cases. Developed standardised energy audits

provide an evaluation of the purposefulness and potential for the application of this measure, which

later facilitates financing.

EPEEF started to provide financial support to small and medium-sized enterprises (SMEs) in order for

them to introduce and implement activities for improving energy efficiency, and primarily for

conducting high-quality energy audits and continuous energy management (introduction of

international standards such as ISO 50001), as well as for promoting energy efficiency and

promotional-educational activities for employees.

In addition to all of the above, the operation of cooling and air-conditioning systems in industry and

building construction is one of the basic reasons behind the occurrences of peak loads in the electric

power system, especially during the summer months. It is estimated that the cooling and air-

conditioning market will quadruple in the next 5 years. The plan is to ensure financial support for legal

and natural persons to invest in the reconstruction of existent cooling devices or installation of new

ones, in tandem with cooling energy accumulation systems (cold water tanks, ice banks) in the field of

building construction for littoral Croatia and in the industrial field throughout the territory of Croatia,

with the objective of reducing peak loads in the electric power system, favourably affecting the balance

of electricity consumption for cooling and air-conditioning equipment, reducing the size (capacity) of

cooling devices, reducing the cost of leasing operating energy capacity and the cost of operating

energy, achieving a higher cooling factor of a cooling device, applying natural operative substances

(NH3, CO2, propane) and reducing the refill quantity of operative substances and consequently their

leakage into and pollution of the environment.



REFERENCES

Third National Energy Efficiency Action Plan of the Republic of Croatia for the Period from 2014 to 2016, Ministry

of Economy, Croatia, 2014

Energy development strategy of Croatia (NN 130_2009), 2009

Energy in Croatia 2013, Ministry of Economy, Republic of Croatia, 2014

The Environmental Protection and Energy Efficiency Fund, Annual program for public bids and tenders in 2015

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