Economics professor Ljubo Jurcic on Wednesday said that the state-run power provider - HEP - must not be touched or be a subject of trade because it was founded to produce sufficient quantities of electricity for the country. 

"HEP must not be touched. It was founded to produce sufficient electricity on Croatia's territory for Croatia. It sill lacks 30% of full capacities which will come out in the next five-six years. Thus, it has still not fulfilled the role it was founded for. It cannot be the subject of trade," Jurcic told reporters with regard to the possible sale of HEP shares through and Initial Public Offering (IPO) in an attempt to collect enough funds to buy out MOL's shares in the INA oil and gas company.

Electricity is the energy of the future. Renewables are in the focus. Private vehicles will most probably be run on electricity. By 2025 or 2030 many cities will ban cars run on fossil fuels. That means, HEP has a completely different objective than to be the subject of trade, Jurcic said on the margins of a conference organised by the Jutranji List daily about Croatia's energy strategy.

As far as INA is concerned, Jurcic believes that decisions about the company's future have to be adopted rationally and not emotionally.

He noted that if the Hungarian MOL oil company withdrew from INA, that would mean losing a significant share of the market in Bosnia and Herzegovina. "All the elements have to be considered and calculated to see what would be the most feasible for Croatia," he said.

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