Social Democratic Party (SDP) parliamentarian Pedja Grbin said on Saturday that a model outlined by Prime Minister Andrej Plenkovic for an initial public offering (IPO) of HEP power company shares to ensure funds for buyout of MOL's interest in INA was unacceptable for the strongest Opposition party.
PM Plenkovic said in an interview on Friday evening that his cabinet was considering buying out the MOL oil company's stake in INA based on the model of an initial public offering (IPO) of HEP power company shares and that 25% minus one share in the power provider might be put on sale to Croatian citizens, pension funds and legal entities in Croatia.
This prompted SDP MP Grbin to claim that being a lawyer and having served as a member of the European Parliament, Plenkovic must be aware that the European Union rules do not allow the restriction of the sale only to Croatian nationals.
Speaking to the press outside the SDP headquarters, Grbin said Plenkovic had already shocked the Croatian public last Saturday (24 December) by his statement that Croatia would buy out MOL's 49% interest in INA.
The SDP official today criticised the government of stopping short to specify how much this might cost and how funds would be ensured for that purpose.
"The proposed model to privatise HEP in order to nationalise INA is unacceptable to SDP," Grbin said insisting that it remains unclear what could be achieved that way.
He went on to say that the SDP is not against INA's nationalisation, if that will pay off and will be viable without burdening the state budget.
Responding to comments from the the press that the SDP-led government of PM Zoran Milanovic had also had an idea of privatising HEP, Grbin admitted that this topic had been considered but that the SDP-led government gave up from that scenario because an analysis showed that this would not be favourable for Croatia's economy.