Energy price control for households and selected businesses

In June 2026, the government extended the excise duty measure for another two-week period (from 02 June till 15 June 2026), further reducing excise duties on unleaded petrol to €392.31 per 1,000 litres and maintaining the reduced rates for diesel. The estimation of a reduction in state budget revenues resulting from this measure is more than €13.4 million during the period of application. Furthermore, the latest amendment of the Regulation dated 1 June 2026 caps the supplier premium as follows: for petrol (Eurosuper 95) to €0.1545/litre, for diesel to €0.1045/litre, for blue diesel to €0.0436/litre, for LPG for tanks to €0.4116/kg, and for LPG cylinders (7.5 kg+) to €0.8737/kg. The application of this measure is anticipated in the period needed for the market to stabilise.

The tenth anniversary package of measures introduced by the Croatian Government, worth €450 million, will take 0.4 percent of Croatia’s GDP out of the state budget. According to available comparisons, this places it among the largest interventions within the European Union when measured against the wealth of the country. The announced Spanish intervention, whose backbone consists of tax rate cuts, amounts to about 0.3 percent of that country’s GDP. Experts believe it is positive that the Government has given up part of the excise duties and capped margins on petroleum products. Given the sharp rise in oil prices caused by the war in the Middle East, this is currently the fastest tool for directly curbing the growth in fuel prices. Fuel is an input cost for almost all products and services, so this kind of intervention is necessary in order to neutralize strong external shocks. However, when the state guarantees low prices for input costs, some businesses do not use this to lower prices for end customers, but instead to preserve or increase their own margins, counting on the fact that the state will not allow the system to collapse. The structure of the measures is predominantly universal, which is understandable in the short term because of the need for a rapid response. However, in the long run, the question of their redistributive efficiency arises. ‘Without clear empirical assessments, it is difficult to evaluate to what extent the funds are truly directed toward the most vulnerable groups, or whether public funds are being used in the most efficient way. In other words, much more could probably have been achieved if assistance had not been provided to everyone, but only to the most vulnerable groups. Much better results in preserving the material and social security of vulnerable groups could have been achieved with better targeting of those who need help the most.’"

The Croatian government has unveiled a new package of measures aimed at protecting citizens and businesses from rising energy costs triggered by instability in global markets. Prime Minister Andrej Plenković announced the measures during a government session on 23 March 2026, describing them as part of the country’s 10th economic support package since 2020. The measures are a response to the surge in energy prices worldwide amid escalating tensions and conflict in the Middle East, which analysts warn could significantly disrupt global oil supplies. The new package is designed to soften the economic impact of the latest geopolitical crisis. The goal is to preserve jobs and economic activity while easing pressure from rising prices. The government has decided to intervene by reducing part of the fuel excise duty and limiting distributor margins in order to soften price increases. The government decided to lower the excise tax by approximately 20–30 cents per litre. Thus, since 24 March 2026, the maximum prices have been: for petrol, €1.62 per litre (previously €1.50; without government intervention it would reach €1.71); for diesel, €1.73 per litre (previously €1.55; without intervention €1.86); and for blue diesel, used mainly in agriculture and fishing, €1.19 per litre (without measures €1.23). Fuel price controls apply to all petrol stations except those located on motorways, where prices will remain deregulated. Regarding electricity and gas prices, the Government had planned to exit the measures of limited prices on 1 April 2026, but it has decided to continue the measures regarding electricity for practically all entities. The price will remain the same for the next six months. Regarding gas, the stability of supply is ensured, and the price will remain the same until 30 September 2026. Vulnerable energy customers will receive a voucher amounting to €70 per month for the compensation of energy costs. Foster parents and providers of home aid will also receive a voucher of €50 per month for covering the costs of electricity.

According to the government’s statement, the energy subsidy has become increasingly difficult to justify. These subsidies are co-financed by all taxpayers, and keeping them at their current levels would cancel out price signals. Thus, energy consumers are not motivated to use less energy, nor are they motivated to switch to other forms of energy, such as renewable sources and solar panels. In 2022 and 2023, the government frequently issued short-term decrees that reduced excise duties on diesel and petrol fuel. In 2023, these subsidies were halved, while in September 2024, the subsidy was gradually eliminated. The government believes that a gradual decrease in energy subsidies will not inadvertently cause any negative effects. Therefore, Croatian energy prices are expected to rise by 10 to 15%, which is lower than the 30% announced in some public media. For the most vulnerable energy buyers - about 88,500 people in Croatia - there is a voucher to cover the costs of electricity, gas, or thermal energy. Its monthly total value is €70.

The Croatian Government on 14 September 2023 announced its decision on price caps on energy for another six month period from 1 October 2023 to 31 March 2024. The price of electricity for households was set to remain the same, but the semi-annual threshold has been raised from 2,500 to 3,000 kWh. The price for the first 3,000 kWh is €59 for one MWH, while above 3,000 kWh is €88 for one MWH. The measure in value €102 million relates to 2.2 million households.

The Croatian government unveiled a €1.7 billion package of measures to support households and the economy amid the ongoing global energy crisis and rising prices. A total of €1.18 billion are envisaged to soften the impact of growing energy prices. This measure will help to keep unchanged the price of electricity for households, the public institutions and non-profit sector, small businesses and entrepreneurs until the end of September 2023. Some €150 million will be set aside to help keep unchanged natural gas prices for households, the public institutions and non-profit sector by the end of March 2024 (effectively extending the measure from its previous end date of 31 December 2023) and for companies with average annual consumption of up to 10 GWh. The government, on 16 March 2023, decided that from 1 April 2023 until 31 March 2024, 69,000 vulnerable people will have the right to the increased monthly fee for covering the costs of electricity, gas or thermal energy. The monthly fee increases will amount to €70, while the total value of the measure is €36 million. Vulnerable groups are receivers of: personal disability benefit, guaranteed minimum benefits (one form of social welfare aid), national benefits for the elderly persons (for persons who are not eligible to the regular pension because they did not work at all or worked less than required 15 years), financial benefits for unemployed Croatian veterans from the Homeland War and civilian victims of the Homeland War. They will continue to have the right to compensation for the housing cost, communal fees, heating and water services. Furthermore, for providers of social service, compensation for mitigating the increase in energy costs was introduced. They will be paid from €70 to €540 per month, depending on the number of users. Providers of home help services will receive from €70 to €80. Providers of accommodation, organized housing and residence services from €140 to €540. The value of the measure in total is €4 million. Currently, 506 service providers are covered by the measure.