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Factsheet for measure HR-2024-42/3582 Updated – measures in Croatia

Umag as shining example in the green transition

Umag kao svjetli primjer zelene tranzicije

Country Croatia , applies locally

    • – HR0 HRVATSKA
      – HR036 Istarska županija
Time period Open ended, started on 14 October 2024
Context Green Transition
Type Other initiatives or policies
Category Promoting the economic, labour market and social recovery into a green future
– Strategic plans and programmes
Author Predrag Bejakovic (Faculty of Economics, Business, and Tourism (FEBT), University of Split) and Eurofound
Measure added 19 October 2024 (updated 06 January 2026)

Background information

The city of Umag on the Istrian peninsula is one of the leaders of the Croatian green transition. Back in 2010, the local government initiated commendable projects whose primary goals were environmental protection and reducing their ecological footprint. At that time, they had three basic guidelines: gasification, waste management, and water protection. The primary activity was the construction of an agglomeration with a purifier. The gasification is now finished and operational, and the same applies to waste management. The City government rehabilitated one part of a landfill in 2017, and now the second part is in the final phase of rehabilitation. A recycling yard and a sorting plant for inert construction waste are under construction, which will be the only one in all of Istria. As for the water protection area, it has been built and the agglomeration is ongoing and being developed. A purification device has also been constructed and is currently in trial operations.

Content of measure

As the Croatian green transition takes firm hold, the main topic is renewable energy. Umag is very much oriented towards solar power plants and the development of green areas. Back in 2014, when everything went through the individual cities themselves, over 200 contracts were signed with citizens for renewable sources. After that, everything went through the funds, and the City decided to help them by co-financing the project documentation. In 2025, the City will also co-finance the installation of a power plant. In addition, Umag itself is working on the construction of solar power plants on its buildings. Recently, the City government started designing the first power plant for the construction of the new market with a power of about 30 kW, which will cover the consumption of the market, and the rest will be fed back into the network.

Updates

The following updates to this measure have been made after it came into effect.

15 November 2025

At the national level, environmental protection spending in Croatia increased by €248 million in 2024, and in this context, Umag achieved one of the biggest leaps - it allocated € 4.17 million, which is €3.43 million more than 2023. With an increase of 461.78%, Umag ranked among the cities with the largest rise in investments in this sector and positioned itself as the fifth-strongest city in per-capita spending, according to recently published analysis of budget execution data. In 2024, the City made a major step forward, channeling budget funds into projects that simultaneously improved the quality of life and preserved important resources. The most significant among these projects is undoubtedly the remediation of the closed non-hazardous waste landfill Donji Picudo. The project, worth €2.46 million (€2.09 million of which was secured through EU grants) permanently closed and environmentally revitalized an area of 30,000 square meters. The remediation included excavation and relocation of waste, installation of a final cover layer with drainage and sealing components, a storm water drainage system, and greening with grass, shrubs, and trees. Major progress has also been made in water and communal infrastructure. In the settlement of Crveni Vrh, as part of the EU-funded agglomeration project, 11.5 kilometers of new pipelines and six pumping stations were constructed, while more than two kilometers of old water mains were replaced. The value of the works on pipelines and pumping stations amounted to €3.4 million, while the pipe replacement cost nearly €680,000. A total of 16,000 square meters of roads were reconstructed, into which the city invested an additional €110,000, and foundations for new lighting worth €25,000 were installed. This finally resolved the long-standing problem of inadequate drainage, giving the settlement a more orderly and attractive appearance and significantly reducing pressure on the sea and coastline. Furthermore, in July 2025, the new city waterfront was opened, stretching nearly two kilometers, with a new coastal wall, sewage system, lighting, and urban furnishings. Landscaping is underway, including a citrus park, and the reconstruction of the promenade has been completed in parallel, rounding off the development of the entire Umag Bay. Greenery and climate adaptation are also in focus. During 2024, around 500 trees were planted, along with 44 pine trees, helping protect the soil from erosion and providing natural shade. These investments in greenery and the preservation of natural resources are complemented by investments in sustainable energy, completing the vision of an environmentally responsible city. The energy transition is supported through co-financing of household solar power plants. After the initial €60,000 allocated for this purpose were used up in just two months, the city secured an additional €100,000. Citizens can receive up to 40% support, or a maximum of €3,000 per project, and advisory assistance is provided throughout the entire process. Over the past year, Umag has once again demonstrated how investments in environmental protection can be transformed into projects that directly change the face of the city and the way its residents live. From the remediated landfill and newly built sewage systems to new promenades, green spaces, and the promotion of renewable energy, this series of initiatives makes this highly successful Istrian city an even more pleasant, safer, and more sustainably livable place.

15 August 2025

A just energy transition is not just an ecological but also a social and economic necessity, the purpose of which is to build a sustainable and fairer society in the era of clean energy. The city of Umag is located within the County of Istria, which participates in the Just Energy Transition for Central Europe (JETforCE) project. The project will support the partner regions of Central Europe to digitally involve their citizens so that, through the use of digital tools, they can jointly design and implement the energy transition. The project idea is based on the principle that citizens need the opportunity to contribute to measures that affect their life, work, and opportunities in the context of the green energy transition. However, for quality inclusion of citizens in decision-making processes, they need to be provided with knowledge and appropriate information. During the three-year project, the JETforCE consortium plans to develop two new solution tools for the digital engagement of citizens in the creation and improvement of policies related to the green transition. JETforCE aims to improve local and regional energy planning, equipping public authorities and stakeholders with the knowledge and digital solutions needed to develop a just energy transition framework that will actively involve citizens, especially those from vulnerable groups. Furthermore, the goal is to analyze energy efficiency and renewable energy technologies through a socio-economic lens. The JETforCE project is co-financed by the European Regional Development Fund and will be implemented from 1 April 2023 to 31 March 2026. The project value is € 2.37 million, with 80% co-financing from the European Regional Development Fund. In Istria County, activities are focused on raising awareness of the necessity of a just energy transition and involving citizens in policy-making processes. The pilot activities will encourage additional education, retraining of the workforce, and lifelong learning for scarce occupations in the field of energy efficiency and renewable energy sources.

Use of measure

Designing solar power plants for schools, kindergartens, a retirement home and the People’s Open University in the city center is in the final phase. Together, all this should be 330 kW, and the return on the investment should be seven years. Using this more practical approach to the Croatian green transition, relatively large areas that have the proper infrastructure can be connected to the network with minimal costs. This implies several hectares in total, and spread across several locations. These projects will mostly serve to supply energy to the grid.

Target groups

Workers Businesses Citizens
Does not apply to workers Does not apply to businesses Applies to all citizens

Actors and funding

Actors Funding
Local / regional government
Local funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role No involvement as case not in social partner domain No involvement as case not in social partner domain
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • No involvement
  • Main level of involvement: N/A

Involvement

Due to the nature of the measure, social partners were not directly involved. However, they support measures intended for the preservation of the environment, particularly keeping in mind that this part of Istria is a well-known touristic resort.

Views and reactions

Local social partners were not directly involved, but they fully supported all measures directed toward the protection of the environment and energy efficiency.

Sources

  • 14 October 2024: Umag as shining example in green transition (Umag kao svjetli primjer zelene tranzicije) (www.morski.hr)
  • 30 July 2025: Project JETforCE (www.istra-istria.hr)
  • 25 September 2025: New expeditures for environment projects in Umag (Nova izdvajanja za ekološke projekte u Umagu) (gradonacelnik.hr)

Citation

Eurofound (2024), Umag as shining example in the green transition , measure HR-2024-42/3582 (measures in Croatia), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/HR-2024-42_3582.html

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