CROATIAN ENERGY MARKET OPERATOR (HROTE) started to operate on 4 April 2005. HROTE performs activities of organizing electricity and gas market as a public service, under the supervision of the Croatian Energy Regulatory Agency (HERA). In addition, HROTE performs activities in system for incentivizing electricity production from renewable sources and cogeneration.

Main responsibilities on the electricity market include:

• issuing Electricity Market Rules,
• keeping records of participants on electricity market,
• registration of contractual obligations among market participants,
• preparation of a day ahead market plan,
• settlement of balancing energy,
• analysing the electricity market and recommending measures for its improvement.

Main responsibilities on the gas market include:

• issuing Gas Market Rules,
• organization of the gas market in accordance with the Gas Market Rules,
• keeping Register of the balancing responsible parties and their direct members,
• concluding contracts with the balancing responsible parties ,
• organization of balancing energy market,
• organization and maintenance of a gas trading platform,
• settlement of the transactions concluded on the gas trading platform ,
• settlement of daily imbalance charges for each balancing responsible parties,
• settlement of activated balancing energy through the use of balancing services,
• calculation of neutrality charges for balancing,
• publication of the relevant data concerning calculations and charges,
• organization of Virtual trading point,
• participation in the gas supplier change process ,
• creating report about proceeding activities on supplier change,
• establishment and maintenance of the registry of all metering points in the Republic of Croatia,
• information exchange with market participants,
• creating an annual report on the results of gas market analysis and suggesting the measures for its improvement.

Main responsibilities in systems of incentives include:

• concluding contracts with incentivized eligible producers,
• concluding contracts with all suppliers regarding regulated purchasing of minimal share of electricity produced from renewables and cogeneration (RESCO),
• collecting incentive fee for RESCO from all suppliers on electricity market,
• financial settlement according to concluded contracts,