Energy Investment Opportunities in Croatia (2026–2030): A Practical Guide for Investors
TL;DR: Croatia is entering a transformative phase in renewable energy, infrastructure, and grid expansion. Guided by its updated National Energy and Climate Plan (NECP), the country aims for a sharp rise in renewable capacity by 2030—anchored in solar, wind, and hydro modernization. Market-premium auctions, power purchase agreements (PPAs), and Guarantees of Origin (GoOs) are now the main vehicles for attracting private investment.
From 2026 onward, Croatia’s energy landscape will be shaped by steady auction pipelines, clearer permitting, grid-capacity expansion, and integrated energy storage. For investors, this means a maturing, EU-aligned market that’s still early enough to offer first-mover advantages.
NECP 2030 Targets – Croatia plans to significantly increase its renewable share by 2030, aiming for around 70% of electricity from clean sources. This includes multi-gigawatt expansions in solar and wind, along with upgrades to existing hydro infrastructure.
Market Premium (FIP) Scheme – Operated through the Croatian Energy Market Operator (HROTE), this program provides a floating premium on top of market prices, awarded through competitive auctions. It ensures a stable and predictable revenue stream while maintaining exposure to market dynamics.
Recent Auction Performance – The 2024 round saw more than 400 MW of solar projects awarded, reflecting investor confidence and grid readiness. Wind projects underperformed, largely due to grid constraints and environmental permitting complexities.
HROTE – Manages renewable auctions, distributes incentives, and oversees the issuance and trading of Guarantees of Origin.
HERA – The Croatian Energy Regulatory Agency, responsible for licensing, tariff oversight, and ensuring regulatory compliance.
HOPS (Transmission System Operator) and HEP-ODS (Distribution Operator) – Handle connection approvals and network development. Their grid capacity assessments are essential for project timelines and feasibility.
Grid access remains the most sensitive part of any energy investment in Croatia. Recent reforms have clarified the connection-fee methodology and introduced a transmission-level connection fee, streamlining what used to be a major bottleneck.
Investors must:
Secure the Study of Optimal Technical Solution early, as it determines feasibility and interconnection options.
Conclude a Grid Connection Agreement and maintain communication with operators to ensure that reinforcement works and connection timing align with project milestones.
This step is crucial: grid delays have been the main cause of postponed commissioning dates across the market.
1. Utility-Scale & Commercial Solar
The frontrunner. Croatia’s solar potential is strong and auctions have shown consistent success. Projects benefit from quick development timelines, modular scalability, and favorable irradiance.
Investor Tip: Target low-conflict zones near substations and design projects with potential for battery co-location.
2. Onshore Wind
Still viable, but selective. Environmental permitting and grid availability are the key constraints. Wind continues to play a role in Croatia’s energy mix, especially in coastal and inland high-wind zones.
3. Small Hydro & Modernization Projects
Opportunities exist in rehabilitating existing plants and adding incremental capacity. These smaller-scale projects can be competitive under the FIP scheme and often face less permitting friction.
4. Energy Storage (BESS)
Battery energy storage systems are emerging as a crucial enabler for renewables. Croatia’s grid increasingly needs flexibility to handle growing solar and wind penetration. Investors should anticipate revenue stacking opportunities through ancillary services and peak shaving.
5. Geothermal Energy
Still in its early stages, particularly in northern regions such as the Pannonian Basin. The sector’s long lead times are balanced by potential high returns and natural monopolies for early entrants.
Market Premium (FIP): Offers predictable returns with partial market exposure.
Corporate PPAs: A growing trend in Croatia, allowing investors to secure long-term revenue through direct contracts with industrial consumers.
Guarantees of Origin: An additional revenue stream and marketing advantage, especially when targeting ESG-conscious buyers.
Site Control and Spatial Planning: Confirm that the land is zoned for energy development and free from environmental conflicts.
Environmental and Technical Studies: Includes the EIA (if required) and the Study of Optimal Technical Solution with the grid operator.
Grid Connection Agreement: Secures the interconnection point and defines financial and technical responsibilities.
Licensing and Construction Permits: Issued by local authorities and HERA, depending on project type and capacity.
Auction Participation: Submit bids under HROTE’s framework and comply with post-award obligations.
Commissioning and GoO Registration: Once operational, register for Guarantees of Origin to enhance project value.
Targets: By 2030, Croatia expects around 5 GW of installed solar and 4 GW of wind. This represents billions in potential investment.
Auction Cadence: Annual or semi-annual FIP auctions will continue, keeping the investment pipeline active and competitive.
Demand Drivers: Industrial electrification, data centers, and electric mobility are all contributing to long-term energy demand growth.
Grid Bottlenecks: Engage early with HOPS and HEP-ODS and plan for realistic energization timelines.
Permitting Delays: Local-level variations can be significant; working with local engineering and legal partners can reduce friction.
Auction Volatility: Bid conservatively and ensure financial models reflect potential curtailment and balancing costs.
Mid-Scale Solar Projects (<100 MW) – Near substations with available capacity; ideal for co-located storage.
C&I Rooftop Portfolios – Aggregated rooftop or ground-mounted systems for industrial offtakers.
Small Hydro Upgrades – Modernizing legacy infrastructure for new incentives.
Strategic Wind Sites – Only where grid access is confirmed and environmental risks are minimal.
Relocation Croatia offers end-to-end project support—business incorporation, regulatory navigation, auction readiness, grid and offtake structuring, and local compliance management. We simplify the entry process so you can focus on returns, not red tape.
Croatia’s energy sector between 2026 and 2030 is defined by reform, opportunity, and competition. Solar leads the way, wind is refining its path, and battery storage is entering the conversation. With clearer regulation, expanding grid access, and transparent auctions, the market is becoming both sophisticated and accessible.
Investors who approach with discipline, local insight, and a strong technical foundation stand to secure early positions in one of Southeast Europe’s most stable renewable markets.
Planning to enter Croatia’s renewable energy market or bid in the next auction? Book a professional consultation with Relocation Croatia to map your entry strategy, assess grid feasibility, and align your investment for the 2026–2030 cycle.