ZAGREB, 9 Oct (Hina) – Velika Gorica, Osijek, Vinkovci and Zaprešić could be using geothermal energy for heating by 2030, under a €35 million grant agreement signed on Friday.

The agreement, which will fund additional geothermal wells needed to bring the systems into operation, was signed by Economy Minister Ante Šušnjar, Central Finance and Contracting Agency Director Dragan Jelić and Hydrocarbon Agency Management Board Chairman Marijan Krpan.

The project will develop additional geothermal wells in all four cities, where geothermal reservoirs have been confirmed by surveys. The aim is to expand the use of geothermal energy for district heating and reduce reliance on fossil fuels.

Hydrocarbon Agency Management Board Chairman Marijan Krpan said the project was expected to become operational in 2030, provided everything went according to plan, with work due to begin two years earlier.

Geothermal energy can be used for district heating, electricity generation, agriculture and other purposes, he added.

Prime Minister Andrej Plenković said Croatia had significantly greater geothermal potential than commonly assumed, describing the resource as domestic, renewable and low-carbon. Unlike solar and wind power, geothermal energy is available regardless of weather conditions and requires relatively little space, he added.

Plenković said €86 million would be invested across two project phases. The first confirmed the geothermal reservoirs, while the second will establish the technical conditions for their sustainable use.

The energy could be used to heat homes, schools, kindergartens and public buildings, as well as for other purposes, he said.

“The geothermal gradient in the Croatian part of the Pannonian Basin is as much as 60% higher than the European average,” Economy Minister Šušnjar said.