Krka National Park to Introduce New Entrance in Šibenik
February 10th, 2022 - The new gateway to Krka National Park will relieve the pressure on two other entrances used by 95% of visitors, and make it easier for tourists in Šibenik to visit the national park
A new entrance to Krka National Park is about to be opened in Šibenik, reports Morski.hr. The Dalmatian town is set to become the sixth official gateway to the magnificent park, a natural karst phenomenon, along with Skradin, Lozovac, Roški Slap/Laškovica, Burnum/Puljane and Kistanje/Manastir Krka.
The overwhelming majority of visitors, about 95%, enter Krka National Park via Lozovac and Skradin entrances, the latter being the closest to the majestic Skradinski buk waterfall. Introducing an entrance in Šibenik is hoped to relieve the pressure on the two mentioned entrances, and distribute visitors evenly throughout all the sites in the park and at the reception centres.
The decision to introduce an official park entrance in Šibenik is a part of the Action plan for visitor management in the period 2019 - 2031, but a strategic project as well.
‘We were of the opinion that this high percentage [of visitors] needs to be more evenly distributed and that a possibility of opening a new entrance to Krka National Park in Šibenik needs to be considered. We proposed the idea of reception and transport of visitors in the city of Šibenik, who spend an average of three days staying in accommodation facilities in town and on islands of the Šibenik archipelago. We also had in mind the citizens of Šibenik to whom the Krka waterfalls are a synonym of the Park and their favourite destination. Naturally, we also thought of new visitors from the two neighbouring counties, who could choose the Šibenik entrance as a jumping off point for their visit to Krka National Park’, said Krka NP director Nella Slavica.
It’s believed that this new concept of visitor reception will help solidify the position of Šibenik on the tourist map and increase the number of visitors to the city, who will then go on to avail of other tourist services in town.
Šibenik Mayor Željko Burić brought up a few steps the City of Šibenik is planning to take to ensure the best possible outcome of their cooperation with NP Krka. ‘A necessary step in the implementation of this project is to introduce regular bus and boat services for visitors, as well as a commercial space for presentation of the Public Institution "Krka National Park" in Šibenik', said Burić.
Professor Emanuel Bracco Discusses Excise Duties on State Budget and Consumers
February 10, 2022 - Emanuel Bracco, a professor at Verona University, discusses the total effects of excise duties on both the state budget and consumers.
Its main view is that the level of taxation should be proportionate to the level of damage caused by the use or consumption of a particular product. In his opinion, banning such products would be very difficult, and perhaps unnecessary. He illustrates this with the example that driving a car is definitely a pollutant, but he points out that it brings huge economic and social benefits.
Professor, we followed with interest your presentation and discussion at the Tax Conference. Although in general we all somehow believe that the role of excise duties is mostly in the service of collecting budget revenues, this is not really the case, but the social implications are far greater. In the light of the proposed Energy Tax Directive (ETD) and the upcoming Tobacco Tax Directive (TED) review can you briefly comment and clarify how we should look at the overall effects of excise duties?
Excise duties are surely important as a source of State's revenue. I believe that in Croatia they account for about 5% of total government revenues, and that the majority of these revenues come from excise duties on fuel. Excise duties do serve a purpose to collect revenues, but also to affect consumption behavior of harmful products, whether it is because of pollution, addiction, or adverse health outcomes. We should not forget that the government can achieve both revenues and behavioral effects through taxation. This is particularly important when talking about the ETD and the TED, since in both cases excise duties can contribute in nudging consumers towards better products, improving the overall system. And they can do so while achieving revenues. In the case of the Energy Tax Directive, that's precisely what the Commission is trying to do with its proposal. This is a modern approach, directed to produce positive behavioral effects I am talking about.
Most excise goods, or their use, have either health or environmental implications. Is the solution in eliminating the consumption of such products? How would this reflect on the overall social and economic aspect of society and is something like that realistic at all?
Eliminating consumption of this products may be very difficult, and may also not be necessary or useful. Surely driving cars pollutes, but it also brings to immense economic and social advantages. Similarly moderate consumption of alcohol or sugar need not be detrimental for one's health. Also for tobacco products, because of their addictiveness and their entrenchment in our culture, it may not be feasible to ban them altogether. We also have to take into consideration the effect that a total ban may have on illegal supply channels. This is not something new. In fact, we have observed throughout history. Think about the classic example of prohibitionist in the US. All in all, it is probably more realistic to try to push consumers away from unhealthy habits through taxation and information campaigns.
Products evolve taking into account consumer preferences and trends. The same goes for excise products. For example, people are increasingly looking for electric cars that are less harmful to the environment or looking for less harmful substitutes for smoking. How should, in your opinion, an excise policy be set in relation to the level of product harmfulness?
Basic economic theory tells us that harmful products – i.e products that create a negative externality or internality – may be taxes in order to correct for the fact that producers and consumers do not fully take into account the harm done by these products. This also implies that the level of taxation ought to be commensurate to the level of harm and the elasticity of supply and demand, i.e. how much consumers and producers are affected by a change in price. In layman terms: if a product is highly damaging, it should be taxed in a heavy way. If it is less damaging, it should be taxed less.
Are there any examples that you would point out that should take into account the relationship between harmfulness and excise policy?
In many markets excise policy takes this relationship into account: typically spirits are taxed more than beer and wine; road tax is often linked with the level of emission of a car (and therefore their harmfulness); also in sugar-sweetened drinks tax is proportional to the amount of added sugar. In this sense if would be desirable that also in the broad nicotine and tobacco market products may be taxed according to their level of harmfulness, following a risk-based taxation, with traditional cigarettes taxed more than other innovative products.
To what extent does legislation follow rapid changes in product development and consumer preferences? Is anything happening at the moment on this issue at the level of nation states or supranational levels?
Legislation is typically slow in this. As new products start with small market shares, they are initially ignored by governments. Take for example nicotine products - as innovative nicotine products are gaining popularity, more and more government have taxed them in very heterogeneous ways. The EU directive that informs all national regulations is also 10 years old, and was written before all of these new products were relevant. In the next months this EU directive will be updated also to encompass these products among others. On the energy front we are seeing some very good steps in the right direction, with the application of behavioral principles to taxation.
You have worked on certain models and economic analyses concerning the principle of harm reduction. In that sense, what would you point out as your conclusions and thoughts?
My main point is that taxation levels should reflect harmfulness, also so that consumers that choose to consume more harmful products may be pushed towards less risky alternatives. This is true in every industry. From cars to food and with everything in between. In the case of tobacco, this approach would help to decrease smoking prevalence while simultaneously preserving government revenues and improving the health and social outcomes.
For more, check out our business section.
President Says He Did Not Request Refurbishment of Summer Villa
ZAGREB, 10 Feb 2022 - President Zoran Milanović said on Thursday he had not requested the refurbishment of a presidential summer residence on the southern island of Hvar, as claimed by Defence Minister Mario Banožić, and would therefore demand a probe.
Following Defence Minister Mario Banožić's statement on Wednesday evening in which he called out Milanović for the refurbishment and investments in the state-owned villa on the island of Hvar, which cost several hundred thousand kuna, the President today denied the allegations that he had demanded the renovation of the building.
The President neither requested the renovation nor had he any knowledge of the refurbishment and investment, performed obviously by the Državne Nekretnine state property management company during Banožić's term as the State Assets Minister, the President's Office said in a press release.
Milanović demanded specifications of the costs of the refurbishment since there could be seen no signs of renovation or investment in the villa that would warrant such an amount.
The President wondered ironically whether during his term as the State Assets Minister, Banožić had got the villa refurbished at his own initiative in order to obtain the President's favour.
Đerek responds to Banožić's accusations
Maja Đerek, a former employee at the Državne Nekretnine company who was accused by Banožić of misappropriating funds for the refurbishment of the villa, counterclaimed on Thursday that it would be useful for Banožić to recall that it was the company's acting director Renata Sabo who was responsible for the management of the Kovač Vila.
Đerek said ironically that Banožić's personal "realtor" Sabo was the person responsible for the case.
Đerek said it was evident from the relevant documents that the refurbishment had been done on 21 May 2020 when Banožić served as the State Assets Minister and when her superior was Sabo.
European Commission Forecast: Croatia's 2021 Growth Second Highest After Ireland
ZAGREB, 10 Feb 2022 - The European Commission on Thursday significantly revised up its forecast for Croatia's economic growth in 2021 to 10.5%, which is the second-highest growth rate in the European Union after Ireland, while downgrading its projections for this year and next compared to its autumn outlook.
The European Commission released its Winter Economic Forecast on Thursday, saying that the Croatian economy achieved a full V-shaped recovery in 2021, surpassing the level registered prior to the 2019 crisis.
After a fall of 8.1% in 2020, the Croatian economy is estimated to have grown by 10.5% in 2021. The only other EU member state with faster growth is Ireland, with a rate of 13.7%.
In its autumn forecast, released in November 2021, the Commission projected Croatia's growth for last year at 8.1%.
As far as inflation is concerned, it is forecast at 2.7% for 2021, 3.5% for 2022 and 1.6% for 2023. These figures are at the level of the euro area average and slightly lower than in the EU overall.
The Commission expects the Croatian economy to grow at a rate of 4.8% this year (compared to 5.6% forecast last autumn) and at 3% next year (the autumn forecast was 3.4%).
After strong growth in the second and third quarters of 2021, growth is expected to have slowed down in the fourth quarter based on short-term indicators of economic activities and price increases.
Exports of commodities and services contributed to the recovery, with tourism playing a key role as well as personal consumption.
Although a strong increase in demand for finished products led to a growth of imports, the contribution of net exports to growth will remain positive.
Investment is also expected to increase, reconstruction should be stepped up after the earthquakes in Zagreb and the Banovina region, as are favourable financial conditions and the implementation of the National Recovery and Resilience Plan (NPOO).
The revised budget indicates that government spending will make a positive contribution to this year's growth.
The risk balance is slightly tilted to the downside, mainly due to problems in implementing projects following the earthquakes. which could negatively affect investments.
This year, inflation could be 3.5% compared to 2.7% last year, mostly due to increased commodity prices. The high inflation rate in the first half of the year is expected to slow down in the rest of the year. Inflation will be most affected by prices of energy and unprocessed food. It is expected to fall below 2% in 2023.
The Commission estimates that after a growth of 5.3% last year, the EU economy will grow at a rate of 4% this year and 2.8% next year. Growth in the euro area is forecast at 4% in 2022 and 2.7% in 2023. The EU as a whole reached pre-pandemic levels in the third quarter of 2021 and all member states are expected to return to pre-pandemic levels before the end of 2022.
My Two-Day Adventure From Ivankovo to Zdenci: Travel Connection Issues in Slavonia
February 10, 2022 - After World War II, a lot of people migrated from Dalmatia, Herzegovina, and more to Slavonia looking for better lives. They mostly traveled with coal-fired trains that would take a week to get to their destination. However, that was in the 1950s and 1960s. In the 21st century, in 2022, my trip to Zdenci, a village located in the east of Virovitica - Podravina County, took me two days by public transportation - train. A look into the travel connection issues in Slavonia in the 21st century.
Railways and trains, as public transportation and a part of the economy, always had a huge role in Croatian history. The first railways in the territory of today’s Republic of Croatia were built in the 19th century, which connected Međimurje with Hungary and Slovenia, only 35 years after the first railway was built in England. Croatia, which was part of the other reigns at that time, realized its potential as a favorable traffic center that connected Southern Europe with the West and more. Slavonia has become part of one of the most important railway tracks named Corridor X - a Pan-European line that goes through Vinkovci, a city that became one of the most important railway centers in Europe. Older workers fondly remember tons and tons of cargo going through Vinkovci and full trains which would transport passengers every 4 minutes. They also highlight the extended travel which was caused by worn-out railways which can’t withstand newer locomotive trains and that impact can be especially seen on Vinkovci - Zagreb line. Because of that, the consequences were inevitable and the most loyal passengers switched to other types of transport.
Screenshot: Google Maps
Ivankovo being so close to Vinkovci benefited a lot in terms of connectivity and availability of lines and trains for traveling. Every hour there would be a train transporting to a specific destination. I have travelled by train my whole life. It is my favorite type of public transportation by far and still a huge part of life, not only mine but of every other resident of the Ivankovo district.
Finally, this is how my adventure started. My friend from Osijek and I decided to visit a mutual friend who lives in Zdenci and the only time we could go was Saturday, which is a doomed day for public transportation in Croatia - lack of lines in all available public transportation. However, that didn’t stop us, this is it, we’re going, now or never. After exhausting brainstorming, I decided to come a day earlier to my friend’s place, sleep there and catch a morning train to Zdenci - Orahovica. That was the only train in the morning that traveled for an hour and a half to our destination. How? Well, the line is originally going to the city of Virovitica and it stops in the city of Našice where it stays for almost an hour?! In the end, it was less than that but before that, we didn't realize why we stopped for almost half an hour in a village called Koška. God only knows why, but apparently, we waited because of the other train that was coming back on the same railway? I still don’t know the reason why.
After we finally started traveling again, there weren’t any obstacles in our way. We were finally coming to our destination. Unfortunately, there was another problem. Apparently, the station’s location isn’t in the city of Orahovica or the village of Zdenci, it’s in another village - Duga Međa. The walk to Zdenci, with half of the way without a footpath, takes approximately 40 minutes. Of course, we shrugged that possibility off and decided on a taxi which isn’t even in Orahovica or Zdenci - it’s in the village of Čačinci. Yes, another name of the place that even made our heads spin, I can only imagine the person reading this.
Back to the story. The taxi guy from Čačinci welcomed us, props to him, and drove us finally to our friend’s house. It was a great moment; we haven’t seen each other for over a year because of the pandemic and life in general. We talked, laughed, and hung out like the old times but the lack of public transportation had to cut our time together short. There was only one train available to Osijek around 3 pm that we couldn’t miss, because of my transportation home from Osijek to Vinkovci and friends' other plans. I traveled two days for two hours of socializing. It hurt so much. After slow travel to Osijek and finally coming to Vinkovci and realizing there isn’t any public transportation to Ivankovo after 3 pm, not even a bus (which is a discussion for another time), I took a taxi and paid another fee. I came home and my mother told me: “You traveled for two days to a place that takes an hour and a half by car, and hung out with your friends for two hours?! This looks like the 1960s, not 2020s.” And I looked at her and realized she was right.
Screenshot: Google Maps
In the end, one more realization popped up in my head. The amount of money I spent going to Zdenci by train, with taxi fees and everything else, I could’ve easily paid for a cheap, discount flight to another country or go to Dubrovnik or Split by plane, possibly, even a discount two-way ticket. This wasn’t cross-country travel, we were literally going to another Slavonian place, which yes, seems far but it’s truly not. From Ivankovo to Zdenci, traveling by car, on the D515 road, that goes by the city of Đakovo, takes around an hour and a half (82,4 kilometers). From Osijek to Zdenci, it takes an hour without traffic (around 70 kilometers) and the railway has the same route as the roads and it took four hours more, including the travel back. This isn’t how it was before. How can we travel longer in 2022 than in the 1980s?
Slavonia always lived on railway infrastructure - most of the people still work there. It’s still a huge factor in our lives and not everyone has the possibility to own a car and drive it wherever. The lack of passengers led to fewer railway lines but lack of investment and nonsense renovating led to fewer of those same passengers. After thinking about everything my friend and I went through to see our friend for two hours; I came to this conclusion: get money for a drivers' license and buy a car. Hopefully, the future brings positive changes; the old love for train travel comes back with passengers that spent their youths traveling in them and future youth start bringing back the reputation this part of Croatia always had - one of the most important railway hubs in Europe.
For more on travel in Croatia, follow TCN's dedicated page.
Parliament: Heated Debate Over COVID Certificates
ZAGREB, 10 Feb 2022 - A formal discussion in the Croatian parliament on Thursday on the Bridge party's motion for a referendum on COVID certificates was preceded by a heated debate on the counting of signatures and the purpose of COVID measures.
Bridge MP Miro Bulj wondered why the ruling majority did not want to determine a deadline for the referendum. "Why haven't they set a deadline? In whose interest is it to block our initiative?" he asked.
Social Democratic Party (SDP) leader Peđa Grbin claimed that since the outbreak of the pandemic this government has been wandering, and that different rules apply to different people.
That has led to the situation that Croatia has the highest COVID death rate and the HDZ (Croatian Democratic Union) and its actions have led to this referendum, he said.
Grbin recalled that the last referendum motion too had a lot of unclear situations and appealed that signatures should not be counted by the government but by the State Electoral Commission (DIP) and that a deadline should be fixed for that.
Marijan Pavliček (Sovereignists) said that the introduction of COVID certificates was ridiculous because they have not produced any results and called on the ruling majority to accept the will of the people and call the referendum as soon as possible.
Dalija Oreškoivć (Centre) said that the HDZ's 'engineering' has shown that it does not respect the state, institutions, parties, or citizens.
HDZ whip Branko Bačić dismissed the criticisms and said that the Sabor decides on the technical aspects and the proposal by its committee that the government should check the signatures and that representatives of the referendum initiative should participate in checking the signatures.
The referendum calls for the abolishment of COVID certificates, even though they exist in other EU member states, and abolishing them would mean to indirectly and directly shut Croatia's borders and would contribute to the spreading of the virus in society, said Bačić.
Croatia Records 8,971 New Coronavirus Cases, 48 Deaths
ZAGREB, 10 Feb 2022 - Croatia has recorded 8,971 new coronavirus cases and 48 COVID-related deaths in the last 24 hours, the authorities reported on Thursday.
The national coronavirus response team said on Thursday that currently there are 46,346 active cases in the country, among whom are 2,131 people being treated in hospitals, including 173 placed on ventilators, while 21,865 people are self-isolating.
Since the start of the pandemic in Croatia, 1,004, 804 people have been registered as having contracted the new coronavirus SARS-CoV-2, of whom 14,329 have died and 944,129 have recovered, including 7,477 in the last 24 hours.
To date, 4,375,754 people have been tested and 5,147,524 COVID-19 vaccine doses have been administered. 56.68 per cent of the total population, or 67.44 per cent of adults, have been vaccinated. A total of 2,300,234 people have received at least one dose and 2,215,898 have been fully vaccinated, which is 65.12 per cent of the adult population.
Croatian Defence Minister and Israeli Ambassador Praise Military Cooperation
ZAGREB, 10 Feb 2022 - Croatian Defence Minister Mario Banožić and Israeli Ambassador Ilan Mor on Thursday praised the military cooperation between Croatia and Israel, the Defence Ministry said in a press release.
Banožić spoke of technical cooperation in equipping and modernising the Croatian armed forces, participation in courses and conferences, and cooperation in firefighting efforts.
Banožić expressed satisfaction with the defence cooperation and said he was confident that the two countries would intensify their future cooperation to their mutual benefit.
Mor thanked the Ministry for its support in organising the first Lightning of the Heavens memorial march in Croatia, when Israeli paratroopers commemorated Hannah Szenes on the occasion of the 100th anniversary of the birth of the Israeli national heroine.
Szenes participated in World War II as a member of the allied forces. She was arrested by Hungarian gendarmes near the northwestern Croatian town of Čakovec during her attempt to infiltrate Hungary and rescue Jewish people. She was eventually tried and executed by firing squad.
(Hina) vm
Osijek Fortress Reconstruction in Full Swing, Completion Expected End of 2023
February 10, 2022 - The Osijek Fortress reconstruction is currently underway and should be completed at the end of 2023. The total value of the project is 130 million kuna.
Osijek is currently a large construction site. Cranes and excavators are literally in all parts of the city. Osijek's baroque pearl - the Fortress - is also full of construction workers, reports Lokalni.hr.
Reconstruction and extension upgrades include sanitary and precipitation sewerage, distribution telecommunication sewerage and electricity cable sewerage, and reconstructing the streets and pedestrian areas, which will create the conditions necessary to revitalize the Fortress as a business, residential, and public space.
"Reconstructing the Fortress is a strategic project of the City of Osijek and the Urban Agglomeration of Osijek with majority funding from the ITU mechanism through the European Regional Development Fund. The project's total value is 130 million kuna, of which the grant amounts to 65 million kuna. Investments in cultural heritage throughout Europe have proven to be profitable because of the return on investment and generated new income in the economic, hospitality, tourism, and public sector. Furthermore, cultural heritage is an important generator of jobs from construction, repairs, and maintenance related to heritage preservation, which is exactly what is happening at the Fortress, all the way to the development of cultural tourism, creative industry, small and medium enterprises, and startups," said Mayor Ivan Radić.
The works are progressing according to the planned dynamics, and the completion is planned for the end of 2023. After the reconstruction, the City of Osijek will, for the first time in 300 years, have detailed plans for the underground infrastructure of the Fortress.
The realization of projects worth one billion kuna is also underway. The first major reconstruction of the Copacabana swimming pool after 46 years is a go, and an underpass worth 60 million kuna is being built on Čepinska, which will solve traffic problems that have burdened Osijek for almost half a century. There is also a new Economic Center that will return Osijek to the fair maps of Europe.
"Connecting the Lower and Upper Towns with a promenade is in progress. Thus, the longest Croatian promenade, the Osijek Promenade, will get an additional 3 kilometers. The value of the works is 100 million kuna. In addition, we are starting to design a promenade towards Višnjevac of almost 5 kilometers. We have found extra-budgetary funds for almost all projects," concludes Radić.
For more, check out our lifestyle section.
Grič Cannon Will Be Fired Again to Mark Noon from This Monday
February 10, 2022 - After more than one year of absence due to the earthquake, a beloved tradition in Zagreb marks its return this Monday as the Grič cannon will be fired again to announce noon in a resounding way.
According to tportal.hr, the Zagreb Holding announced today that the Grič cannon, one of the most famous Zagreb sights and important tourist attractions with a tradition of more than 140 years, will be fired again on February 14th, after a long period of silence.
The first time the cannon was fired to announce noon in the city of Zagreb was in 1877, as part of an initiative promoted by the writer, publicist, and city councilor, Đuro Deželić.
The cannon has been the pride and joy of the citizens of Zagreb for over a century, and according to legend, it even saved the city from an invasion by the Ottoman Empire. If you want to know more about the legend, click here.
It was originally located in the building of the Hydrometeorological Institute, and today it is located in the Lotrščak tower on Grič. It is a mountain cannon type Howitzer M116, caliber 76mm, and its range is 7929 meters, and the volume of the shot is 140 decibels.
The cannon stopped during the First World War and resumed its activity, not until 1928. Since then it has not stopped announcing noon in Zagreb, until almost two years ago during the earthquake that hit the Croatian capital in March 2020.
It took two months for the cannon to restart, and it has been firing at noon between May 11, 2020, and December 29 of that same year. It last fired just 20 minutes before the earthquake that affected the Sisak-Moslavina region, with the epicenter in Petrinja, and which was also strongly felt in Zagreb. The cannon, which will finally return to work on Monday, had been inactive since then.
If you are looking for the most complete information to enjoy Zagreb, be sure to check out Total Croatia, Zagreb in a Page guide HERE. Available in nine languages!
For more, check out our lifestyle section.
