The Fund was established by the Act on the Fund for Financing the Decommissioning of the Krško Nuclear Power Plant and the Disposal of Krško NPP Radioactive Waste and Spent Nuclear Fuel (Official Gazette "Narodne Novine", no. 107/07 and 21/22) to meet the requirements under the Agreement between the Government of the Republic of Croatia and the Government of the Republic of Slovenia on the Regulation of the Status and other Legal Relations Regarding Investment, Exploitation and Decommissioning of the Krško Nuclear Power Plant (Official Gazette “Narodne novine” – International Treaties, no. 9/02).
The Republic of Croatia, as the founder of the Fund, jointly and severally guarantees the obligations of the Fund. The Fund is accountable to the central state administration body in the energy sector, the Ministry of Economy and Sustainable Development.
The Fund Act entered into force on 27 October 2007; on 7 February 2008, the Government of the Republic of Croatia appointed its Board of Directors and Interim Director, and the Fund became operational in September 2008.
The Fund’s activities include activities regarding the acquisition , maintenance and increase of the value of funds required to finance the drafting, review and implementation of the Programme for the Decommissioning of the Krško Nuclear Power Plant and the Programme for the disposal of radioactive waste and spent nuclear fuel from the plant according to Art. 10 and 11 of the Bilateral Agreement, as well as the coordination of preparation and drafting of the Programme for decommissioning and Programme for the disposal of the Krško Nuclear Power Plant radioactive waste and spent nuclear fuel in accordance with the Radioactive Waste, Disused Sources and Spent Nuclear Fuel Management Strategy (Official Gazette “Narodne novine”, no. 125/14).
Hrvatska elektroprivreda d.d. and GEN energija d.o.o. jointly own the two equal parts of the Krško Nuclear Power Plant ; consequently, HEP d.d.– and, indirectly, the Republic of Croatia – share the responsibility for the decommissioning of the power plant and disposal of total and future radioactive wastes generated by the operation and decommissioning of the Krško NPP. This obligation, which in principle derives from generally recognised international standards and legally binding conventions acceded to by the Republic of Croatia, has been confirmed in the Bilateral Agreement. The unique case of shared Slovenian-Croatian responsibility for the waste from the Krško NPP is acknowledged in the EU Directive 2011/70/Euratom for the management of RW and SNF, which explicitly supports the implementation of the Bilateral Agreement.
By a decision of the Government of the Republic of Croatia, the Fund was defined as an expert organisation for the development of joint radioactive waste disposal and Krško NPP decommissioning programmes. In cooperation with the Slovenian expert organisation and Krško NPP, the discharge of this obligation includes developing effective solutions to safeguard human health and the environment as well as economic solutions. Any activities concerning the disposal of radioactive waste and spent nuclear fuel will proceed in accordance with ratified contracts, conventions, laws and endorsed good business practices.
Pursuant to the Act on Amendments to the Radiological and Nuclear Safety Act (Official Gazette "Narodne Novine", no. 39/15 and 21/22), the Fund is required to establish a Radioactive Waste Disposal Centre as an organisational unit and carry out related activities to schedule and implement radioactive waste disposal obligations in Croatia.