Electricity distribution is the last component of the system, responsible for delivery of electricity to customers. The activity is performed by HEP-Operator distribucijskog sustava (HEP ODS) d.o.o., a distribution system operator company. In addition to distributing electricity taken from the transmission network, ensuring reliable customer supply, managing sales, metering, billing and payment collection for electricity supplied, HEP ODS is responsible for maintenance, replacement, reconstruction and development of distribution network and plant.

The tasks of the distribution system operator are: secure, reliable and efficient operation of the distribution network; ensuring non-discrimination toward distribution network users, including related companies within HEP Group; providing information to network users as needed for them to efficiently access and use the network; ensuring access to the network according to regulated, transparent and non-discriminatory principles; and managing network losses and analyzing them on an annual basis.

HEP ODS submits annual report  to the Croatian Energy Regulatory Agency, which, if necessary, can demand that certain measures be implemented in order to ensure the principles of transparency and non-discrimination.

With prior consent from the Agency, HEP ODS adopts distribution network development and construction plan. This plan takes into account energy efficiency measures, demand-side management and distributed production, which may postpone the need for strengthening the distribution network.

Data relating to the possibilities of using the distribution network are public, they are updated once a year and published on the website. The operation and control of the distribution network are regulated in the Grid Code applicable to the Croatian electricity system.