Croatia: Government Falls

Croatia: Government Falls

The governing coalition collapses after months
of tensions, amid signs of deep rifts within the country’s
second-largest party.

Croatian Prime Minister Ivica Racan resigned on
Friday morning, bringing down the government he had headed over the
past two and a half years.

The immediate cause was a disagreement over the
ratification of an agreement with Slovenia about the costs of
decommissioning the Krsko nuclear power plant, which lies just over
the border in Slovenia. Under the terms of the agreement, signed by
Racan and his Slovenian counterpart Janez Drnovsek in 2001, Croatia
would bear the entire cost of shutting down the plant, which was
built jointly by Slovenia and Croatia and completed in 1983. The
bill is expected to run to as much as $500 million. Croatia had
already invested approximately $300 million to $500 million in the
plant, both to build and decommission it.

However, the Krsko deal was only the culmination
of a series of crises that have split the coalition, which includes
Racan’s Social Democrats (SDP), the Social Liberals (HSLS), the
Croatian Peasant Party (HSS), the Liberal Party (LS), and the
Croatian People’s Party (HNS). At the beginning of Racan’s mandate
in January 2000, the government also included the Istrian
Democratic Assembly (IDS).

The splits have grown particularly wide since
HSLS president Drazen Budisa entered the government in March 2002.
It was also Budisa who triggered the government’s collapse,
announcing that the HSLS would leave the coalition after parliament
approved the agreement on Wednesday. Budisa, who was first deputy
prime minister, had opposed many proposals made by Racan. Racan
resigned two days after.

Budisa also objected to Racan’s decision to
inform reporters of the contents of official transcripts recently
sent to the International Criminal Tribunal for the former
Yugoslavia (ICTY). The transcripts were of two telephone
conversations, one in 1993 and the other in 1995, in which former
President Franjo Tudjman discussed the situation in Bosnia with
senior politicians from the ruling and opposition parties. These
included Racan, Defense Minister Jozo Rados, and Budisa, who was
leader of the HSLS, which was in opposition at the time.

Budisa said that Racan had no authority to make
public the content of the transcripts, especially without
consulting those involved in the discussions. He denied claims that
he had been informed about the transcripts’ contents a month
ago.

The collapse of the government has also revealed
deep rifts within the HSLS itself, which has the second highest
number of seats in parliament. Indeed, the Krsko agreement was only
approved because six HSLS deputies defied the party whip. Others
abstained. There has been speculation in the media that a new
faction is emerging within the HSLS determined either to remove
Budisa or to found a new party. The faction is said to include
those who supported or abstained from the agreement, as well as
most of the HSLS ministers in the Racan government. The deputy
leader of the HSLS, Djurdja Adlesic, is reported to be heading the
faction, though she herself has denied the claims.

Defense Minister Rados, another HSLS member, has
said that, because he disagrees with the general thrust of HSLS
policies, he would support the coalition and the government,
regardless of whether he would remain a minister. The science and
technology minister, Hrvoje Kraljevic, has also said he would be
willing to join the new government.

Budisa has threatened to expel any party members
who go against the party line and vote with other parties. Two HSLS
ministers–Economy Minister Hrvoje Vojkovic and Transportation
Minister Mario Kovac–have sided with him. The last remaining
minister, Andro Vlahusic, limited himself to saying that he would
support both the gove rnment and his party.

Under Croatia’s constitution, it is now up to
President Stipe Mesic to designate a new prime minister. Racan is
expected to be asked to try and create the new cabinet, as he leads
the party with the largest number of parliamentary seats, the
SDP.

The new government will face a vote of
confidence within 30 days of being named. The chairman of
parliament, Zlatko Tomcic (HSS), says that 84 of the 157
parliamentarians have informed the president’s office that they
would support a government headed by Racan.

Three opposition parties in parliament–the
Croatian Democratic Union (HDZ), the Democratic Center (DC) and
Croatian Party of Rights (HSP)–are calling for new elections as
the only way to resolve the current crisis. The IDS and
representatives of Croatia’s Serbian minority have, however, said
that they will support a new Racan-led government.

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