HANDA is autonomous, independent and non-profit public institution founded by Act on Crude Oil and Petroleum Products Market (Official Gazette No. 57/2006).

In the process of harmonization of the legislative framework of Republic of Croatia with legal accession to EU, Croatian Parliament, on its session held on May 12th, 2006 passes Act on Crude Oil and Petroleum Products Market (Official Gazette, No. 57/2006).

The aforementioned Act deals with questions related to the compulsory stocks of crude oil and petroleum products as a measure for safe and reliable supply of Republic of Croatia with crude oil and petroleum products in case of a threat to the energetic security of the state, caused by the unexpected disruption of supply. Compulsory stocks of crude oil and petroleum products are being established based on the quantity of 90 days average daily consumption in preceding calendar year by July 31st of the current year. Entity responsible for maintenance of compulsory stocks of crude oil and petroleum products in Republic of Croatia is Croatian Compulsory Oil Stocks Agency (HANDA), having also an obligation to establish compulsory stocks in the quantity of 90 days average daily consumption by July 31st, 2012.