Energy in transition: From the iron curtain to the European Union
The fall of communism left some of the most polluting and wasteful energy sectors of the World in Central and Eastern Europe (CEE). After 15 years of restructuring, eight of these countries have joined the European Union (EU), closing an era of economic transitions. What progress has been made in these countries in the field of energy from the perspective of sustainability? Has the transition agenda been completed, or do any of the socialist energy sector legacies prevail? The purpose of this paper is to review the period of economic transition in the energy sector, focusing on sustainability, in three selected CEE countries, and to use Russia as a comparison. First, the paper argues that at the core of the unsustainability of energy sectors at the end of the communist era were among the highest energy intensities in the world. Then, we identify the legacies of the centrally planned economy that contributed to these high-energy intensities. We outline a policy agenda for the transitions which addresses the identified legacies. Next, we look at the energy landscape at the end of the restructuring, and review the developments in energy intensities during the period of economic transitions. We conclude that, while energy and economic restructuring is very important to bring down the high-energy intensities of former communist countries, a sizeable gap remains in intensity levels between CEE countries and the old EU states. Therefore, economic and energy system reforms alone will not close the gap, and targeted policies and measures are needed to improve energy efficiency levels. Beyond a more serious governmental commitment, a concerted effort is needed from regulators, corporations, utilities, consumer organisations and the civil sector to catalyse the remaining progress to be made in combating the socialist legacy in the field of energy efficiency. © 2005 Elsevier Ltd. All rights reserved.
Energy efficiency policy in an enlarged European Union: the Eastern perspective
In May 2004 eight former communist countries of Central and Eastern Europe joined the European Union (EU), ending the era of economic transition. During the accession process their energy sectors had to undergo fundamental reforms and restructuring, and after having to adopt European legislation, the main framework of their energy policies now should be up to speed with those of the EU-15.However, the legal harmonization process was entirely one-way. How well do the present EU energy efficiency policies cater to the needs of the new member states? What is the end result of the transition and accession process in this field? What has the ambitious restructuring schedule delivered in these countries from the perspective of energy efficiency? Where are these countries in terms of energy efficiency policies today, compared to the old member states? How should EU energy and environmental policies change or be strengthened to accommodate the different settings in the accession countries?These questions were answered as a part of a study commissioned by the European Parliament and completed by the Central European University. The paper will portray the development of energy intensity during the accession process, and catalogue the policies in place today influencing the efficiency of energy use. The paper then provides recommendations on how the efficiency of energy consumption could be promoted further, and what EU-level policies could be introduced to facilitate these changes. Among other suggestions, the paper points to the importance of policy integration and the decentralisation of policy implementation to the municipal level.
Energy policy in Eastern Europe: A research report
A significant amount of research has examined the various development paths and transformation models of the post-socialist states. The literature in the fields of economics and political science frequently singles out the energy sector in order to identify the main trends of the transformation process. This article discusses the findings of analyses of energy policy and the energy economy in East-Central Europe and Russia, and of studies of the effects of EU accession on the energy sector. The main issues examined are the heavy burden placed on the environment by the energy sector and the low level of energy efficiency.