Energy and nuclear power developments in Eastern Europe
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Date
1990
Journal Title
Journal ISSN
Volume Title
Publisher
Australian Nuclear Science and Technology Organisation
Abstract
The two factors most influencing energy policy in Eastern Europe have been the centralised economic planning system and the dominance of coal in domestic energy reserves. The centralised system favoured energy intensive industries, provided all the capital for the energy sector from central funds and subsidised
energy prices. As the price structures did not cover costs, and there were no incentives to save energy, energy inefficiencies became a built-in feature of Eastern European economies. Ageing conventional power plants have also contributed to the region's energy inefficiency. The lack of foreign exchange meant that energy imports from outside countries were not considered an option regardless of the cost of domestic production.
The economic restructuring taking place in Eastern Europe will introduce market forces into the energy scene, with deregulated prices, reduced subsidies and energy enterprises meeting their financial needs on the capital market. Poland, for example, has raised its energy prices by a factor of six and is moving towards a free market in coal and the closure of inefficient heavy industries. Energy demand in Eastern Europe is expected to be lower in the short term as the economic restructuring leads to an industrial recession. Industrial output in the East has been reported as below last year’s figures. Coal is the most important primary energy source for Eastern Europe except the USSR where gas supplies most of the energy. The region has 10% of the world’s
black coal, with the largest reserves in Poland, and 10% of the world’s brown coal or lignite. East Germany is the world’s largest producer of lignite but at the current rate of production its reserves could be exhausted in about twenty years.
Description
Keywords
Energy policy, Eastern Europe, Coal, Power plants, Electricity, Nuclear power, Gases, Availability, Safety, Environment, Energy demand
Citation
Australian Nuclear Science and Technology Organisation. (1990). Energy and nuclear power developments in Eastern Europe. Menai, NSW : Australian Nuclear Science and Technology Organisation.