updated: 30 Mar 2017

ENERGY SECTOR OVERVIEW


With the exception of Ukraine, the Energy Community consists of small scale national energy markets. Only five of the eight Contracting Parties are, at least partially, gasified, while Albania, Kosovo* and Montenegro do not have a gas market. This is expected to change in the near future with the construction of the Trans Adriatic Pipeline. While having substantial coal resources, the region is a great importer of natural gas and oil.

 

Although some progress has been achieved, the Energy Community still has a significant untapped renewable energy and energy efficiency potential. With an expected increase in energy consumption in the region, it will be important that this demand is met in a sustainable manner.

 

 

 

Energy Community Fuel Mix in Primary Production in 2013

 

When looking at the primary production fuel mix in the Energy Community, the dominance of solid fossil fuels with a share of more than 50% is the first most striking observation. With the exception of Albania and Moldova, solid fossil fuels are the number one fuel in the Contracting Parties. Whilst Serbia and Ukraine have rather a balanced portfolio of energy sources, the energy mix of the other Contracting Parties is dominated by merely two fuels. The share of gas production is significant only in Serbia and Ukraine. Oil and petroleum products play an important role in Albania. Ukraine is the only Contracting Party with heat and electricity generated from nuclear power.

 

In parallel to the continuous dominance of solid fossil fuels, there is a positive development to be observed in terms of the uptake of energy from renewable sources. Over the last five years, there has been a strong upward trend in the share of renewable energy (7,561 ktoe in 2009 versus 8,685 ktoe in 2013). Whilst hydro is still predominant in Albania and Montenegro, solid biomass has the highest renewable energy fuel share in the other six Contracting Parties.

 

When comparing energy production with gross inland consumption (chart below) in the Energy Community, a number of conclusions can be drawn. Although still the most dominant fuel, the share of solid fossil fuels is lower (38%) in gross inland consumption than in the primary production. Also, the importance of gas in the gross inland consumption is substantially greater (28%). Similarly, the share of consumed oil and oil products (13%) outweighs the share of crude oil in primary production (5.3%).

 

 

Shares of Fuel in Gross Inland Consumption in 2013

 

 

Coal, mainly domestic lignite, amounts to more than 50% of the gross inland consumption of energy in Bosnia and Herzegovina (64%), Kosovo* (66%) and Serbia (53%). It is the most important fuel in five of the eight Contracting Parties. Oil and oil products, on the other hand, play an important role in the energy mixes of Albania (58%), Moldova (33%) and former Yugoslav Republic of Macedonia (33%). The share of gas is significant in Moldova (36%), Ukraine (34%) and Serbia (12%). Ukraine and Bosnia and Herzegovina, and to a smaller extent Serbia and Kosovo* were net exporters of electricity in 2013.

 

In comparison, oil and oil products (33%) followed by gas (23%) and solid fossil fuels (17%) are the leading fuels in gross inland consumption of the EU-28. Whilst the Energy Community Contracting Parties' share of renewable energy in gross inland consumption amounts to 6%, the EU-28 share is twice as high (12%).

 

 

 

Energy Import Dependency in 2013 (in %)

 

The share of net imports in gross inland consumption indicates the country’s overall energy dependency. It is interesting to note that the average EU dependency on energy imports (53.2%) is substantially higher than the ratio for the Energy Community Contracting Parties (27.8%). As in 2012, energy dependency is the highest in Moldova (85%)

 

Characteristic to the Energy Community, the region is dependent on imports of crude oil and petroleum products (16.8 mtoe import of oil versus 5.8 mtoe production in 2013). In the countries that are gasified, the same pattern applies for natural gas. As the graphic above shows, the import dependency on these two fuels varies from significant to absolute. Bosnia Herzegovina, former Yugoslav Republic of Macedonia and Moldova are completely dependent on imports of gas and oil. Kosovo* and Montenegro do not have a gas market, but are 100% dependent on oil imports.

 

 

 

 

CONTENT
 

 

This section displays key statistical data on the Energy Community and its Contracting Parties, as presented in the Secretariat's 2015 Implementation Report. Building on several sources, the data was compiled by the Secretariat and dates from 2013. There is a page characterising  consumption, energy intensity and electricity prices  at the regional level, followed by a page on Contracting Parties Energy Mix.

 

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