Energy Subsidies: Lessons Learned in Assessing their Impact - UNEP

Energy Subsidies: Lessons Learned in Assessing their Impact and Designing Policy Reforms
for 10% of final demand, trade and services, with 15%, and households, with 17%, are
increasing. Approximately half of the Slovak Republic’s 5.4 million inhabitants live in
apartment buildings. Of these, 40% are supplied with heat and hot water from district heat
systems.
Just under half of power generation comes from nuclear plants and about 23% from coal. Two
new reactors came on line in 1998 and 2000, reducing the country’s reliance on coal and
heavy fuel oil. There is substantial unused hydropower potential.
4.2.3 Energy intensity
In both countries, total primary energy use and greenhouse-gas emissions fell considerably
between 1990 and 1999. Nonetheless, both economies remain very energy intensive. Figure
4.1 compares primary energy intensity, measured as energy consumption per unit of GDP
(using market exchange rates and PPP) in the Czech and Slovak Republics with neighbouring
countries, the European Union and the OECD. Intensity in the two countries has fallen
significantly since the early 1990s, but remains well above other countries and regions – even
when calculated on the basis of PPP. Emissions per unit of GDP and per capita are also high,
largely because energy intensity is high and because coal is still the main source of power
generation. 31 52
Table 4.2: Primary Energy Supply in the Slovak Republic, 1999 (PJ)
Source: IEA ( 2001).
31 See Jilkova et al. (2001) and MOE-CR (2001).