scholarly journals Unintended Consequences of National Climate Policy on International Electricity Markets—Case Finland’s Ban on Coal-Fired Generation

Energies ◽  
2020 ◽  
Vol 13 (8) ◽  
pp. 1930 ◽  
Author(s):  
Anahita Farsaei ◽  
Sanna Syri ◽  
Ville Olkkonen ◽  
Ali Khosravi

Finland has adopted a high profile in climate change mitigation. A national target of achieving carbon neutrality by 2035 has been declared. As a part of this, the use of coal for energy purposes has been banned from May 2029 onwards. The Nordic electricity market was a world fore-runner in creating a liberalized, multi-national electricity market in the 1990s. At present, the electricity systems of Finland, Sweden, and Norway are already very low-carbon. The Baltic countries Estonia, Latvia, and Lithuania joined the Nordic market about a decade ago. Estonian electricity production is the most carbon-intensive of all the EU countries due to the extensive use of domestic oil shale. Especially Lithuania still suffers from capacity deficit created by the closure of the Soviet time nuclear reactor Ignalina in Lithuania. This paper presents the ambitions of the EU and national level energy and climate policies and models the multi-national impacts of Finland’s forthcoming closure of coal-fired generation. We also take into account Sweden’s planned decrease in nuclear generation. We find that these national-level policies have an impact on the Baltic countries as reduced import possibilities and increasing electricity prices, and the expected rise of the EU CO2 allowance prices amplifies these. We further find that the abandonment of coal and nuclear power plants increases the net import and increases CO2 emissions in neighboring regions.

Baltic Region ◽  
2020 ◽  
Vol 12 (3) ◽  
pp. 72-88
Author(s):  
V.V. Voronov ◽  
O.P. Ruza ◽  
J. Stasane

There are several approaches to assessing poverty, namely, the absolute, relative, and subjective ones. They are widely used in studying income dynamics and differentiation at a national level. Yet a new research approach to the study and assessment of ‘multidimensional’ poverty is gaining popularity in developed states. Central to it is the notion of ‘risk of poverty and/or social exclusion’ (AROPE). This approach measures both income level and such non-monetary component as access to social services. Despite the versatility and severity of multidimensional poverty in some European countries, this phenomenon has not been sufficiently explored in socio-economic studies carried out in the Baltic countries of the EU — Latvia, Lithuania, and Estonia. This article aims to identify the characteristics of multidimensional poverty in the Baltic countries and the EU. Its objective is to examine the spread of multidimensional poverty in the Baltic countries and compare it to the situation on a European scale. The work uses Eurostat data. Various indicators suggest that the risk of multidimensional poverty in the Baltic States is above the EU average.


2017 ◽  
Vol 28 (7) ◽  
pp. 687-705 ◽  
Author(s):  
Blanca Moreno ◽  
María T García-Álvarez

Spain and Portugal are highly dependent on energy from abroad, importing more than 70% of all the energy they consume. This high energy dependence could involve important effects on the level and stability of their electricity prices as a half the gross electricity generated in both countries came from power stations using imported combustible fuels (such as natural gas, coal and oil). In general, changes in the prices of these fossil fuels can directly affect household electricity prices, since generation costs are likely to be transmitted through to the wholesale electricity market. Moreover, in the framework of the European Union Emission Trading System, electricity production technologies tend to incorporate their costs of carbon dioxide emission allowances in sale offers with the consequent increase of the electricity prices. The objective of this paper is to analyze the influence of fossil fuel costs and prices of carbon dioxide emission allowances in the EU on the Spanish and Portuguese electricity prices. With this aim, a maximum entropy econometric approach is used. The obtained results indicate that not only the price of imported gas are very important in explaining Spanish and Portuguese electricity prices but also the price of carbon dioxide emission allowances in the EU.


2019 ◽  
Vol 12 (5) ◽  
pp. 156-171
Author(s):  
A. V. Zimakov

Clean energy transition is one of major transformation processes in the EU. There are different approaches among EU countries to decarbonization of their energy systems. The article deals with clean energy transition in France with the emphasis on power generation. While this transformation process is in line with similar developments in the EU, the Franch case has its distinct nature due to nuclear power domination in electricity production there. It represents a challenge for the current model as the transition is linked to a sharp drop of nuclear share in the power mix. It is important to understand the trajectory of further clean energy transition in France and its ultimate model. The article reviews the historical roots of the current model (which stems from Messmer plan of the 1970-es) and its development over years, as well as assesses its drawbacks and merits in order to outline possible future prospects. The conclusion is that the desired reduction of nuclear energy is linked not solely to greening process but has a complex of reasons, the ageing of nuclear reactors being one of them. Nuclear power remains an important low-carbon technology allowing France to achieve carbon neutrality by 2050. A desired future energy model in France can be understood based on the analysis of new legislation and government action plans. The targeted model is expected to balance of nuclear and green energy in the generation mix in 50% to 40% proportion by 2035, with the rest left to gas power generation. Being pragmatic, French government aims at partial nuclear reactors shut down provided that this will not lead to the rise of GHG emissions, energy market distortions, or electricity price hikes. The balanced French model is believed to be a softer and socially comfortable option of low-carbon model.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Anna Broka ◽  
Anu Toots

PurposeThe authors’ aim is to establish the variance of youth welfare citizenship regimes in Central and Eastern Europe (CEE) and to revisit the applicability of the regime approach to the emerging welfare regimes (EWRs).Design/methodology/approachThe empirical analysis follows the descriptive case study strategy aiming to discover diversity of youth welfare citizenship patterns. The case selection is made within the CEE country group, which includes countries in Central Europe, the Baltics, Eastern Europe and Southeast Europe, all sharing the communist past. The subdivision of these countries in reference to the welfare states can be made via the European Union (EU) membership based on the assumption that EU social policy frameworks and recommendations have an important effect on domestic policies. We included countries which are in the EU, i.e., with a similar political and economic transition path. There were three waves of accession to the EU in CEE countries. In the first wave (2004), all the Baltic countries, Czech Republic, Slovakia, Poland, Hungary and Slovenia joined. In the second wave (2007), Romania and Bulgaria joined. Finally, Croatia joined the EU in 2013. Altogether 11 CEE countries are the EU members today, the remaining CEE countries are non-EU members and thus are excluded from the current research. Those countries which are part of the EU share similarities in social and economic reforms during the pre-accession period and after in order to reach a comparatively similar system with other member states. So, in terms of casing strategy these six countries can be named as emerging welfare regimes (EWRs) evolving transformations across different public policy areas. Handpicking of six countries out of 11 relies on the assumption that the Anglo-Saxon welfare system characteristics are more evident in the Baltic countries (Aidukaite, 2019; Aidukaite et al., 2020; Ainsaar et al., 2020; Rajevska and Rajevska, 2020) and Slovenia, while in Bulgaria and Croatia certain outcomes reflect the Bismarckian principles of social security (Hrast and Rakar, 2020; Stoilova and Krasteva, 2020; Dobrotić, 2020). This brings important variety into our analysis logic. Last but not least, we juxtapose six CEE EWR countries under analysis with six mature welfare regime countries representing different welfare regime types. Those mature welfare regime countries (Finland, Sweden, France, Germany, Italy, UK) are not an explicit object of the study but help to put analysed CEE EWR cases into larger context and thus, reflect upon theoretical claims of the welfare regime literature.FindingsThe authors can confirm that the EWR countries can be rather well explained by the welfare citizenship typology and complement the existing knowledge on youth welfare regime typology clusters in the Western Europe. Estonia is clustered close to the Nordic countries, whereas Latvia, Lithuania, Croatia and Slovenia are close to the Bismarckian welfare model despite rather flexible, non-restricted educational path, universal child and student support. Bulgaria is an outlier; however, it is clustered together with mature Mediterranean welfare regimes. Former intact welfare regime clusters are becoming more diverse. The authors’ findings confirm that there is no any intact cluster of the “post-communist” welfare regime and Eastern European countries are today “on move”.Research limitations/implicationsAltogether 11 CEE countries are the EU members today. The remaining CEE countries are non-EU members and thus are excluded from the current research. Those countries which are part of the EU share similarities in social and economic reforms during the pre-accession period and after in order to reach a comparatively similar system with other member states. At least one CEE country was chosen based on existing theoretical knowledge on the welfare regime typology (Anglo Saxon, Beveridgean, Bismarckian) for the Post-communist country groups.Practical implicationsIn the social citizenship dimension we dropped social assistance schemes and tax-relief indices and included poverty risk and housing measures. Youth poverty together with housing showed rather clear distinction between familialized and individualised countries and thus, made the typology stronger. In the economic dimension the preliminary picture was much fuzzier, mainly due to the comprehensive education in the region and intervention of the EU in domestic ALMPs (and VET) reforms. The authors added a new indicator (pro-youth orientation of ALMP) in order better to capture youth-sensitivity of policy.Social implicationsThe authors included a working poverty measure (in-work poverty rate) in order to reflect labour market insecurity as an increasing concern. Yet, the analysis results were still mixed and new indicators did not help locating the regime types.Originality/valueIn order to improve the validity of the youth welfare citizenship regime economic dimension, Chevalier's (2020) model may also be worth revisiting. The authors argue that this dichotomy is not sufficient, because inclusive type can have orientation towards general skills or occupational skills (i.e. monitored or enabling citizenship clusters), which is currently ignored. Chevalier (2020) furthermore associates inclusive economic citizenship with “coordinated market economies” (referring to Hall and Soskice, 2001), which seems hardly hold validity in the Nordic and at least some CEE countries.


Subject The EU's single market for energy. Significance Climate change targets, the EU's Emissions Trading Scheme (ETS) and direct emissions controls increasingly define the end-destination of the EU’s energy transition towards a single market, while the precise path of travel is determined largely by national-level policies. Differences in national approaches create distortions that hamper the increase in cross-border trade required to make the EU single energy market a reality. Impacts The EU will continue to resist capacity markets and strategic-reserve mechanisms, which create significant market distortions. Cross-border electricity trade requires significant new investment, but it is not clear that the financial incentives exist to support it. The long-term future of gas-fired generation is in doubt owing to increasing competition from low-carbon technologies.


2019 ◽  
Vol 56 (6) ◽  
pp. 17-31
Author(s):  
J. Savickis ◽  
N. Zeltins ◽  
L. Jansons

Abstract Although the natural gas and renewable energy sources are two significant elements of the Baltic primary energy mix both today and in foreseeable future, the competitive edge of their usage often prevails over possibilities of mutually beneficial coexistence. Universally both forms of energy are often described as key elements of a transition to a cleaner and more secure energy future (low-carbon economy), but regionally much of the current discourse considers each in isolation or concentrates on the competitive impacts of one on the other. The paper outlines several potential avenues and further research trends of synergies between the natural gas, a proven fast-reacting fossil fuel, and RES as seen from viewpoints of the Baltic energy sector sustainability and security of energy supply.


Author(s):  
Gurbakhash Bhander ◽  
Chun Wai Lee ◽  
Matthew Hakos

Abstract The growing worldwide interest in low carbon electric generation technologies has renewed interest in natural gas because it is considered a cleaner burning and more flexible alternative to other fossil fuels. Recent shale gas developments have increased natural gas production and availability while lowering cost, allowing a shift to natural gas for electricity production to be a cost-effective option. Natural gas generation in the U.S. electricity sector has grown substantially in recent years (over 31 percent in 2012, up from 17 percent in 1990), while carbon dioxide (CO2) emissions of the sector have generally declined. Natural gas-fired electrical generation offers several advantages over other fossil (e. g. coal, oil) fuel-fired generation. The combination of the lower carbon-to-hydrogen ratio in natural gas (compared to other fossil fuels) and the higher efficiency of natural gas combined cycle (NGCC) power plants (using two thermodynamic cycles) than traditional fossil-fueled electric power generation (using a single cycle) results in less CO2 emissions per unit of electricity produced. Furthermore, natural gas combustion results in considerably fewer emissions of air pollutants such as nitrogen oxides (NOx), sulfur dioxide (SO2), and particulate matter (PM). Natural gas is not the main option for deep de-carbonization. If deep reduction is prioritized, whether of the electricity sector or of the entire economy, there are four primary technologies that would be assumed to play a prominent role: energy efficiency equipment, nuclear power, renewable energy, and carbon capture and storage (CCS). However, natural gas with low carbon generation technologies can be considered a “bridge” to transition to these deep decarbonization options. This paper discusses the economics and environmental impacts, focusing on greenhouse gas (GHG) emissions, associated with alternative electricity production options using natural gas as the fuel source. We also explore pairing NGCC with carbon capture, explicitly examining the costs and emissions of amine absorption, cryogenic carbon capture, carbonate fuel cells, and oxy-combustion.


Author(s):  
Nataliya Khoma ◽  
Oleksii Oleksii Kokoriev

The article studies the compliance of democracy of the Baltic States with the principle of tolerance. The study demonstrated specific social phobias (xenophobia, migrant phobia, homophobia, islamophobia, romaphobia, etc.), hate speech and other destructive trends in the Baltic countries that contradict values of liberal democracy. The authors argue that Baltic States face similar challenges of strengthening the principle of tolerance as well as how they differ in intolerance manifestations and mechanisms of their prevention and counteraction. In the Baltic States, issues related to promotion of tolerance are claimed to be common at two levels: at the institutional level (countries do not fulfil some of the EU guidelines aimed at enhancing the principle of tolerance); at the value level (population does not accept completely liberal-democratic values that the EU advocates).


2003 ◽  
pp. 40-52
Author(s):  
I. Samson ◽  
I. Eliseyeva

The article deals with the problems of Kaliningrad Oblast which are very important taking into account the expansion of the EU. Many specialists continue to develop the myth of Kaliningrad as a poor region. However the scrupulous analysis shows that Kalinigrad is a well developed region comparing not only with Russian regions, but also with the Baltic countries and Poland. Moreover this region has developed since 1990 specific resources and assets and after 1999 has been enjoying high economic performance.


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