Slovakia seen strengthening energy security, IEA says

BRATISLAVA – The Slovak Republic has made significant progress on several fronts of energy policy, and together with its neighbors and with the support of the European Union, has strengthened cross-border connections for natural gas, oil and electricity. This has served to improve its energy security and increase competition on energy markets, according to the International Energy Agency’s latest review of the country’s energy policies.
 
The Slovak economy’s energy intensity has declined in recent years while the share of renewable energy in the primary energy supply has increased. And thanks to the country’s nuclear power fleet, its electricity supply is relatively secure and largely decarbonized. The country is also one of the few in Europe to build new nuclear capacity. The Slovak Republic’s significant cross-border capacity facilitates both trade and security of supply in the integrating regional market. Its national electricity network is also being reinforced. This should allow for connection of new power generation, including renewables.
 
“For many years, improving energy security has been a top priority for the Slovak Republic,” said Dr. Fatih Birol, the IEA’s executive director. “This policy brought impressive results as interconnections for gas, oil and electricity have been expanded and the country is no longer dependent on just one supplier but has access to a wide variety of energy sources”.
 
On the energy consumption side, the review finds that the government should stop determining end-user prices for electricity and natural gas. Instead, markets should be opened and vulnerable customers should be protected through social policy. Abolishing price regulation would also encourage energy saving and be consistent with the idea of developing smart grids.
 
Energy-related carbon dioxide emissions have fallen, but further measures are needed to limit them. Refurbishments of residential buildings are a success story for energy efficiency and will rightly continue. As in most countries, transport is a challenge for climate policy, but many good policies are outlined in the country’s new transport development strategy. Another area where change is needed is the country’s financial support to domestic coal production. This policy does not align with national decarbonization goals and should be gradually eliminated.
 
The report also offers special insights into the heating sector. Slovakia has an extensive district heating sector which has significant potential for further decarbonization, but investments are also required to modernize the heat networks. This modernization should be supported through a regulatory reform that enhances efficiency and market flexibility.