• Natural Gas News

    Slovakia Should Rein in Coal Support, Price Caps


Coal subsidies and consumer price controls figure in a critique of Slovak policy.

by: Mark Smedley

Posted in:

Natural Gas & LNG News, Europe, Political, Environment, News By Country, Slovakia

Slovakia Should Rein in Coal Support, Price Caps

The Slovak Republic has made significant progress in strengthening cross-border connections for natural gas, oil and electricity, the International Energy Agency (IEA) said November 19.

The country’s energy intensity had 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 plants, its electricity supply is relatively secure and largely decarbonised.

But on the energy consumption side, the IEA review argued that the government should stop determining end-user prices for gas and electricity, and calls for markets instead to be opened up, and vulnerable customers protected through social policy. Abolishing price regulation would also encourage energy saving and be consistent with the idea of developing smart grids, it added.

Refurbishments of residential buildings are a success story for Slovakia's energy efficiency and should extend to its large district heating sector, it added, but the country’s financial support to domestic coal production is not aligned with national decarbonisation goals and should be gradually eliminated.