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20
Aug
2024

Energy Transitions in Central and Eastern Europe: The Political Economy of Climate and Energy Policy

Tomas Maltby, Matúš Mišík

Even before the 2022 Russian invasion of Ukraine put energy security at the centre of EU policy, countries from Central and Eastern Europe (CEE) considered this issue to be crucial part of not only energy policy, but also national security. Energy Transitions in Central and Eastern Europe shows that these countries long prioritised energy security over climate goals, and attempted to upload their preferences to the EU level. Whilst the diversification of energy suppliers had long been an objective for the EU, it was 2022 that fundamentally shifted perceptions of risk associated on the dependency on energy imports, particularly from Russia. This book focuses on the form and pace of energy transitions in this region. In 2004 the European Union experienced the biggest ever enlargement. Eight countries from CEE, together with Cyprus and Malta, joined the Union. Bulgaria and Romania followed in 2007 and Croatia in 2013. These countries underwent deep political and economic transitions in the process of joining, and during 20 years of membership they have learned formal and informal mechanisms and how to shape the EU’s objectives and policies.

Energy Transitions in Central and Eastern Europe examines climate and energy policies of countries from the region. It presents two main arguments: first, these countries are not a homogenous bloc and present a variety of preferences in energy and climate policy, including in climate ambition and renewable energy deployment; second, one common feature is the prioritisation of energy security, which shapes the form and pace of their energy transitions. Contrary to predominant perspective that considers these countries as a whole, the book considers the complex positions and preferences CEE countries hold, and how they attempt to upload these to the EU level. To a significant extent EU energy policy reflects CEE policy preferences, something which emerged in 2009, continued following Russia’s first invasion of Ukraine in 2014 and has been consolidated since 2022.

Some CEE countries have experienced a history of energy security challenges during the 1990s. For example, the Baltic States and were on the receiving end of interruptions in energy supplies from the Soviet Union used as a tool to prevent, unsuccessfully, their independence. The Soviet Union and later the Russian Federation was the monopoly energy supplier for many CEE countries until the mid-2010s. This dependency was developed during the Communist period when cheap energy sources from the Soviet Union were used to economically tie CEE countries to the Soviet Union. The 2009 Russian gas supply crisis, highlighted the vulnerability of complete dependence. The CEE countries, with the financial help from the EU started a concerted supply diversification programme that enabled –for the first time – gas imports from non-Russian sources.

However, most of the effort during this period went to the development of interconnections between EU member states, as a key lesson was that the lack of interconnections exacerbated problems with dependence, in terms of price and supply. Only limited infrastructure was developed in the 2010s to diversify gas supplies. One good example is Lithuanian liquified natural gas terminal developed in Kleipeda, constructed without the help of the EU money after the Baltic States were unable to agree upon the location. Lithuania determined that investment was worthwhile insurance against monopolistic pricing and potential supply disruptions, and has been key in bringing natural gas to the Baltic region in recent years.

Besides natural gas – a crucial energy source for most CEE countries – the book also covers other energy sources. Coal is still found in large quantities in the region, including Czechia and Poland where it comprises a significant part of the energy mix. Use of this domestic energy source has been justified, including post-pandemic and post-2022, on economic and security of supply grounds. Similar discourses of economic and national security have been used in connection to nuclear energy. Many CEE countries are using this energy source and are expanding their nuclear programmes, or planning to construct their first nuclear power plants. This is in contrast with the rest of the EU where relatively few countries are supportive of nuclear power.

Whilst there are strong proponents of renewables among CEE countries – like Lithuania –several countries in this region have been unsupportive and have created barriers to their broader employment nationally, and have attempted to do so at the EU level too. Renewables have been opposed on several grounds: Technical – their limited potential and grid connection challenges; economic – the cost compared to alternative fossil fuel sources, and; security – that they fail to protect against potential supply disruptions or adequately replace fossil fuel imports. In some cases the support schemes have led to increased costs, both actual and perceived, for end consumers and key energy actors.

Energy Transitions in Central and Eastern Europe examines also how countries of CEE influenced the EU. Since accession they have learnt how to effectively influence the EU and its decision process and started to shape the agenda and EU energy and climate policy. This has included attempting to water down or delay climate policy, and promote security of supply measures. In the final section the book presents an argument that such prioritisation of energy security over climate policy, with limited coupling of the two to date, can be utilised for our better understanding of the global context. Indeed, discussions of global policy often include arguments that climate policy is overly ambitious, that the development of renewables is a cost rather than opportunity, that rich countries should lead the way, and the poorer countries should be able to prioritise economic growth, and that fossil fuel use is justified in the short and medium term. These are also arguments presented by CEE countries at the EU level, though the book also highlights areas of developing consensus and continued climate and energy policy development despite contestation.

Energy Transitions in Central and Eastern Europe by Tomas Maltby and Matúš Mišík

About The Authors

Tomas Maltby

Tomas Maltby is a Reader in International Politics in the Department of Political Economy at King's College London. His research focuses primarily on the development of climate and...

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Matúš Mišík

Matúš Mišík is an Associate Professor at the Department of Political Science at Comenius University Bratislava. His research focuses on energy security in the EU. He is the aut...

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