After adopting the Euro in 2006, Slovenia has experienced one of the cost stable political and economic transitions in Central and Southeastern Europe and it has one of the highest per capita GAP in Central Europe (around 80% of the Ell-level). On the other side, there are only few foreign direct Investments and the Slovenian economy has been severely hurt by the European economy crisis, started In late 20005. Seeking to accelerate the economic recovery process In the beginning of February 2010, the government adopted the Slovenian Exit Strategy for 2010-?2013.
The outlook now is very bleak. After Slovenia went into recession in 2011, the economy will shrink further in 2012/2013. The industrial sector accounts for approximately 26% of total GAP. The traditional primary industries of agriculture, forestry and fishing comprise a comparatively low 2. 5 percent of GAP and engage only 6 percent of the population. Forests cover 59. 8 % of Slovenian surface area and the growing trend of surface areas being covered by forests is continuing. Thus, in terms of forest cover, Slovenia is in the third place in Europe, after Sweden and Finland. 2.
Current situation and structure of the energy market The rapid Increase In electricity supply In slovenly has been determined by increasing industry, public and household electricity demands. In 2011 the Slovenian energy market relied on oil (34. 5%), coal (22. 8%) and gas (11. 3%), whereas nuclear energy (20. 8%) and renewable energy (12. 0%) made up almost a third of the total energy supply. The renewable capacity mainly comes from hydrophone and to a lesser degree from forest residues (biomass), geothermal heat, solar and wind energy. 2. 1 Electricity Industry The electricity market Is mainly state owned.
The largest electricity producer (HOSE) has a market share of around 70%. The production Is very concentrated (and largely In State ownership) with the market share of the three largest producers standing at around 97%3. There are also some 500* producers of renewable energy in Slovenia. Prices have been relatively stable since 2000 and are currently about 19% below the European averages. Electricity for household customers is currently subsidized by the State, and the State has gradually increased the price of electricity in order to avoid a drastic increase when the market will soon fully open to competition.
There are 860,000 electricity customers in Slovenia. The current energy generation mix of Slovenia consists of about 33% hydrophone, 45% conventional thermal sources and 26% nuclear power provided by a plant that is Jointly operated with Croatia. 2. 2 Gas Industry Slovenia depends entirely on imports for gas, with Russia being the largest supplier (57%) followed by Algeria (34%) and Austria (9%). There is no organized market for natural gas and the sector is dominated by a single player (Joplin). Joplin is the main company in Slovenia responsible for the purchasing and wholesale of gas. The company is 31% owned by the state.
There are 17 other companies active in the Slovenian gas industry, mainly distributing and supplying electricity at local level. The Gas Prices are among the cheapest in the EX. but it increased by more than 20% in the last years. There are around 106. 000 customers in Slovenia. 3. National energy strategy The document for Slovenian energy policy – the new National Energy Program defines the goals of energy policy up to 2030 and the mechanisms for implementing these goals, including the targets Slovenia has set itself in the EX. climate and energy package up to 2020 and other international obligations.
The objectives of Slovenian energy policy for renewable energy sources are for one ensuring a 25% share of renewable energy sources in final energy consumption and a 10% share of renewable in transport by 2020, which under current predictions will involve a doubling of energy generated from renewable sources relative to the baseline year of 2005. Another objective in the long term is increasing the share of renewable energy sources in final energy consumption up to 2030 and beyond.
In order to achieve these renewable energy source objectives, the Slovenian Government will ensure an adequate support environment for: energy rehabilitation of existing buildings and construction of active buildings with new technological standards, replacing heating oil with wood biomass and other renewable energy sources, increasing the share of railway and public transport, introducing befouls and other renewable energy sources in transport and farming and introducing electric vehicles and developing industrial production of technologies for efficient energy use and renewable energy sources.
The key orientations are as follows: Developing markets for sustainable obtained fuels (wood biomass, biogas etc. , high- efficiency technologies and high- quality services and ensuring financial incentives for such development; establishing renewable energy sources strengthening education and training in the area of energy management; 4. Impacts and effects of the current TEST: According to the European Commission’s proposal for effort-sharing, Slovenia would be allowed to increase its non-TEST emissions by 2020 by 4%.
This proposal was accepted by the government, with slight concerns about possible difficulties to achieve it, since most of the non-TEST emissions are caused by transport which is the cost difficult sector to tackle. In the first phase of EX. TEST there was some resistance from industry as well as heavy lobbying for allocation of allowances, which was more or less successfully overcome in the preparations of the national allocation plan for the second phase of the trading scheme.
It is possible that some companies included in the emissions trading scheme have had profits due to overpopulation, but evidence of such cases is not publicly available. The promotion of renewable sources of electricity on the one hand currently still requires subsidies, on the other hand this rates favorable conditions for investments that, in the short term (design, construction and installation) and long term (operation and maintenance), will ensure new Jobs. Slovenia is a heavily forested country.
Forests will play an important role in the acquiring of so-called green energy because the potential of forest biomass is large and not fully utilized. An important development orientation in the wood industry may lie in the optimum use of wood and efficient energy use. Consequently this orientation may lead to a reduction in the amount of unpolluted wood residues in the market. The amount of wood residues in the market may also be significantly reduced in the event of the wood and furniture industry being steered towards green energy generation (power and/or heat).
