EU Energy Crisis and the European Energy Market

Abstract

Listen

Translate article

The article analyses the state of the EU energy market during the energy crisis of 2020-2023 and its development taking into account the climate agenda and the European Union’s self-restrictions on the import of primary fossil energy resources. The article examines the role of the climate agenda in the adoption of measures distorting the energy sector and provoking a full-scale energy crisis. It revealed itself in decrease of the reliability of energy supply, which became hostage of weather conditions due to increasing the share of renewable energy sources in the energy sector. The author scrutinises the main fuel segments of this market, assesses their volatility, and gives a forecast of its development for the period up to 2030-2045; analyses the EU's actions in the context of a shortage of fuel resources, their negative consequences for energy-intensive industries. Trends in rising prices for all types of energy resources, leading to the general deindustrialisation of Europe, provoked by the European energy crisis and the decision of the EU, which abandoned the main supplier of energy resources - Russia, are explored. It is stated that this decision was not provided with alternatives comparable in scope and conditions. Possibilities and prospects for the export of Russian energy resources to EU countries in the context of sanctions are predicted, including the possibility that the goal set by the European Union to abandon Russian fossil fuels by 2027 will not be achieved. It is concluded that the European Union is turning into a region of energy poverty, in which, instead of the declared sustainable energy, European consumers face unstable energy supplies, possibilities of blackouts and significantly increased electricity bills.