Publication: Lights Out? The Outlook for Energy in Eastern Europe and Central Asia
Date
2010-05
ISSN
Published
2010-05
Author(s)
World Bank
Abstract
It is very likely that an energy crunch
could hit several countries in Eastern Europe and Central
Asia (ECA) in the next five or six years. Before the
financial crisis of 2008, several electricity importing
countries in the region had begun to experience difficulties
with supply; however, the crisis has reduced demand and
created some breathing room. It has also created a window of
opportunity to take action to mitigate the impact of the
anticipated energy crunch. But countries need to act now.
Mitigating actions are required on both the supply side and
the demand side and will require significant investments
(about $3.3 trillion in 2008 dollars over the next 20 years,
or about 3% of cumulative gross domestic product) if the
region wants to meet all its anticipated energy needs. This
level of investment cannot be provided by the public sector
alone and measures will be required to create a climate that
appeals to private sector investors. In conclusion, the
region faces a potential energy crunch. The financial crisis
has provided some breathing room to address the potential
energy constraints, but countries need to act quickly to
take advantage of this window of opportunity by promoting an
attractive climate for investment. At the same time they
need to ensure that the energy strategies they pursue are
perceived as being responsive to environmental concerns.
Citation
“World Bank. 2010. Lights Out? The Outlook for Energy in Eastern Europe and Central Asia. Europe and Central Asia Knowledge Brief; Volume No. 23. © Washington, DC. http://openknowledge.worldbank.org/entities/publication/375f64a7-43ce-54d3-8ba8-9abafb72660a License: CC BY 3.0 IGO.”