August 26 2002 – Russia is expected to provide half of the 60 000-70 000 MW of additional electricity capacity needed across a vast swathe of Europe in the next ten years, Finland’s energy federation said on Friday.
Finergy said in its report on the European electricity market that financing the construction of this new capacity would be one of the key challenges.
The study found that of the 16 countries reviewed, including Russia, Britain and the Nordic states, many forecast electricity consumption rising faster than production, forcing them to increase their dependence on imports.
Finergy President Juhani Santaholma told a news conference increased use of electricity-driven technology at home, at the office and by industry was underpinning rising consumption.
Finergy said the energy mix in Europe would not tip towards renewable sources before 2022, although EU commitments to cut carbon dioxide emissions under the Kyoto agreement would have a major impact on electricity production ahead.
“Fossil fuels will retain their important position in electricity production, and the use of natural gas in particular will grow rapidly,” Finergy said.
“The use of renewable energy sources will grow with the exception of hydrypower, but these sources will mainly complement other forms of production even over a perspective of 20 years,” it added.