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The Netherlands (Updated 2015)

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The Netherlands (Updated 2015) The Netherlands (Updated 2015) 1. GENERAL INFORMATION 1.1. Country overview Located at the delta of the rivers Rhine, IJssel and Meuse, the Netherlands is a densely populated country on low lands, with 16.8 million inhabitants living on a surface of 41 500 square kilometres, out of which 20% is located below and 50% less than one metre above sea level. While the north around Groningen is less populated, the overall population density is high (403.9 inhabitants per square kilometre), notably in the western parts of the country, around the Randstad area with the cities of The Hague, Rotterdam, Amsterdam and Utrecht. Despite the overall decrease in population growth (0.3% in 2012 versus 1.5% in 1990), the number of households and single-person homes is increasing, which results in higher infrastructure and housing needs. As a major trading hub, the Netherlands plays a significant role in the international commodity trade from and to Europe, as it hosts Europe’s largest port in Rotterdam. The Netherlands is the largest importer and exporter of oil and oil products in the world and a leading exporter of agricultural products (cattle, crop and greenhouse horticulture).The country has invested in infrastructure, including road, rail, aviation and maritime transportation, connecting the Netherlands to its European neighbours, and global trade. 1.1.1. Governmental System The Netherlands shares borders with Belgium and Germany, and has maritime borders with the United Kingdom. The capital is Amsterdam, while the seat of government is located in The Hague. The Kingdom of the Netherlands is divided into 12 provinces in North-West Europe; three overseas special municipalities in the Caribbean (islands of Bonaire, Sint Eustatius and Saba, also known as the BES islands) and 408 municipalities. It is a parliamentary democracy organised as a unitary state. The Netherlands is a constitutional monarchy since 1815 and a parliamentary democracy since 1848. On 30 April 2013, King Willem-Alexander was confirmed as head of state. Following the 2012 general elections, Prime Minister Mark Rutte, head of government since October 2010 and leader of the liberal People's Party for Freedom and Democracy (VVD), was reconfirmed for a second term in a coalition government together with the Labour Party (PvdA) under the leadership of Lodewijk Asscher. In November 2012, the second Rutte Cabinet was formed. The Netherlands has a tradition of coalition governments in a multi-party system; no single party has held a majority in Parliament since the 19th century. Policies on social and economic matters are made in close consultation with the trade unions and employers organisations, represented through the Social-Economic Council (SER). 1 1.1.2. Geography and Climate The Netherlands lies between latitudes 50° and 54° N, and longitudes 3° and 8° E. The country is divided into two main sections by three large rivers: the Rhine (Rijn), the Waal and the Meuse (Maas). The south-western part of the Netherlands is a river delta and two tributaries of the Scheldt (Westerschelde and Oosterschelde). The predominant wind direction in the Netherlands is southwest, resulting in a moderate maritime climate with cool summers and mild winters. Ice days (maximum temperature below 0°C) usually occur between December and February, while freezing days (minimum temperature below 0°C) occur much more often, usually appearing between mid-November and late March. Warm days (maximum temperature above 20°C) are typically recorded between April and September, while summer days (maximum temperature above 25°C) are usually measured from May until August. Tropical days (maximum temperature above 30°C) occur rarely, in the Netherlands, and are generally only found in the months of June and August. Precipitation throughout the year is relatively equally shared by each month. 1.1.3. Population Population growth, density, and urban population as a percentage of the total population are shown in table 1, below. TABLE 1. POPULATION INFORMATION Average annual growth rate (%) Year 1970 1980 1990 2000 2005 2010 2013 2000 to 2013 Population (millions)1) 13.0 14.1 14.9 15.9 16.3 16.6 16.8 0.42 Population density (inhabitants/km2)2) 384.0 415.0 439.0 468.0 483.0 491 498 0.48 Urban Population as % of total 3) 62 65 69 77 83 87 89 1.12 Area (1000 km2) 4) 33.9 33.8 33.7 33.7 -0.05 Source: Statistics Netherlands and World Bank (World Development Indicators). 1) http://statline.cbs.nl/Statweb/publication/?DM=SLNL&PA=70072NED&D1=0- 88&D2=0.2.11.24.68.94.466&D3=9-10.15.19-20&HDR=T&STB=G1.G2&VW=T 2) http://statline.cbs.nl/Statweb/publication/?DM=SLNL&PA=37296ned&D1=68&D2=0.10.20.30.40.50.55.60.63- 64&HDR=G1&STB=T&VW=T 3) http://databank.worldbank.org/data/views/reports/tableview.aspx# 4) http://statline.cbs.nl/Statweb/publication/?DM=SLNL&PA=70072NED&D1=0.270- 271&D2=0&D3=0.5.10.15.18-20&HDR=T&STB=G1.G2&VW=T 1.1.4. Economic Data The Dutch economy withstood the global financial and economic crisis. During a double recession in 2008-12. domestic demand slowed down and unemployment increased (5.3% in 2012).1 In 2012. the total gross domestic product (GDP) amounted to EUR 599.34 billion in current market prices.2 At times of low domestic demand and slow-down in world trade amid the global financial turmoil. an open economy. like the Netherlands. is impacted more than other countries. Thanks to a strong fiscal consolidation course and high trade activities as well as Dutch foreign direct investment. economic recovery is slowly on its way. leading to a current account surplus of 10% of GDP in 2012. 2 TABLE2. GROSS DOMESTIC PRODUCT (GDP) Average annual growth rate (%) 1970 1980 1990 2000 2005 2005 2013 2000 to 2013 GDP (millions of current US$) 37.530 191.908 313.038 413.397 672.357 836.390 853390 5.7 GDP (millions of constant 2000 US$) 245623 328981 410120 560858 595006 642196) 637865 1.0 GDP per capita (PPP* current US$/capita) .. .. 18.740 31.582 36.986 44.743 46.162 3.0 GDP per capita (current US$/capita) 2.876 13.562 20.937 25.958 41.199 50.338 50.793 5.3 * PPP: Purchasing Power Parity Source: World Bank (World Development Indicators). http://databank.worldbank.org/data/views/reports/tableview.aspx# 1.2. Energy Information The Netherlands has an advanced economy with a modern energy system and well developed energy markets. The country’s strategic location makes it an important transit and trade hub for natural gas. coal. oil and electricity. The Netherlands has significant natural gas production and a large oil-refining and chemical industry. The Dutch energy sector is strong. drives exports. innovation and economic growth. In 2010. the Dutch energy sector reached almost EUR 55 billion or 10.9% of Dutch GDP. generated around EUR 15 billion worth in exports and a net value-added of EUR 26.74 billion. There were around 1 270 firms and 47 000 people (full time equivalents) working in the energy industry. Revenues from the gas sector accounted for EUR 13 billion and around 70 000 jobs. The country is both a major exporter and importer of energy. and so the competitiveness of Dutch industry also depends on affordable and secure energy supplies. The openness of the Dutch market place and the high share of trade have made the country resistant. but also exposed to the developments in global energy markets. While in 1989 the Netherlands was among the most competitive economies (next to Japan and Switzerland). in 2013 the country ranks 14th. indicating the acceleration of globalisation and increasing competitiveness pressure. The energy policy of the Netherlands (a founding member state of the European Union). is also framed by EU requirements on issues such as the electricity and gas markets. energy efficiency. renewable energy. state aid. the environment and greenhouse gas (GHG) emissions. As the country is a major trade and transit hub for oil. gas. electricity and coal. close co-operation with its neighbouring countries (Benelux. the Pentalateral Energy Forum and North Sea Region) has been a priority and expanded from the electricity and gas markets to new energy policy challenges. including the transition to a low-carbon economy. the increase in the use of renewable energies. carbon capture and storage (CCS) in the North Sea. and to security of oil and gas supply. Total primary energy supply (TPES) in the Netherlands was 78.6 million tonnes of oilequivalent (Mtoe) in 2012. The supply of energy peaked at 83.4 Mtoe in 2010 and has since declined for two consecutive years. Despite this contraction. TPES 3 was higher in 2012 compared to ten years earlier. increasing by 3.8% since 2002. The Netherland’s energy mix is dominated by fossil fuels which represent more than 90% of TPES. Natural gas supplied 41.7% of energy in 2012. followed by oil at 39.4% and coal at 10.4%. With less than 6% of total supply. renewable energy is made up of biofuels and waste (4.7% of TPES). wind (0.5%) and solar (0.1%). Nuclear accounts for 1.3% of TPES. and the use of geothermal is still at the development stage. The importance of hydropower is marginal and provides a mere 0.01% of total energy. Over the past decade. there has been a slight shift in the energy mix towards more use of renewables. Thus. the penetration of fossil fuels has fallen from 94% of TPES in 2002 to 91.5% in 2012.
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