Energy in Sweden 2000 x Energy in Sweden is published annually, in Swedish and English, by the Swedish National Energy Administration. A special version, containing only the tabular data, is also available. In addition, the diagrams can be ordered from the Energy Administration in the form of a set of overhead pictures. Energy in Sweden, together with a number of other publications of current interest, can be ordered from the Energy Administration. Further general information is available from the Energy Administration’s External Communications Department. Statistical information has been provided by, and is available from, the Department for Energy Policy Analysis. For general statistics, contact Becky Petsala: for information on the electricity market and the power production system, contact Anna Lagheim: for district heating and district cooling, contact Maria Stenkvist: for the biofuels market, contact Stefan Holm: for the oil and coal markets, contact Claes Aronsson: for energy gases, contact Agnes von Gersdorff: for the residential and service sectors, contact Caroline Hellberg: for industry, contact Niklas Johansson: for the transport sector, contact Åsa Leander: for prices and taxes, contact Agnes von Gersdorff, and for environmental aspects, contact Stefan Sedin. ET 36:2000 Project leader: Karin Hermanson, e-mail: [email protected] Production: Ordförrådet Bertil Örtenstrand AB Translation: Angloscan Manuscript Ltd. Assistant project leader: Åsa Leander, e-mail: [email protected] Printed by: Alfa-Print AB, Sundbyberg Print run: 8 000 copies. Our telephone number is +46 16 544 20 00. December 2000 Further information on the Energy Administration and its publications is available at Photo page 40: Mikael Ullén/Orange Cover photograph: Hasse Cedergran www.stem.se. Preface The energy markets are undergoing a process the conditions for efficient use and cost-effi- of rapid change as a result of many factors, cient supply of energy, with minimum adver- including a shift in the emphases of energy se effects on health, the environment or cli- and environmental policies in Sweden and mate, while at the same time assisting the elsewhere. ‘Energy in Sweden’, which is pub- move towards an ecologically sustainable so- lished annually, is intended to provide deci- ciety. An extensive energy policy program- sion-makers, journalists and the general pu- me has been started in order to facilitate blic with a coherent and easily available sour- restructuring and development of the energy ce of information on developments in the en- system. The main thrust of this work is in the ergy sector. form of a substantial long-term concentration In recent years, Swedish energy and en- on research, development and demonstration vironmental policy has increasingly concen- of new energy technology. The National En- trated on establishing or improving long-term ergy Administration is responsible for imple- conditions for effective energy markets. menting most of the energy policy program- Restructuring of the Swedish electricity mar- mes and for coordinating the work of restruc- ket, greater internationalisation and the effects turing the energy system. In addition, it is also x of the energy system on the environment and responsible for monitoring developments in on climate are important factors that influen- the energy and environmental sectors, and for ce this policy and thus the development of providing information on the current energy energy markets. Sweden’s presidency of the situation, such as changes in the structure and European Union from 1st January 2001 will pattern of energy supply and use, energy pri- be an important event. Sweden takes over the ces and energy taxes, as well as the effects of presidency from France and, at the end of its the energy system on the environment. six-month period, hands over to Belgium. A number of changes have been made in Sweden’s energy policy, as set out by the this year’s edition of Energy in Sweden. Two Swedish Parliament in 1997, is to provide se- new sections have been added: a description cure short-term and long-term supplies of elec- of various areas of current policy, and a des- tricity and other energy on sufficiently com- cription of energy supply within the Europe- petitive terms to enable the country to com- an Union. The descriptions of the national and pete with supplies from other countries. The international oil, coal, electricity and gas mar- country’s energy policy is intended to create kets have been merged into joint texts. Stockholm, december 2000 Thomas Korsfeldt Becky Petsala Director-General Head of Department, Department for Energy Policy Analysis Contents THE ENERGY SYSTEM Energy in Sweden 1999 – an overview 3 Current Policy Areas 4 Total Energy Supply 6 Total Energy Use 7 The Electricity Market 8 Biofuels, Peat etc. 12 District Heating and District Cooling 14 The Oil Market 16 The Coal Market 18 The Energy Gas Market 19 Residential, Commercial, Service Sector etc. 21 Industry 23 Transport 25 Energy Supply in the European Union 26 World Energy Resources and Energy Use 28 TAXES AND PRICES Taxes and Prices 30 THE ENVIRONMENTAL SITUATION Energy and Environment 32 GENERAL A Glossary of Energy Terms 38 Units and Conversion Factors 40 Energy in Sweden in 1999 – an Overview Figure 1 • Energy supply and use in Sweden 1999, TWh The same diagram, expressed in PJ, can be found on page 41 Natural gas incl. Waste heat Electricity import gasworks gas 9 – export 9 -7 THE ENERGY SYSTEM Biofuels, Hydro Nuclear power, Crude oil and oil products Coal peat etc. power gross 200 26 93 71 213 Total energy supply by energy carrier, 1999 • 615 TWh1 3 Oil products, Biofuels, District natural gas Coal and coke peat etc. heating Electricity 145 15 63 43 126 Total final use 1999 by carrier categories 392 TWh1 2 Foreign Losses Losses in nuclear power 36 47 140 Residential, commercial Domestic and service sector etc. Industry transport 151 150 91 Total final energy use 1999 by sector categories 392 TWh1 1 Preliminary figures. Due to rounding up or down of these figures, total figures may not always agree exactly with the sums of the individual items. 2 International marine bunkers and energy for non-energy purposes. Current Policy Areas THE ENERGY SYSTEM he form taken by energy, envi- (SOU 2000:23), in which it suggested a na- the markets are to be opened up and what ronmental and climate policies, tional target for Sweden involving reducing rules are to apply on them. The electricity T both at national and internatio- the emission of greenhouse gases by 2 % markets in the UK, Norway, Sweden, Fin- nal levels, will have a very considerable ef- between 2008–2012, relative to the 1990 le- land and Germany are already fully open to fect on future development of the energy vel. To achieve this objective, the Commit- competition, i.e. both industrial and domes- sector. Since joining the European Union, tee suggests a programme of work at both tic consumers can choose their electricity Sweden has also participated in the work of national and international levels. One of the suppliers. Market restructuring is well ad- advancing matters of common European in- elements of the international work is that vanced in Denmark, too, but other EU terest in the fields of energy and transport. Sweden should push for the introduction of countries have not progressed as far. In its capacity as a member state, for ex- European trade in emission rights of green- The emphasis of the work on how deve- ample, Sweden participates in the EU Frame- house gases. At the national level, work in- lopment of transport and energy can be re- work Programme for research and develop- cludes information campaigns linked to de- conciled with environmental requirements is ment, of which one of the working areas is monstration projects and investment subsi- on a number of areas, including energy effi- concerned with renewable energy sources dies. Some proposals also involve tightening ciency (particularly within the building sec- and more efficient use of energy. up existing regulations. tor) and on encouragement of the use of re- During the spring of 2001, Sweden will Emission Trading: A Way of Achieving the newable energy sources. A draft directive hold the presidency of the EU. The main duty Climate Goal (SOU 2000:45) was published was presented by the Commission in the of the chair country is to conduct the work of in the spring of 2000. The report concentrates spring of 2000, intended to encourage the the European Union and to further matters of on how a national trading system in emission production of electricity from renewable common interest. It will also mean that Swe- rights could be established: the Government energy sources (COM [2000] 279 Final). The den will represent the European Union in con- will be presenting a Bill concerned with cli- purpose of the directive is to create a frame- tact with other countries and in international mate matters at the end of 2000. work which, in the long term, will help to contexts. During its presidency, Sweden in- increase the proportion of electricity produ- tends to give priority to three matters in parti- EU level ced from renewable energy sources. The cular: enlargement of the EU, employment The EU Directorate-General for Energy and Commission’s White Paper Energy for the 4 and the environment. (Read more at: http:// Transport has established a number of poli- future – renewable energy sources (COM www.utrikes.regeringen.se/eu.) tical priorities for the period 2000–2005. [1997] 599 Final) sets out the objective of Some of these priorities relate to implemen- doubling the present proportion of electrical National tation of the single market for energy and energy from renewable energy sources wit- In both the long and the short terms, the ob- transport, as well as to the question of how hin the EU from 6 % to 12 % by 2010.