Analysis
Energy and Competitiveness in HungaryUploaded: 13 of February, 2017

The study explores the relationship between energy costs and competitiveness. Energy costs of firms grow with energy prices, but can be mitigated by efficiency improvements, which can be measured by changes in energy intensity over time. The study presents the empirical results of former research focusing on energy prices, energy intensity and competitiveness of manufacturing companies. The impacts of the fall in energy prices as a result of the shale-gas revolution in the USA , and the energy price increase following the 5-year-long suspension of nuclear power generation after the Fukushima disaster in Japan are presented through case studies. Using aggregate industrial statistics, changes in the energy costs, energy intensity and 'unit energy cost' of the Hungarian manufacturing sectors are computed and compared to the same measures of selected EU countries, in order to gain insight into how their relative 'energy cost-competitiveness' evolved in the recent years.