Publications / Hungarian Energy Market Report
REKK Hungarian Energy Market Report 2013 Q4Published: 1 of December, 2013
Second-best option? Guidance of the European Commission’s November communication regarding capacity mechanisms | A short review of power exchanges | Modelling residential and tertiary sector energy consumption | Peculiar sectoral taxes

Table of contents

Second-best option?Guidance of the European Commission’s November communication regarding capacity mechanisms

Following a public consultation about capacity mechanisms initiated in 2012, the European Commission issued a communication in November 2013 regarding the support of renewable energy sources, public interventions aiming generation adequacy, and – in relation with these – also demand side flexibility. Our aim here is to highlight the most important statements and suggestions of the Commission related to capacity mechanisms.

Author: Antal Hum
A short review of power exchanges

Our analysis is about European power exchanges, which in the recent years due to market coupling projects turned into the primary tool of market integration. Close cooperation of national power markets in the same time creates a fierce competition between the power exchanges. Our article gives a short review on the European exchanges, which may be potential competitors of HUPX for operating organised power market in Hungary in the near future.

Author: Péter Kotek
Modelling residential and tertiary sector energy consumption

The main target of the National Energy Strategy is the curtailment of energy consumption and thus the easing of energy dependency. In the last few years residential and tertiary sector primary energy consumption displayed a considerable drop, which may be understood as the beginning of a favourable development. Whether this decrease can be explained by energy efficiency developments and the increase of energy efficient new buildings or simply the economic crisis? May other factors be the reason? How does the energy use of residential and tertiary sector develop in the next decades? We seek the answers to these questions in our analysis.

Peculiar sectoral taxes

Our article is to demonstrate the features of sectoral taxes levied on energy industry players, with a short outlook to the European situation. We assess the Robin Hood tax, which was greatly amended early this year, the already repealed sector-specific surtax, the utility lines and pipes tax introduced in January 2013 and explain the latest amendment of the local business tax. The relevance of the topic is that according to our estimates, sectoral taxes levied on the energy industry to the budget amount to 29% of the 2013 planned business tax income. This indicates that share of direct tax incomes from the sector will not decrease considerable despite the repealing of sectoral taxes.