Energy 2025

This year has not started well for us. Lukáš Kovanda published data on gas and electricity prices between the US and Europe on his LinkedIn (Source: Bloomberg).

In Europe, prices are roughly 5 times higher than in the US, both for gas and electricity. I don’t want to comment on the reasons, they are basically clear. But I would like to comment on the reaction to this situation, because there is basically none.

None in the sense that the replacement of old, energy-inefficient equipment with new ones has still not started. Only exceptionally, there are projects for ECM Technologies or for TAV Vacuum Furnaces, where the basis would be the desire for lower energy consumption, but most projects only deal with capacities, replacement or new types of production.

The same applies to the replacement of gas with electricity. Here, the economic reason is not very big for now, because as can be seen from the graphs, gas is also 5 times more expensive than in the US.

However, if we start calculating emissions from 2027, then the impact is already very significant. In the Czech Republic, the energy mix for 2023 is approximately 370 gCO2/kWh, Norwegian energy has only 10-20 gCO2/kWh, and natural gas, whether from Russia or the USA, will generate a constant amount of emissions of around 255 gCO2/kWh.

Jiří Stanislav

January 21,  2025