TH€ SN€AKY SP€CIAL TR€ATMENT AWARD
3. Feed-in tariffs for Slovak domestic coal
Slovak consumers subsidise domestic lignite mining and electricity production from domestic coal with 95 million Euro annually - until 2030.
The electricity price in Slovakia includes several discretionary components such as a levy to support mining of domestic lignite or a feed-in-tariff to support electricity production from domestic coal. The government has declared its support for the extraction of lignite because of so called ‘general economic interest’ and for its use in electricity production until 2030. This policy promotes - with EUR 95 408 561 annually - the use of an environmentally harmful energy source and might lead to inefficient investments to old fossil fuel infrastructure, as the lifetime of two operational boilers of the coal power plant in question is planned to continue until 2021.
Subsidies that cost our health – The Slovak government´s decision to subsidise electricity production from lignite may lead to approx. 13-130 deaths and 118-1890 serious illnesses annually.
A flawed attempt to save jobs – The company operating the mines has difficulties finding enough qualified specialists in Slovakia and has even imported workers from Romania and Czechia. The circumstances would have provided a genuinely favourable environment for promoting the concept of just transition, especially since alternatives to coal industry like sustainable tourism can help address unemployment in the Prievidza region. In addition, the planned expansion of mining (currently in the process of Environmental impact assessment) might affect the local environment and spa in the neighbouring town Bojnice. The Director of the Bojnice Spa claims that the spa can create approx. 1000 jobs using the same natural healing water.
More money going up in smoke – Slovakia has the highest share of energy expenditure of households in the EU, according to the European Commission. An average Slovak pays approx. 17 Euros annually to the coal sector which might not be able to maintain profit without the feed-in tariff.
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This form was created inside of Climate Action Network Europe.
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