- •Foreword
- •Table of contents
- •1. Executive summary
- •Overview
- •Energy sector transformation
- •Taxation
- •Energy market reform
- •Energy security and regional integration
- •Key recommendations
- •2. General energy policy
- •Country overview
- •Energy supply and demand
- •Energy production and self-sufficiency
- •Energy consumption
- •Key institutions
- •Policy and targets
- •Energy sector transformation and independence
- •Taxation
- •Assessment
- •Recommendations
- •3. Oil shale
- •Overview
- •Supply and demand
- •Policy and regulatory framework
- •Industry structure
- •Environmental impact from oil shale production and use
- •Future of oil shale
- •Assessment
- •Recommendations
- •Overview
- •Supply and demand
- •Oil production
- •Trade: Imports and exports
- •Shale oil
- •Oil products
- •Oil demand
- •Market structure
- •Prices and taxes
- •Upstream – Oil shale liquefaction
- •Infrastructure
- •Refining
- •Ports and road network
- •Storage
- •Emergency response policy
- •Oil emergency reserves
- •Assessment
- •Oil markets
- •Oil security
- •Recommendations
- •5. Electricity
- •Overview
- •Supply and demand
- •Electricity generation
- •Imports and exports
- •Electricity consumption
- •Electricity prices and taxes
- •Market structure
- •Wholesale and distribution market
- •Interconnections
- •Synchronisation with continental Europe
- •Network balancing
- •Electricity security
- •Generation adequacy
- •Reliability of electricity supplies
- •Assessment
- •Security of supply
- •Recommendations
- •6. Natural gas
- •Overview
- •Supply and demand
- •Consumption of natural gas
- •Trade
- •Production of biomethane
- •Market structure
- •Unbundling of the gas network
- •Wholesale
- •Retail
- •Price and tariffs
- •Financial support for biomethane
- •Infrastructure
- •Gas network
- •Recent changes in network
- •LNG terminal
- •Storage
- •Infrastructure developments
- •Biomethane infrastructure
- •Regional network interconnections
- •Gas emergency response
- •Gas emergency policy and organisation
- •Network resilience
- •Emergency response measures
- •Assessment
- •Recommendations
- •7. Energy, environment and climate change
- •Overview
- •Energy-related CO2 emissions and carbon intensity
- •Climate policy framework
- •The EU climate framework
- •Domestic climate policies
- •Policies to reduce emissions from the electricity sector
- •Policies to reduce emissions from the transport sector
- •Improving the energy efficiency of the vehicle fleet
- •Alternative fuels and technologies
- •Public transport and mode shifting
- •Taxation
- •Assessment
- •Recommendations
- •8. Renewable energy
- •Overview
- •Renewable energy supply and consumption
- •Renewable energy in total primary energy supply
- •Renewable electricity generation
- •Renewables in heat production
- •Renewables in transport
- •Targets, policy and regulation
- •Measures supporting renewable electricity
- •Wind
- •Solar
- •Hydropower
- •System integration of renewables
- •Bioenergy
- •Measures supporting renewable heat
- •Measures supporting renewables in transport
- •Assessment
- •Recommendations
- •9. Energy efficiency
- •Overview
- •Energy consumption by sector
- •Residential sector
- •Industry and commercial sectors
- •Transport
- •Energy efficiency policy framework and targets
- •Targets for 2020 and 2030
- •Energy efficiency in buildings
- •Residential building sector
- •Public sector buildings
- •Support measures
- •District heating
- •District heating market and regulation
- •District heating energy efficiency potential and barriers
- •Industry
- •Transport
- •Assessment
- •Buildings and demand for heating and cooling
- •District heating
- •Industry
- •Challenges
- •Recommendations
- •10. Energy technology research, development and demonstration
- •Overview
- •Public spending on energy RD&D
- •General RD&D strategy and organisational structure
- •Energy RD&D priorities, funding and implementation
- •Industry collaboration
- •International collaboration
- •IEA technology collaboration programmes
- •Other engagements
- •Horizon 2020
- •Baltic collaboration
- •Nordic-Baltic Memorandum of Understanding (MOU) on Energy Research Programme
- •Monitoring and evaluation
- •Assessment
- •Recommendations
- •ANNEX A: Institutions and organisations with energy sector responsibilities
- •ANNEX B: Organisations visited
- •Review criteria
- •Review team
- •IEA member countries
- •International Energy Agency
- •Organisations visited
- •ANNEX C: Energy balances and key statistical data
- •ANNEX D: International Energy Agency “Shared Goals”
- •ANNEX E: List of abbreviations
- •Acronyms and abbreviations
- •Units of measure
2. GENERAL ENERGY POLICY
Energy consumption
In the five years following the restauration of the country’s independence in 1991, Estonia’s TFC dropped by 52%. Since then, energy consumption has been quite stable at around 3.0 Mtoe per year, with only small annual variations (Figure 2.5). In 2017, Estonia’s TFC was 2.9 Mtoe. The residential sector has been the largest consumer of energy since 2009, and accounted for 32% of TFC in 2017. The transport sector has a 27% share of TFC, followed by the commercial sector (21%) and the industry sector (20%). Consumption in the industry sector has been falling since 1990, with a 42% drop in the last decade. Meanwhile in the commercial sector, energy demand increased by 26% in the last ten years. This reflects a shift in Estonia’s economy from manufacturing to more service-based companies. Consumption in the transport and residential sectors has remained quite stable over the last decade.
Figure 2.5 TFC by sector, 2000-17
3.5 |
Mtoe |
|
Industry* |
||
3.0 |
||
Commercial** |
||
2.5 |
||
Transport |
||
|
||
2.0 |
Residential |
|
1.5 |
|
1.0
0.5
0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
IEA 2019. All rights reserved.
Total energy consumption has been stable in recent years, with the residential sector continuing to be the largest energy consumer at around a third of TFC.
*Industry includes non-energy consumption.
**Commercial includes commercial and public services, agriculture and forestry. Note: Mtoe = million tonnes of oil-equivalent.
Source: IEA (2019), World Energy Balances 2019, www.iea.org/statistics.
Oil is the largest energy source in Estonia’s energy consumption, accounting for 36% of TFC in 2017 (Figure 2.6). Most oil is consumed in the transport sector. Electricity is the second-largest source at 21% of TFC, followed by district heat (16%), and bioenergy and waste (15%). Electricity accounts for a considerable share in the commercial sector, whereas bioenergy and district heat have high shares in the residential sector. The industry sector consumes a mix of electricity, oil, natural gas, oil shale and heat.
23
ENERGY INSIGHTS