East and West in the Energy Squeeze: Prospects for Cooperation

457 Pages·1980·35.219 MB·English

by  Christopher T. Saunders (eds.)

EAST AND WEST IN THE ENERGY SQUEEZE
Could the pressures on energy supplies and prices be relieved by cooperation between
the West the USSR and Eastern Europe? This is one aspect of the world s energy
problem which has not received much attention. This book contains papers and
discussions of a workshop organised, under the auspices of the Austrian Government
by the Vienna Institute for Comparative Economic Studies. The book treats national
and international energy problems, and their possible solutions over the next decade
and beyond, from economic, technical and political points of view, with special
reference to the possibility of East-West cooperation, through investment trade and
collaboration in research and development Authors include experts from several
international organizations active in this field, from the USA and the USSR and from a
number of Western and Eastern European countries.
Besides reviewing the energy systems of East and West the international links
established within each area, and the fragile East-West links which now exist the
authors discuss present plans, projections and possible technological developments.
The prospects of tapping the potential energy resources of the USSR and Poland are
examined in some detail, with particular attention to their dependence on heavy
investment in production, infra-structure and transport and on the technologies in
which the West is at present richer than the East The costs and benefits of the various
alternative energy sources, such as polar energy, are analysed.
Sections of the book are devoted to a general review of the energy situation in Europe
and the world today; prospects for the 1980s in East and West policy issues and new
technologies; regional and international concepts of energy policy; the possibilities of
East-West cooperation; and energy in relation to the political and economic factors in
East-West economic interaction.
East-West European
Economic Interaction
Workshop Papers
Series Editor: F. Nemschak
* 1 WORLD ECONOMY AND EAST-WEST TRADE
* 2 EAST-WEST COOPERATION IN BUSINESS:
INTER-FIRM STUDIES
* 3 INDUSTRIAL POLICIES AND TECHNOLOGY TRANSFERS
BETWEEN EAST AND WEST
Series Editor: Philipp Rieger
* 4 MONEY AND FINANCE IN EAST AND WEST
5 EAST AND WEST IN THE ENERGY SQUEEZE
*These volumes were originally published by Springer-Verlag and copies are
now available from the Vienna Institute for Comparative Economic Studies
East and West
in the Energy Squeeze
Prospects for Cooperation
Edited by Christopher T. Saunders
in association with the
Palgrave Macmillan
© The Vienna Institute for Comparative Economic Studies 1980
Softcover reprint of the hardcover 1st edition 1980 978-0-333-30515-7
All riglits reserved. No part of this publication may be
reproduced or transmitted, in any form or by any means,
without permission
First published 1980 by
THE MACMILLAN PRESS LTD
London and Basingstoke
Companies and representatives
throughout the world
British Library Cataloguing in Publication Data
East and West in the energy squeeze
- (East-West European economic interaction; 5)
1 . Energy policy- Europe, Eastern
2. Energy policy- Europe
3. Energy policy- International cooperation
I. Saunders, Christopher, b. 1907
II. Wiener lnstitut fur lnternationale
Wirtschaftsvergleiche
Ill. Series
333.7 HD9502.E83
ISBN 978-1-349-05760-3 ISBN 978-1-349-05758-0 (eBook)
DOI 10.1007/978-1-349-05758-0
Foreword
The present report relates to the fifth "Workshop on East-West European Economic
Interaction" organised by the Vienna Institute for Comparative Economic Studies. It
was held in Vienna under the auspices of the Federal Chancellor of the Republic of
Austria, Dr. Bruno Kreisky, on April 9- 12, 1979.
As usual, the International Steering Committee has planned the session and has selected
the participants. The members of the Steering Committee are: J6zsef Bognar, Budapest;
Oleg Bogomolov, Moscow; Bernard Cazes, Paris; John P. Hardt, Washington; Norbert
Kloten, Stuttgart; Gunther Kohlmey, Berlin GDR; Rikard Lang, Zagreb; Friedrich
Levcik, Vienna; Jozef Pajestka, Warsaw, deputized by Aleksander Lukaszewicz, Warsaw;
Philipp Rieger (Chairman), Vienna; Christopher Saunders, Brighton, U.K.
The proceedings were opened by Dr. Hertha Firnberg, the Federal Minister for Science
and Research. About 40 experts working in the field of energy in international organi
sations, governments, universities and enterprises in Europe, both East and West, as well
as in North America, contributed to the success of the workshop.
Generous financial contributions from the Ford Foundation, New York; the Fritz
Thyssen Stiftung, F RG; the Creditanstalt-Bankverein, Vienna; the Osterreichische
lndustrieverwaltungs-A.G., the Osterreichische Mineralolgesellschaft, the Oesterreichi
sche Nationalbank and the Osterreichische Verbundgesellschaft facilitated the reali
sation of this project.
Definitions and units used in Energy Economics have not been fully standardised and it
is rather difficult to compare statistics originating from diverse national and international
sources. As a complete reconciliation of the data used by the participants was not
feasible, it seemed best to leave each author to use the concepts and measures to which
he was accustomed. However, as an aid to readers the editor has compiled a summary
table of equivalent energy units. Although some of the units used may be arbitrary or
even disputed among experts, it may facilitate comparisons (see overleaf).
The arduous task of editing the papers has been executed again with customary skill by
Professor C. T. Saunders. He wishes to thank the authors of the papers and discussants
for their assistance in preparing the respective contributions for publication. Special
credit for organising the workshop is due to the competent staff of the Vienna Institute
for Comparative Economic Studies under the able directorship of DDr. Friedrich Levcik.
We are particularly indebted to Mr. F. Prager for his painstaking editorial help, as well as
to Mrs. R. Garbacz and Mr. M. Esterhazy for typesetting difficult material so efficiently
in an unfamiliar language. The index was prepared with great care by Mrs. Audrey
Bamber. The Macmillan Press Ltd., London have now undertaken to publish this series
of reports, and we would particularly like to thank Mr. Farmiloe of Macmillans for his
kind cooperation.
Philipp Rieger
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Energy conversion equivalents
Most of the conversion factors given below are those used by the UN in World Energy Supplies. It
will be understood that all such conversion factors are to some extent arbitrary and conventional,
varying with the character and location of particular fuels and also between different authorities.
Somewhat different factors may have been used by authors of some papers in the present volume.
The equivalents given are in round numbers to indicate their approximate character and as rough
guides only.
Measures for aggregation
1 million 1 million 1 Exajoule (b)
tons coal tons oil l1o1B Jl
equivalent (a) equivalent
(TCE) (TOE) (EJ)
COAL
1 million tons hard coal (c) 1.0 0.7 0.03
1 million tons brown coal/lignite 0.3-0.6 (d) 0.2-0.4 O.Ql-0.02
OIL
1 million tons crude oil 1.5 1.0 0.04
1 million tons oil products 1.5-1.7 (e) 1-1.2 0.05
1 barrel a day (b/d) = ca. 50 tons a year
NATURAL GAS
1000 mn (109) cubic metres (m3) 1.3 0.9 0.04
ELECTRICITY
1 mn (106) Kwh (1 Gigawatt hour) (f) 123 84 3.6
All tons are metric tons (or tonnes)
(a) Or conventional or standard fuel equivalent (in East European usage)
(b) 1018 J = 1 Exajoule (EJ) = 1015 British thermal units (BTU)
1012 J = 1 Terajoule (TJ)
106 J = 1 Megajoule (MJ)
103 J = 1 Kilojoule (KJ)
(c) At net calorific value of 7000 Kcai/Kg
(d) Variable: 0.3 tee in FRG, GDR; 0.5/0.6 in Yugoslavia, Czechoslovakia, USSR. Averages about
0.3 in Western Europe, 0.4 in Eastern Europe.
(e) Variable according to product and origin.
(f) 109 Kwh = 1 Terawatt hour (Twh)
106 Kwh= 1 Gigawatt hour (Gwh)
103 Kwh= 1 Megawatt hour (Mwh)
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TABLE OF CONTENTS
Christopher T. Saunders
Editor's introduction .........................•............. 9
SESSION 1: ENERGY IN EUROPE TODAY
Klaus Brendow
Energy in Europe in the light of the world energy situation . . . . . . • . . . . . 19
HansKnop
Economic growth and energy consumption . . . • • . . . • . . . . . . . . . . . . . . 45
Lucien Gouni
Existing international energy links in Western Europe . . . . . . . . . . . . . . . . 61
Balint Balkay
The energy situation and cooperation within CMEA . . . . . . . . . . . . . . . . . 77
Wilhelm Frank and Wolfgang Zehetner
The energy situation between East and West in Europe ...........•... 1 03
Discussion on Session I: Christopher T. Saunders . . . . . . . . . . . . . . . . . . . . . . . 115
Aleksander Lukaszewicz . . . . . . . . . • . . . . . • . . . . . . 116
Klaus Brendow. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 120
Wilhelm Frank ...•.....•..•.....•...••..... 121
Balint Balkay . ........•••..••.••.•......•.. 121
SESSION II: PROSPECTS FOR THE EIGHTIES
U/f Lantzke
Western Europe's energy outlook .............................. 125
0/eg Bogomolov
Projections of energy demand and supply for CMEA countries .......... 137
Werner Brandstetter
Western and international primary energy projections
for the CMEA region in the 1980s: A survey ...................... 145
Discussion on Session II: Friedrich Levcik . .•...•••...••...•••..•...•• 165
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SESSION Ill: POLICIES, PRICES AND TECHNOLOGIES
David Gushee and John P. Hardt
Comparative policy issues of two major energy
producing/consuming nations. U.S. and U.S.S.R .................... 169
George F. Ray
The influence of relative prices on energy consumption ............... 193
Wolf Hafele, Arshad M. Khan and Alois Holzl
The development of technologies designed to increase
energy efficiency ........................................ 217
Donald A. Beattie
New energy technologies ................................... 257
George F. Ray
A possible 'alternative' energy strategy
for the United Kingdom -AD 2025 ........................... 269
Discussion on Session Ill: Hans DuMoulin ............................ 274
Donald A. Beattie ........................... 277
Klaus Brendow . ............................ 279
SESSION IV: REGIONAL AND NATIONAL ENERGY CONCEPTS
Istvan Dobozi
Long-term policy responses to the energy crisis:
East and West . . . . . ................................•.... 281
Tadeusz Muszkiet
Economizing energy utilization in the CMEA countries ............... 307
Hans L. Schmid
The Swiss energy concept ................................... 323
Mats Hojeberg
The Swedish energy policy -A comment ........................ 341
Discussion on Session IV: Bernard Cazes ............................ 351
Balint Balkay ..........•............•..... 353
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SESSION V: EAST -WEST COOPERATION IN ENERGY
Achim von Heynitz and Friedemann Muller
The interests of the Federal Republic of Germany
in East-West cooperation in energy:
Conditions and chances for realization .......................... 355
Sigvard Eklund
East-West cooperation in nuclear energy and the role of the IAEA ........ 369
Karl Honigmann
The role of Austria in the exchange of electric energy
between East and West . . . . . . . . . . . . . . . . . . . ................. 379
Thomas Balogh
Soviet and Western cooperation in energy ........................ 393
Benon Stranz
Cooperation in coal production, transport and utilization .............. 397
Discussion on Session V: Rudolf Safoschnik ......................... 412
Lord Balogh ............................. 413
Klaus Brendow . ........................... 414
Lucien Gouni . ............................ 415
SESSION VI: ENERGY AND THE DETERMINANTS
OF EAST -WEST ECONOMIC RELATIONS
J6zsef Bognar
The political and security factors and motives in
East-West economic relations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 417
Jochen Bethkenhagen
Soviet oil and East-West trade ................................ 437
Discussion on Session VI : Elmar Gamper ............................ 447
APPENDIX
List of Participants ....................................... 449
INDEX ..•.....•...•.•....•.••........•.•..••••••.••....•• 453
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