Transcript Energy responsible to nature!

The Government of Montenegro
Deputy Prime Minister for Economic Policy
Energy:
Responsibility for the Future
Vujica Lazovic, PhD
5th VIENNA ECONOMIC FORUM
Investment Possibilities in The Countries from The Adriatic to The Black See and Caspian Region–
TAKE THE REAL CHANCE
Energy is power that makes the
world go round
•Energy is the basis
for production growth
•Energy could
generate economic
growth by itself.
But…
• …consequences of using
and producing energy made
us to be energy responsible.
What does it mean to be energy
responsible?
It means to be responsible
towards nature, society and
individuals
• Use energy without endangering
natural balances;
• Provide continuous economic,
scientific and technological
development;
• Provide enough energy for future
generations.
Energy responsible to nature!
Different levels of scientific and technological progress
Different levels of creative forces and production
relations
Different levels of relations between nature and
society
Rational use of natural resources
Energy responsible to society!
Market economy makes contradictions between society
and nature:
On one side, the bigger
consumption and higher
demand require bigger
production, thus greater
consumption of energy.
On the other side,
unsafe nature is not
favorable
environment for
business.
Living environment has become a significant
element of the standard of living.
Energy responsible to individuals:
Harmonization of
demographic changes
pointing average growth,
with exploitation of natural
resources and
technological progress.
Montenegro approach to energy
reasonability
• Montenegro, as ecological state and
developing economy, has recognized its
national interest in sustainable development
of both energy sector and economy as a
whole.
• Energy Community Treaty, under the same
rules of energy policy, integrates EU and
countries of the South-Eastern Europe.
Strategy of Energy Sector Development
of Montenegro until 2025
Current:
Energy import
dependence
(46%) and
significant natural
energy potential.
Perspective:
Energy
independence and
preservation of
natural
environment.
Energy investment in Montenegro is a
business challenge for the state and
private sector.
Additional positive signals to
energy investors
• euro as official
currency,
• favorable tax policies,
• openness to flow of
goods and capital,
• elimination of
business barriers.
Shortage of fossil fuels and political
impact on their prices has
macroeconomic implications.
• domestic energy production,
• models of public-private partnership,
• renewable sources of energy and use of
pure technologies in exploitation of fuels.
Energy Projects
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Project of capital increase of Electricity Company of
Montenegro
Project of big hydro power plants construction
Project of joint venture in the second block of Thermo Power
Plant Pljevlja
Projects of wind farms
Programs and projects of natural gas exploitation in the off
shore and on shore
Additional impulse to investors’
confidence-recent economic trends in
Montenegro (jan-jun 2008):
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Real GDP growth rate: 8%,
Inflation: 6.7%,
Unemployment rate: 10.7%,
FDI growth rate: 15% (2007: 1
billion € or 1600€ per capita),
Reduction of taxes and
contributions by the year
2010.
Using domestic energy, particularly
renewables, we raise the country
competitiveness; create new jobs;
open doors to new technologies and
know-how.
Summary, good energy policy is able to find
optimal level of :
• Energy productivity,
• Energy responsibility,
• Energy sustainability.
The Government of Montenegro
Deputy Prime Minister for Economic Policy
Thank you for your attention!
[email protected]