It is in every Member State’s interest to participate in the security and risk survey of nuclear plants, stated Minister for National Development, Tamás Fellegi, after the extraordinary meeting of energy ministers in Brussels, on 21 March 2011. The Hungarian Presidency convened the meeting, to discuss the implications of the events in Japan and North Africa, for energy markets; and to align the related EU and Member State actions.
At the Council’s extraordinary meeting, the ministers’ emphasised that the case of Japan, a country hit by a natural disaster and Libya’s current civil war must be distinguished entirely. At the same time, both series of events have a significant impact on global energy markets, and call for a proper response. The minister added that the European Union must provide humanitarian and technical aid, to those countries in need.
After the discussion, Member State ministers adopted conclusions, confirming the success of the efforts, to manage the impacts of the Libyan and Japanese events on global energy markets, and the EU’s energy supply. At the same time, Tamás Fellegi pointed out at the follow-up press briefing: “There is no room for complacency. We must closely monitor the situation of these markets”.
The situation in Fukushima
The ministers heard and discussed in detail the report of Commissioner for Energy, Günther Oettinger, about the situation caused by the natural disaster in Japan. According to information by the International Atomic Energy Agency (IAEA), on 11 March, the situation is still serious at the Fukushima nuclear plant, which was damaged by the earthquake. Experts are measuring radiation values in 47 large Japanese cities, including the country’s capital Tokyo, where radioactivity has not exceeded the health risk level over the recent days.
The future of nuclear energy in Europe
In the discussion about the situation in Japan, Member States also reported about their measures adopted over the last few days. Of the EU’s 27 Member States, 14 are now operating nuclear plants, but in the wake of the events in Fukushima, voices opposing nuclear energy have gained strength in several countries. Most Member States have started security checks in nuclear facilities. Tamás Fellegi, welcomed the safety improvement actions of both national authorities and industrial players.
Commission for Energy, Günther Oettinger, highlighted at the follow-up press briefing, that in parallel with Germany’s dialogue about the closedown of nuclear plants, Poland and Italy, two countries that have not used nuclear energy so far, are actually planning to start new nuclear plants. According to the Commissioner, since the relevant decisions are within the powers of Member States, we primarily need “to minimise risks.” The Commissioner stated that, every nuclear plant must be thoroughly checked, and a set of criteria must be applied by taking into account the interests of countries not operating such facilities. “We need common standards in Europe,” emphasised the Commissioner.
Power plants to be checked later this year
“We must not keep anything secret from citizens or create a panic,” stressed Tamás Fellegi, at the follow-up press briefing. Member States approved the Presidency’s closing document aimed to subject nuclear plants in Europe, to a “stress test”, a comprehensive danger and safety evaluation. The Presidency’s closing document also contains a number of possible criteria, formerly defined by experts in the Council’s nuclear working group.
According to the proposal, the stress test would include a seismic analysis at nuclear plants, to find out the likelihood of a possible earthquake and its potential effects. The checks would also survey the level of protection in a facility against floods or unexpected events, such as terrorist attacks. The test will also evaluate the type and age of nuclear plants, and the technical parameters of their cooling systems.
Tamás Fellegi added that Member States would be free to subject their facilities to the test, with its criteria only finalised after a full evaluation of the events in Japan. The minister added,“Member States have agreed on a comprehensive risk and safety analysis”. At the same time, he believes that now is not possible to define the consequences of the failure of a nuclear plant, by using the test. The minister hoped that the tests will be carried out before the end of this year; and their evaluation will begin.
According to the Presidency’s closing document, it is essential in terms of safety to involve the EU’s neighbouring countries in a similar assessment.
Impacts on energy markets
The Council also discussed in detail the impacts of the events in Japan and Libya, on energy markets. Although the military operations in Libya have only damaged a few pipelines and storage facilities, the North African country’s oil production has dropped to a third of its pre-war level. Oilexport has stopped completely, which mostly affects Italy, France, Spain, and Germany. Still, this outage has not caused any major problem, as Saudi Arabia has increased its output, which will supply the missing oil. The situation is similar in natural gas import. Italy and Spain are the two biggest buyers of Libyan natural gas in Europe, but the two Member States can import the missing natural gas from othersuppliers.
Owing to the earthquake and tsunami in Japan, the capacity of oil refineries has decreased by one-third, and the country is unable to access some of its reserves. Yet, experts say the Far Eastern energy market is capable of making up for the missing sources. The Commission’s evaluation states that even a combined effect of the two events, it wouldn’t jeopardise the global balance of oil markets and oil supply to the European Union. In addition, the Union’s reserves would be enough for over 120 days, in case of an emergency.
Overall, as Mr Fellegi said, “The events in North Africa have not affected the energy supply of EU countries, and other sources of these states have been sufficiently supplied.” However, oil prices have been badly affected. Since the beginning of 2011, the world market price of crude oil has increased by about 20 per cent, which has been noticed by European consumers.
Transport, Telecommunications and Energy Council - Extraordinary meeting (Energy)
Date: 2011, March 21 - 11:00am
The Hungarian EU Council Presidency convened an extraordinary meeting of the Council of Energy Ministers to review current international developments and examine their effects both on global energy markets and on the European Union’s energy sector.
Location: Justus Lipsius
Address: Belgium Brussels, Wetstraat, 175
Energy minister Tamás Fellegi holds a press conference at 1 pm.