Nuclear development to continue despite Fukushima accident. Arab Spring and nuclear related decisions contribute to worrying decline in European energy security of supply.
Capgemini, supported by Société Générale Global Research, CMS Bureau Francis Lefebvre and VaasaETT, today announced the results of the thirteenth edition of the European Energy Markets Observatory (EEMO) report.
Findings show that although the Japanese Fukushima accident is leading to existing plants stress tests conducted by Regulators, delays in new reactor construction projects and nuclear phase-outs in some countries, global nuclear energy development is still set to continue. The report also finds that energy consumption growth in developing countries, the Fukushima accident – together with the slowing down of the needed investments made by Utilities2 will have negative consequences in Europe on the security of energy supply and greenhouse gas emissions. The report shows that in the longer term one can expect increased energy prices and even more severe consequences on supplies if regulators and governments don’t set the right framework to encourage investments of €1.1 trillion by 2020 in the EU. However, as in 2009, these issues may be mitigated by a second economic slowdown that would lead to decreased electricity and gas consumptions.