Energy policy in times of war and transition

Since the outbreak of Russia’s full-scale war against Ukraine, the effective implementation of three key energy policy objectives has gained importance: ensuring energy security alongside the EU’s ambitious climate agenda, maintaining energy affordability and preserving economic competitiveness. The development of a coherent EU energy policy requires balancing short-term and immediate measures – such as responding to supply disruptions, damage to infrastructure or price fluctuations – with long-term strategic goals, including decarbonisation, increased self-sufficiency, and industrial competitiveness. Additionally, any policy of this kind must take into account the key interests of all member states, including both Germany and those in Central and Eastern Europe.

At the same time, while Germany and the Central and Eastern European countries share many similar concerns, they also have distinct priorities. High energy prices are a challenge for all, and most aim to enhance energy security through supply diversification, infrastructure expansion, and modernisation. However, differences emerge in areas such as the transition of the power sector, the role of nuclear energy, and the pace and cost of phasing out fossil fuels, including coal. For example, Germany has abandoned nuclear energy, whereas most Central and Eastern European countries view it as a stable and clean energy source essential for achieving decarbonisation targets.

Furthermore, varying approaches to energy cooperation with Russia affect both regional cohesion and the EU’s policy towards external suppliers. Some countries, such as Hungary and Slovakia, continue to maintain energy ties with Russia, while others have entirely eliminated their dependence. Finally, the parallel processes of decarbonisation and diversification – including phasing out Russian energy imports – entail high costs, which may influence the energy prices in individual countries.