Taking a cue from Poland and Spain, Hungary became the next country to join the renewable drive in the European Union.
The landlocked European country Hungary is all set to give up its coal addiction in return for Renewable energy by 2030. It has responded to the tightening of the European Union’s Emissions Trading systems(ETS) and came forward to reduce emissions and fight climate change by ending all its coal use within 10 years.
Despite being a traveler’s paradise studded with architectural landmarks from Buda’s medieval Castle Hill and grand neoclassical buildings in its capital Budapest, it is also one the most coal-dependent EU nation along with Poland, Czech Republic, and Bulgaria.
Hungary produces roughly 20% of its electricity by Coal meanwhile more than 10% of its electricity was sourced from renewable energy. In 2016, 18% of its electricity came from coal, 50% from nuclear, and 20% from gas. At present, lignite produces 14% of Hungary’s carbon dioxide emissions and half of the pollution of the entire country’s energy sector.
With the cost of photovoltaics expected to fall by another 30% worldwide and EU which recently raised the price of Lignite coal again, Hungarian Energy sector is betting on Renewable energy to save its day.
The Hungarian government has announced that it plans produce an additional 30,000MW of Solar energy in the next 5 years from a current capacity of 500MW. This expansion especially bodes well with solar developers and personnel who fear job losses in the Energy Sector.
In September, before the COP24 meet Poland too made public its tougher stance on climate change. Another European nation, Spain too joined the renewable drive. These countries are making an attractive proposition for solar investors seeking to invest in the CEE region.
Andrius Terskovas, Chief Business Development Officer at Sun Investment Group, said: “With our portfolio across Poland set to expand in the future, and Hungary’s commitment to a renewable future, the region presents a number of exciting opportunities for innovation and investment.”
Now the pivot is set for the investors to see whether the renewable drive spreads to the neighboring Czech Republic and Bulgaria too.