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Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management director

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Page 1: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

Privatisation and liberalisation in the energy

industry, losses and chances in the mining industry

Balatongyörök, 29 April 2006.

Vilmos HollóAsset management director

Page 2: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

The following milestones characterised most the situation described in the title during the past 15 years :

1990-1993 Transformation of state enterprises into separate ventures

1992-1994 Restructuring of coal mining

Power plant - mine integration

1995-1997 Privatisation of the energy industry

2002-2007 Liberalisation of the electrical energy industry

Page 3: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

Mine – Power Plant Integration at the MVM group

Page 4: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

Major data about the power plants of the Hungarian electrical energy system 2004.

Page 5: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

The structural transformation of energy industry is also characterised by the changes in the composition of primary energy sources:

Page 6: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

0

5 000

10 000

15 000

20 000

25 000

30 000

35 000

GWh

Hulladék és megújuló

Vízenergia

Atomenergia

Földgáz

Olaj

Szén

1994. 2004.

Page 7: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

Another characteristic feature of restructuring is the ownership structure of the production capacity of electrical energy production:

Page 8: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

Ownership structure of electrical energy companies 2005.

Page 9: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

Liberalisation

Page 10: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

Market development

• 1. step: consumers over 6,5 GWh consumption per year

from 1. January 2003• 2. step: all non-residential- consumers

from 1. July 2004• 3. step: full market opening

from 1. July 2007

Page 11: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

Entry of authorised consumers to the electrical energy market 2003-2004.

Page 12: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

Operation of liberalised market, role of MVM since 2003

Page 13: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

Literature

• MVM Plc. publications

• MAVIR Plc. publications

• Hungarian Energy Bureau Statistical yearbooks, publications

Page 14: Privatisation and liberalisation in the energy industry, losses and chances in the mining industry Balatongyörök, 29 April 2006. Vilmos Holló Asset management

VIEW OF THE OROSZLÁNYI POWER PLANT WITH THE NEW DESULFURIZER

Thank you for your attention!