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  • The EU wants to create a single energy market in Europe.

  • The Commission hopes that its Energy Union strategy will make Europe's energy supply

  • more secure, affordable and climate-friendly.

  • But the energy market is currently highly fragmented, and focused on national interests.

  • The price that the average European household pays per kWh of electricity

  • has risen from 12 cents in 2005 to 18 cents in 2014.

  • But the prices in individual countries varies significantly.

  • In Bulgaria and Hungary, households currently pay around 10 cents per kWh,

  • but in Germany and Denmark, energy is three times more expensive.

  • Factors that influence price include a country's geographic location, energy resources,

  • and world market prices. But energy policies are increasingly a significant factor.

  • Subsidies for all types of energy are growing across the majority of countries in the EU.

  • Only two member states, Austria and Sweden, decreased their subsidies from 2008 to 2012.

  • The rest of the EU increased by 57%.

  • Leading the way were Denmark and Greece, which increased subsidies by over 1000%,

  • and Germany, which accounts for roughly 25% of all energy subsidies in the EU.

  • But despite more subsidies, electricity prices are still increasing.

  • While household electricity prices have risen by 50% from 2005 to 2014,

  • the average price for industrial consumers has increased by 66%.

  • These prices also vary significantly across the EU.

  • In Germany and the Netherlands, prices for medium-sized industries

  • have remained fairly stable, increasing by around 25%.

  • In the United Kingdom and Poland, however, prices have gone up by as much as 100%.

  • To be successful in building a true Energy Union, the Commission has a tough job ahead.

  • Harmonising the different national policies, building a transnational infrastructure,

  • and getting member states to work together, towards a common goal.

The EU wants to create a single energy market in Europe.

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