S2E01

Inside Slovak Parliament: Energy Crisis, Russian Gas & the Road to Resilience with Karol Galek |S2E1

with Karol Galek· Slovak Parliament· 60m

TL;DR

Slovakia diversified gas supply during the crisis, but political hurdles impede renewables, efficiency, and transparent nuclear expansion.

Synopsis

Karol Galek, a technical expert in Slovak Parliament, details Slovakia's rapid pivot from 100% Russian gas dependency during the 2022 energy crisis, securing LNG and Norwegian gas, and opening new interconnectors. He highlights the political challenges of transitioning further, including resistance to renewables, the lack of transparency in new nuclear projects, and the disincentive for energy efficiency due to artificially low electricity prices. Galek emphasizes the need for political will to decentralize energy, promote energy communities, and overcome administrative barriers for renewables like wind and geothermal. He advocates for prioritizing energy efficiency as the cheapest and most secure energy source, and for evidence-based policymaking over populism to achieve a sustainable energy future.

Key metrics

by the numbers · 10

100%
Russian gas dependency
70%
Russian gas replaced
5 billion cubic meters/year
Slovak gas consumption
50
LNG tankers needed annually
10%
Gas consumption reduction
60%+
Nuclear electricity share
5
Windmills in Slovakia
1,000 euro/MWh
Electricity market peak
6.1 TWh
Electricity for households
2-3
Energy communities in Slovakia

Topics

8 tags

Gas SecurityEnergy PolicyNuclear PowerRenewable IntegrationEnergy EfficiencyGeothermal PotentialPolitical ObstaclesMarket Regulation

Stats

Duration: 1h 00m
Words: 8.4k
Questions: 37

Timeline

11 chapters

Political Career Start
Karol Galek describes his journey into politics, starting in 2009 after working in renewables in the US, driven by obstacles faced in establishing a PV company in Slovakia.
Parliamentary vs. Ministry Roles
Galek explains the difference between being an opposition MP (proposals often blocked) and a coalition MP or State Secretary (faster policy execution).
Slovakia's Gas Crisis Response
Galek recounts his role as State Secretary for Energy during the 2020-2022 energy crisis, where Slovakia, 100% dependent on Russian gas, rapidly diversified supplies.
Rapid Gas Diversification
Slovakia managed to replace 70% of its Russian gas supply with LNG from the US and gas from Norway within months of the crisis onset.
New Gas Interconnectors
The Poland-Slovakia gas interconnector, with a capacity equal to Slovakia's yearly consumption, was opened in 2022, enhancing regional gas flow flexibility.
Nuclear Power Dominance
Slovakia's electricity mix is over 60% nuclear, making it the second most nuclear-dependent country in Europe after France, fostering public acceptance.
Concerns Over New Nuclear Project
Galek criticizes the current government's push for a new 1.2 GW nuclear reactor without a transparent tender process, citing risks and potential EU legal issues.
Renewables Policy Reform
Laws were changed between 2016-2022 to simplify connections for rooftop solar, leading to a significant increase in small-scale PV installations from 2021-2023.
Crisis-Era Electricity Price Cap
An agreement with Slovenské elektrárne secured 6.1 TWh of electricity for households at pre-crisis prices, which, while beneficial, now disincentivizes energy efficiency.
Barriers to Energy Communities
Slovakia has very few energy communities due to bureaucratic obstacles, a centralized regulatory approach, and a lack of public awareness and information dissemination.
Geothermal Development Challenges
Despite rich geothermal potential, an outdated mining law, high geological risks, and insufficient state support hinder the development of projects like the Košice basin.

Key insights

5 takeaways

01
Cheap Energy Hinders Efficiency
Slovakia's crisis-era agreement to sell electricity at pre-crisis prices removes market pressure for households to invest in energy efficiency measures or adopt heat pumps and rooftop solar.
02
Political Will Blocks Wind Development
Despite significant wind potential, Slovakia has only five old windmills due to political resistance, public fear, and a lack of community involvement, unlike successful Austrian models.
03
Nuclear Expansion Lacks Transparency
The current Slovak government is pushing for a new 1.2 GW nuclear reactor with a specific vendor (Westinghouse) without an open, transparent tender process, risking financial and reputational issues.
04
Geothermal Potential Underexploited
Slovakia possesses rich geothermal resources, but an obsolete mining law, high drilling risks, and insufficient state support hinder the development of projects that could significantly cover city heating demands.
05
Technical Expertise vs. Populist Politics
Policymakers with technical backgrounds face significant challenges explaining fundamental energy physics and market dynamics to populist politicians who often prioritize short-term popularity over long-term energy strategy.

Pull quotes

3 quotes

It's a bloody money actually it's supporting the war. So I would better choose 50 LG tankers for now. Of course we need to lower it down and during the crisis we went by 10% down with the consumption and there are other options as well for the future but for now I would better choose LG from democratic countries over the gas from bloody Russia.
Karol Galek
Our prime minister, he's saying, "No, we are on the end of the pipeline." No, you have to see the opportunity. We are in the middle. We can ship the gas from south to north, from north to south, from east to west and opposite way.
Karol Galek
They're thinking that the electricity is like a watering pipe. They just open it and it's there. It's it's not true. You have to you have to produce it. You have to balance it. You have to bring it.
Karol Galek

Transcript1267 cuesClick a timestamp to jump

Welcome to a new episode here in the
Energy Bridge. Today we have the honor
to be in Slovakian Parliament with Carol
Galik. Thank you very much for
having us today.
>> Thank you for the possibility to be
here.
>> Yeah. and to talk about what is
happening here in Slovakia. For sure,
we're going to be in a bit in a
politic way
>> and you were in the middle of the crisis
being ministry, minister and so
yeah, a lot of things to cover. I'm
super excited about this conversation.
So, yeah, welcome.
>> Thank you.
>> Thank you very much. Carol, what an
what an absolute honor first of all to
be here. Thank you for inviting us.
We're looking forward to getting into
like all of your journey of course, but
where did it all start? Tell us about a
bit about your your career and how
did you land up in a parliament?
>> Thank you very much for the opportunity
to be part of this podcast.
I really like this new type of
dissemination of information. we are
now in Slovak Parliament. This is the
place where I'm working now for more
than 10 years. And where the all
started? Well, that's a very good
question., I don't feel to be like a
real politician. I'm more somehow who is
bringing the facts against the
populism. And this is why I been also
the state secretary at the ministry of
economy from 20 20 up to 2022.
just during the energy crisis. but
the way to be a politician or to be a
part of the political way started in
2009 approximately when I came from the
United States. I was working there
for half a year. I was responsible
for renewables in one company a
European company which was dealing
with renewables in the United States
with wind photovoltaic geothermal as
well. And when I came back with my
wife we started company. we wanted to
do a photoaltike small photo like power
plants for people. Unfortunately,
very soon we discovered this that
this way would be a little bit not
that easy critical. There were many many
obstacles
and my wife one day she told me well
Carl you have to do something that it
will be easy. You have to be a
politician.
>> Well, you have one vote.
>> Exactly. that time one guy called
Riard Soulik he was just founding a
political party a liberal political
party and I asked him if I may join him
he said definitely we need experts on
many many fields and so I proposed to
him my expert field is energy
renewable energy especially and the
journey started in 200
10 approximately
and but before I came to parliament I
was just
somehow supporting the party
>> actually I really like politics
and politician and please just walk us
through how the we are in the
parliament how does the also the
parliamentary committee works a bit
about Slovakian politics like who are
the who are the players with who and
how is it going currently?
>> First of all, you need to be elected.
So, you have to join all of the
process before the election to go to the
streets to pe to talk to the people and
to really offer them a good
program. Our program was always
always described as the best one
because it was very detailed on many
fields also on the field of energy and
economy as well and as soon as you
are elected you need to decide either
you are in opposition or in coalition.
If you are in coalition you will get the
opportunity to be also the part of the
of the execution. It means to be
at the ministry or state secretary at
the ministry as myself
and if you're in parliament of course
we have 150 parliamentary members you
need to go to every parliamentary
session or to the committee se sessions
we are sitting in the room of the
economy committee now but if you are in
opposition it's very boring because
you can propose whatever you want but
it will be it will never get to be
true because the coalition will vote all
the time against it. If you are the part
of the coalition, it's more convenient.
It's much more better. But to be a part
of the ministry is even even many times
better because the process is much more
faster. If you have an idea, you're able
that the idea is going through to the
realization really not in seconds but
really in weeks or in months. In
parliament it's lasting because the
legislative process is quite long.
You have the first reading, second
reading, third reading, you have the all
of the committees. If you are the
ministry, you are doing the crucial
crucial things. you are deciding on a
daily daily basis and this was also the
time when I went to the ministry in 2020
we started with the energy crisis
>> co with the stop of Russian gas
>> Slovakia before was at 100% dependent on
Russian gas and suddenly
the Russia started the war with the gas
actually they just stopped to fill all
of the gas stories in Europe from one
day to the another and they made the
pressure on the market and the price of
gas and electricity went really rapidly
very fast up and we were focusing the
question where to find another source of
gas.
>> Slovakia is the second most gasified
country in Europe. you will have the
connection to gas to really every
build building in Slovakia. The first
one on that time was Netherland
Holland and the consumption of Slovakia
is like was 5 billion cubic meters a
year and this is amount which you are
not able to replace from one day to the
to another.
But we had a really good people
behind us, really good experts and it
went really very fast that after the
energy crisis started, we were able to
cover to cover 70% of all of the
deliveries from Russia by another gas
from other source.
>>.
>> The Russian gas was still flowing.
Sometimes this, sometimes not. And on
the same time we had already contracts
for 70% of this amount with for LNG from
United States or
the gas from Norway.
>> Wow. You went immediately to the you're
very politician to talk about but I just
wanted to highlight why we are here
today with you because you have a
technical background. We can feel it.
And just to mention that you have a PhD
in geothermal and also you made the same
master program than us in renewable. So
just to highlight that you are a
technical person in the in the
parliament. So just to know we
can go deeper into this period of crisis
being economy minister but how is
to have conversation with politicians
because you are coming from a technical
background but with numbers in the table
so you can show them like this is
what is happening. Yeah, this is this is
very good point because politicians
are usually populists. They just need to
get to be known to be on media
and this is not something what the
technicians me are understanding. So I
have still quite issues with all
of the social media and so on. but
after our party came to parliament I
would say also the culture changed a
little bit the people were informed
about the numbers about everything was
behind especially those they are
interested they were listening and
started the discussion with industry
started discussion with the
companies they're delivering or they're
selling the energy refuge and through
my person those information came to
parliament as well. So this was
something what was really necessary and
what was really necessary also for the
second part when I was at the ministry I
was not minister I was state secretary
so second person behind the
minister but responsible specially for
all of the energy questions.
>> Okay. So everything what was going
around the energy was in my
responsibility
and really with the energy crisis
it was the topic number one actually.
>> Yeah. In the ministry of economy
there are different state secretaries
for different topics and you were energy
head for
>> exactly there is the minister and you
have two state secretaries..
>> My colleague the second state secretary
he was responsible for all the economic
questions for the support of industry
for everything was going on with the
economy and I was the one who was
responsible for energy
>> but at the end is super related. Yeah,
it's super related and it's really
making sense because the energy
prices needs to be really kept on a
lower level but especially you need to
have it
>> and this was this was the issue during
the crisis. I told you that we
needed really very quickly to have
some other sources of the gas
>> and I told you that the first LG
tanker came just four months after
the energy crisis started. Just just to
imagine and just just just the
question what do you think how many our
consumption in Slovakia is like five
billion cubic meters of a gas a year.
What it means? How many LG tankers we
would need just to replace this amount?
What do you think? It's a quite easy
calculation. But what do you think?
>> A couple of hundreds.
>> More.
>> It's 50.
>> 50. Well,
>> just 50 because the it's it's like
one compressed LG cubic is 600 cubics
of natural gas.
>>. So if you will divide it and by the
capacity of LG tanker we would need only
50 tankers a year
>> a year.
>> So if somebody's telling me well the
transport with the LG tankers is not
that environmental friendly I'm
saying well but compare it with the
delivery from Russia where the money is
going. It's a bloody money actually it's
supporting the war. So I would better
choose 50 LG tankers for now. Of course
we need to lower it down and during the
crisis we went by 10% down with the
consumption and there are other options
as well for the future but for now I
would better choose LG from democratic
countries over the gas from bloody
Russia.
>> So that everything happened during
COVID. So everything online coordination
online meetings. So how was to get
into an arrangement with Norway? Why
Norway? And it was through Poland I
suppose. So how was the interconnection
with
>> nation? Actually this pipeline gas from
Norway was coming through Germany and
Czech Republic.
>> Mh.
>> because on that time there was no
interconnector from Poland to
Slovakia. This inter interconnector was
made done and open in 2022 just on
the end of our era at the ministry.
But this was also again a big success
for us because the capacity of this
interconnector
is equal to our yearly consumption in
Slovakia. So we will be actually able
to deliver the gas only from Poland or
through the terminal. So in Poland which
were open first terminals in Poland
were open also only during the energy
crisis but Slovakia is currently open to
all of the neighboring countries Czech
Republic, Hungary, Austria, Poland and
Ukraine as well with those gas
interconnectors. We can ship the gas in
and out through those interconnectors.
We are in the middle. We are in the
middle of all of the gas pipelines.
>> Our prime minister, he's saying, "No, we
are on the end of the pipeline." No, you
have to see the opportunity. We are in
the middle. We can ship the gas from
south to north, from north to south,
from east to west and opposite way. But
of course, there are people they are
just seeing the obstacles and also doing
everything for this and saying no, we
need the Russian gas. their people,
they're seeing it as a option, as a as a
future opportunity for Slovakia.
>> And then it's it's also me and I'm
saying no, we do not need the Russian
gas anymore. We are open country and we
can have the gas from anywhere we need.
>> Yeah. Just just a followup thing on
that. there's also exemption for
Sloven. do you think it's a necessity
then just going on with what you are
saying or is it something that you need
for the transition period
>> in the meaning of Slovenary
it's like following Vienna and they
were dependent on Russian oil because
the technology was able to
to produce all of the old products only
from this Russian middle heavy oil.
Now they're saying we are able to use
also other oils. we need to invest
roughly 200 million euro but if feasible
they already tried another so-cal soups
it's like a mixture of several oils
coming from Azarbaijan from Arabia and
other countries and they're saying yes
we are able to do that we need some time
but what we also need is to have the
opportunity to get the oil and
there's currently on Yamal which is
the pipeline coming through Croatia,
Hungary to Slovakia instead of the
pipeline coming from Russia. This is the
option but there is a bottleneck in
Croatia
which will be needed either somehow
technically rebolt or there is also
another option to put some particles
inside of the oil that the fraction the
the friction is not that big and this
this will also
made feasible to bring more oil through
this bottleneck but again our prime
minister he's unfortunately very
Russia friendly and instead of going
to Croatia or Brussel to discuss about
this bottleneck is better going to
Moscow to discuss how to get more oil
from Russia and this is something what
in my eyes is very very bad. Is there
some kind of fear of coming back
because now since the crisis you
created like a new connections with the
neighbor countries right so these
connections can remain because they are
physical pipelines but is there some
kind of fear of coming back to
>> Russian
>> Russian gas
>> the those connections are for gas
>> with oil it's not that easy there is
only one connection from from Russia
and the second from from Croatia
through Hungary and those are the only
two pipelines for oil. But definitely
I'm always saying we are ready to be
disconnected from Russia because every
liter every drop of oil or every drop of
gas which is coming from Russia and we
are paying for that is financing the war
as well.
>> Yeah. As long as we will finance the
war, this long will the war last..
>> So if we will stop the financing of the
war through oil and through gas on in
that moment the war will end
not immediately but this financial
source for Russia is very important and
I'm really happy for all of the
initiatives European Commission is
doing and all of the terms like 2027 end
of Russian Gaza and everything and also
for the for the oil. But politicians
are like our prime minister or Hungarian
prime minister, they are still going
against it. And this is where the
fear is really bad. But the elections
in Hungary are this year, Slovakia next
year. And I am hoping that something
will change also in the minds of people.
They will understand that Russia is not
our friend anymore.
and we will really join the real
European union not only on a paper
but also with our minds. Just going
forward also you have been very critical
of the lack of transparency for the new
nuclear project that is coming along in
in Slovakia.
>> could you tell us a bit about the
project? What what are the
constraints and why are you so
critical for the project?
First of all, I have to explain that
Slovakia is nuclear friendly country
>> in compared to Austria and this is
because of the history. We have
currently
five five nuclear reactors running
two are inkabun
another one is just shortly before the
start and the Slovak they are saying
well it's it's a electricity we are
having for years there is no there
are no issues with that
>> however in Slovakia I have to be honest
there were two problems with the
nuclear reactor. There is A1 reactor
in Sask Bonit. there was a crash even
two times
>> two people died but it was not that
serious as we saw in Fukushima or
in Chernobyl. the acceptance is very
very high. the share of the electricity
produced by nuclear in Slovakia is 60%
plus. So the production in compared to
the consumption
we are the second strongest country in
Europe in the meaning of the share of
nuclear power after France. That's why
if you are saying about the new nuclear
reactor it has a quite big support in
the in not in the meaning of
politicians but also inside of the
public. It's a not it's not a new
project. This project started already in
2009.
During our period, we made several
decisions that the project will
continue. We changed the law also.
there was a zoning permitting process
done during our stay at the
ministry. But what happens when our
current government came to the power
that the prime minister he found the
project on the table like almost
ready and he started to think who might
be the one who will deliver the
technology.
>>.
>> We are talking about 1.2 gawatt reactor.
There are several technologies available
on the market. the one which is
mostly discussed is the one from
Westinghouse. There is another one from
Framat EDF and the third one is from
Korea. However, the Korea they are using
the same technology as the Americans
and he started just to talk about the
talks. We were talking to Westinghouse.
We decided that the Westinghouse should
be the one who will do it. But I'm
asking why
>> you should make a normal open
transparent process to really put all of
the parameters on the table
>> to talk to the public to talk to the
politicians
and really to have on the end the
best option for us. But this will not
last one year. it is my last several
years but Robert Fitz who is the prime
minister he's in charge now and he knows
that he will be not in charge anymore
>> so he's really pushing very very quickly
for just one technology
>> which should be decided on the end so
this is my fear why I'm saying there is
huge financial risk there is a huge risk
of reputation we know about Hungary they
decided to they decided for a rosatom
without any other options on the
table. Austria was asking the
European Commission if this is okay and
the court of European Union decided no
this was not okay. So we would like to
avoid such a process. There are many
reactors going online in Europe also
in Czech Republic in Dukavani and I am
saying we have to have the transparent
process for everything what is going on
because if on the end of the day if
there will be some questions open
questions still the process will stop.
>> Yeah. And just following question
regarding nuclear because you're a
friendly nuclear country
>> but you also are a renewable promoter
and how is the
lobby from nuclear companies or nuclear
sector to maybe stop a bit to have more
renewables connected to the grid.
>> H very good question. in the
period of 2016 up to 20 there were many
many green projects online. We
started with a bit big big photo this
started actually in 2010. Unfortunately
this process was again not very
transparent.
>> There were many connections for
photovolta given and given to
politicians or friend of politicians.
This is why also renewables got very bad
name. if the people were talking
about renewables, they were always
saying, "Oh yeah, the photo volalt which
was given to a friend of the prime
minister and he is now getting a huge
tariff for it and we are paying in our
electricity bills that he is having
good earnings
in 2016 up to 2020
and again from 2020 to 2022.
we change many laws that it will
be also available renewables so for
the public for the normal people that
the installations will be rooftop based.
we opened the interconnector for
electricity with the Hungary which means
there were again more space to be to
connect more smaller installations as
well and really we did it in 2021 in
2022 and 2023 there was a huge jump of
such small installations. we released
the process the administration we
made it very easy to be connected
to the grid of course there are DSOs
there saying h it's not not good for us
because of technical reasons but I
saying if it is possible for a huge
nuclear reactor it must be possible also
for small power plants but the lobby is
very big
>> the nuclear lobby nuclear power plants
are in a renaissance in the whole Europe
in the whole world and the renewables
are going somehow to the to the back but
I'm always saying we need to have a
healthy energy mix
>> if we are talking about renewables in
Slovakia we have a lot of photovoltaic
not that much than in other countries
also my role in this whole when I
came from United States we started with
the company there were many obstacles we
founded Sappi Slovak association for
photoaltic industry.
>> This was founded by our small company
with Fonius. Fronios from Austria was
a founder of SAPI. Sappi is nowadays the
biggest organization
for renewables. They have a really
good name and they are present by
every legislative process if we are
talking about renewables or energy
topics as well. But still nowadays
what we started before during our
presence at the ministry was to have
also some wind in Slovakia.
>> Yeah.
>> If if you are coming from Austria to
Slovakia, you can see on the border.
Yeah, that's that's where I was going
because in the train you see a lot of
windmills in the way you cross the
border because it's like 1 hour away
and then it's nothing here and it's the
same wind the same land.
>> Some politicians are saying no the
Austrians they steal the wind from us
and we that's why we do not have any
wind potential. That's of course not
true.
>> the problem is again in politicians.
What do you think? How many windmills
are in Slovakia?
It should be
10 20 five
>> only five in Slovakia we have only five
windmills very old windmills they
were installed like 25 years back and
the whole process legislative process
or maybe administration of everything
is on the table but still there are some
politicians that are saying it's a
very sensitive topic people are against
it. people are not involved into
those projects.
>> M
>> so many many there are many
initiatives against wind.
>> Yeah. There is another like law
that we heard there was a kind of tax
extra tax for renewables like to
discourage the connection. When was it?
How how was it?
>> It's the G component. It's like you
have to pay to be connected to the
grid
>> but only for renewables
>>
>> for every
>> well you cannot do a law just for one
type
>> but you can you can put inside the
parameters that after woods on the end
it's only for the new and this is what
what what happened so really for example
for photovoltaic it's something it's
it's it's something what what might kill
for the future the renewables or
photoaltic especially that's why we
were proposing that it should be
removed. Hopefully for the future it
would be removed and also this is
some killing point for wind as
well. I'm hoping that if we will be
part of the next government that
we will be able to be more open for the
renewables and renewables. But also tell
us a bit about the potential of where
you think the renewable can be exceeded.
the where the huge potential for
Slovakia and also Slovakia being in the
middle and it has huge potential for
also exporting energy, right? like for
do do you think that the
renewables going along and maybe in
in the future there will be a lot more
renewables coming and then Slovakia
exporting energy because the market is
anyways integrated so you
don't need to consume that but rather
just export it to other countries.
Slovakia is currently
export country for electricity. So we
are really selling a lot of electricity
to the market. Of course it's in
private hands mostly. The biggest
producer Sloans collector is owned by
34% by the government but we do not
have any management rights. So it means
they are selling the electricity mostly
to the market partially also to the
people directly. This was one of our
steps we did during the crisis that
we made an arrangement with collector
that one part six terowatt hours will be
delivered directly to the people for
lowered price. But the most of
electricity which is made in Slovakia is
available for German companies
also for Slovak as well. for the
for the future
the consumption not only in Slovakia
but in the whole Europe will go up.
>>.
>> Because of heat pumps, because of
electric cars, because of the heavy
industry which will use more
electricity, they will not use anymore
the gas or the coal and the consumption
will go up according to our
calculations.
maybe twice by the year of 2050. That's
why we will need more sources. One hand
nuclear, this is the new nuclear
reactor,
>> but also we will need more renewables
for the peaks as well. So I think the
potential in Slovakia is not only if
you're talking about renewables in small
photo power plants but also in wind
small hydropower plants as well, biogas
as well. So the market is just
waiting just waiting to be found to
be more open and that the barriers
political barriers and administrative
barriers are removed and
we don't need to talk only about
production. Production is what one part
of the whole puzzle on the other hand is
also the consumption..
>> We can make higher energy efficiency,
lower the consumption
to not only by households but also by
the by the industry as well. and
we can also make energy communities.
This is something missing in Slovakia
still. So Slovakia is really still a
country which needs to be found to be
open but something need to be changed
also in the political thinking. Yeah.
And we are going to go into energy
communities. but before that you
mentioned us before recording the
this agreement that you made with the
generators because you were having 1, 000
euros per megawatt hour and it's a deal
to reduce the price for households
and is still ongoing..
>> How was this process and how is
>> the future?
>> During the energy crisis, the prices of
electricity and gas on the market went
rapidly up on the 20 6th of August
2021.
>> You remember the day in
>> this was this was for us really
something like Black Friday, right?
>> Oh wow. Yeah. The energy of electricity
went up to 1, 000 euro per megawatt hour.
Wow. The gas was like 330
or something. And we
needed to do something very quickly
because households in Slovakia they
have still the regulated price and the
regulated price is calculated by the
market. M
>> you are taking a six month average and
this average is something what what from
which we will calculate the price for
the next year.
>> And we saw that if we will take this
1, 000 euro from the market for the next
year the price for households will be
like 560 euro per megawatt hour.
>> Wow. And we said like oh oh before it
was 61 and now it should be 560.
So we were checking all of the
options we have on the table and one of
the options was to start discussion
with Sloans collect which is the biggest
producer and we they're producing I
think 70 or 80% of the electricity
which is produced in Slovakia.
Slovakia is producing and approximately
30 terowatt hours of electricity and
the consumption went down to 26.5
terowatt hours something like that but
before the crisis it was almost equal.
>>.
>> And we started we did the discussion
with we said okay we as a state we
have a share of 34% in your company.
we can have the dividends or you will
give us the electricity and we will give
this electricity to the people.
>> Okay. So this was the agreement we made
time
>> it that's why it was one one third
collector they are producing like 20
terowatt hours approximately we took 6.1
terowatt of it and we give it to the
public through the companies they are
selling the electricity and we said okay
this electricity will be sold for the
same price as it was before the crisis
>> okay
>> and this is still lasting and I'm saying
this is not good anymore because we do
not have the crisis here anymore and
the electricity price on the market is
maybe
30% higher than before the crisis and
the people are happy that they have this
cheap electricity but on the other hand
there is no pressure
>> real price
>> sorry
>> it's not a real price of the market now
>> on one hand it's not a real price but on
the second hand there is no pressure to
make some energy efficiency
installations. The people are not
willing to insulate their houses to go
for renewables or to go for heat pumps
just because the electricity is still
very cheap.
>> Yeah. Just on that note, you were also
part of the our forum last time and
around energy communities. Where
where is Slovakia right now? Because the
last mile and you already talking about
there's no incentive for people or
there's already some incentive for
people to create energy communities
to be more efficient to get some
connection going.
what is lacking in Slovakia for the
for a robust framework for energy
communities?
>> It was very interesting forum the
last time because everyone was
talking about energy communities in
Austria 6, 000 energy communities in
total and the next question from you
was how many communities do we have in
Slovakia? And I was like oh
two three unfortunately we have a law
which allows to make you energy
community but it's not only about law
it's also about administration about the
bureaucracy and it's about the
regulatory office as well and
unfortunately our regulatory office he's
doing everything for centralized energy
politic
>> and I'm saying no no no we have to
decentralized
as much as possible to make it available
for the people and this is the
biggest fight with fight with our
regulatory office and there are still
many obstacles on the bureaucracy side
and the administration side and we need
to remove it. I hope this will happen
when we will be in the next
government
and this will somehow
create more energy communities. But what
is still lacking it's the dissemination
of information.
>>.
>> People in Slovakia they do not know what
is energy community. Unfortunately, they
they are not having enough information
about renewables or how to consume
energy or how to save energy.
>>.
>> If if I was the one who was talking
about savings during the energy
crisis and even were just
>> like what is that?
>> Why why why we have achieve cheap
electricity? Why are you talking about
savings? We don't do not need to save. I
was telling to our former prime
minister. Well, what you need to do is
the same what the Japanese prime
minister did when was the big disaster
when Fukushima happened. They had on
that time a huge lack of electricity.
There was a hot summer and there was not
not enough electricity for air
conditioning. He was the one who came in
the front of a media. He put his tie
down, the jacket down. And he said,
"Okay, it will be hot. It will be hot.
Not only for you, it will be hot for us.
We are on the same ship. We need to save
and everyone of us need to do
something." The consumption went down by
20%.
>> And they did it. This is this is the
crucial point what we need to do. And
it's not starting by the people. It
starts by politicians. They are saying
what is necessary. The people are
listening. But if somebody is saying no,
we don't need to save energy. That's not
true. But it needs to come from
politicians, from somebody who is in
charge.
>> Yeah. And just coming back to Rahul's
questions about Islovakian potential
and taking your geothermal expertise.
It's similar with Austria. in
potential with Hungary, but you are the
expert. So what what is happening with
geothermal in Slovakia since you have
like in a gold mine of heat, let's say.
>> Yes. Slovakia is very rich on geothermal
energy. I would say even richer than
Austria, maybe not that rich than
Hungary. But the mining law in
Slovakia is quite obsolate. On one hand,
we are treating geothermal energy the
same way like gold or other stuff which
is inside of the earth. and on the
other hand there are many obstacles
if you are going to the realization of
using of geothermal. you have a quite
long process if you are drilling for
geothermal. There is no real support
>> for drilling of geothermal and using
geothermal.
Yes. Lastly the law changed as well but
still if you are going for geothermal
searching for geothermal there is a
quite big risk because geology is not
exact. Yeah. geology is yeah I think it
will be there you have to search for it
you have to drill for it but on the end
maybe it will happen that the geothermal
is not there or not in or not in that
amount you expect it and that's why it's
very important that this risk is covered
by European funds or somehow by
the state but u we have a really good
places like on the east of Slovakia
there is this kosha basin there is a
project which is on the table for 30
years already. There is also European
financing and hopefully next year it
will be finalized. the potential is
to cover 50% of the consumption of the
heat by the city of Koshit which is
the second biggest city in Slovakia just
by geothermal. Wow. There are other
cities like Galanta which is I
think by oneird covered just by the
geothermal heat. The potential is there.
just need to be opened and supported
>> going forward. We are creating
this bridge and we are very honored to
have you and also the other policy
makers who are very open to talk about
these topics and they also want to go
closer to innovation and understand
how to ease the policym and
regulations for innovation.
You being someone who is a expert on the
subject as well and being in a position
where you can influence the policym what
what is what are the topics that you
find it difficult to tell it to your
fellow MPs or fellow policy makers
about and they just want to do some
popular stuff to lower prices but how
to explain them flexibility how to
explain them other stuff like where do
you feel the challenge? Yeah, energy and
power like
>> Thank you. You're saying that I'm an
expert, but I'm always saying I'm the
guy with one eye but the others are
blind unfortunately.
So at least I'm really trying
to explain them what is actually
green grid balancing how the
electricity is working because
they're thinking that the electricity is
like a watering pipe. They just open it
and it's there. It's it's not true. You
have to you have to produce it. You have
to balance it. You have to bring it.
there is a market international
market for energy they don't
understand that the energy production
must be equal to the consumption
they see one megawatt solar park and
they think that this park will produce
one megawatt all the time. M
>> sometimes you have to explain them
everything about the physics. It's
challenging but it's essential.
Sometimes they are coming to me with
the bill for electricity. Carl what's
this? What's this? Why we are paying for
that? Behind there is a story all the
time. Some of them are listening some of
them are not. But we are on a good
way. before I was the only only
politician who understand the basics
of energy. Nowadays there are other
as well almost every party has someone
like that we are talking together we
are also here at this economy committee
somehow connected we founded also
energy sub commmittee just last year I'm
I'm the vice chairman my colleague from
the coalition is the chairman we had
already one round for discussion with
the public so it's going on it's going
forward of course it's lasting the
energy topic is not that sexy
in compared to other topics but I
think we are really on a good way
>> amazing and going towards our final
round which we have just installed
what do you say about nuclear energy
in Slovakia is it a bridge or is the
destination of Slovakia Yeah.
>> it's a bridge.
>> It's definitely a bridge. I would not
say to renewables it's a bridge. There
is something just around the corner. I'm
sure that there will be cleaner
technology, more stable technology.
but we have to cover the time for
several maybe years. So definitely it's
it's just a bridge.
>> Just out of curiosity, but what do you
do now with the waste from nuclear?
the waste is stored is stored in on
one place I cannot say because it's
also a question of the security
>> of the state and afterwards we should
build a depository for the long time
this depository should be done in60 in
Slovakia
however the taxonomy is saying if you
would like to invest in new nuclear
or invest into the tech technology based
on nuclear you have to have it by 2050.
So we are behind the time I hope there
will be an option to open the
question with the European Commission as
well but currently it's deposited
it's so-called short period depository
>> and afterwards will be build a new
long-term depository for hundred of
years. Regarding the windmills that you
can see from here in the Austrian ones,
do you see it like a closed or distant
future like?
>> no. For me is a close future. The
projects are on the table., the
legislation is on the table. We just
need to talk to the people. They are
afraid of windmills. what is helping
a lot just to go to Austria and to talk
to companies they are installing this
or to go to Brookand delighta to
energy park there is this wind
wind mill with this platform for
visitors
>> visit yeah super cool
>> so this is this is something what we
need to do to the people to explain
them it's not dangerous and to make them
to be a part of it
>> because now it's only about the
investors in compared to Austria where
the first wind farm in Brook was
built helping with the help financial
help from from public from from people
living in a brook. It was a consortium
of farmers and this is what they need
to understand this energy is helping us.
It's our energy. It's part of our energy
community and then it will work also in
Slovakia.
>> Amazing.
>> Yeah. Carol, you just before the
interview started, I saw your phone.
Could you please explain it to our
community what you're using and why
you're using it?
>> Okay. It's it's a it's a phone u it's
like the displays eing yeah I know
it's not common nowadays but it's
helping my eyes and also it's helping
to have a less distraction for from
social media because I think this is a
huge problem for the generation of
today and they started with my kids
because they were all the time just
checking the media Instagram Facebook
tik talk and I told them it's not good
for you and it's not good for your eyes,
not good for your brain. It's it's
something what do you need to reduce and
they told me
father but you are all the time on the
phone as well. So I decided to go for
something like that where I cannot check
my Facebook where I cannot check
>> be the change what you want to see.
>> Exactly. Afterwards they saw okay papa
is not anymore that much on the
phone. So I offer them you can have the
same phone as mess.
>> But it's it's built in Poland you said
right? Yeah
>> it's built Yeah. This is this is the
advantage as well. This is not a Chinese
phone. It's a phone built in
Poland and it's working really
smoothly. I'm happy for that. I am
having it for four months approximately.
the battery is lasting for sometimes
three four days.
>> Amazing.
>> But it was it was done by me this
decision just to show to my kids that
also nowadays we can be not that much on
the social media. we can be focused more
on our daily life.
>> Regarding the heat pumps, what what
do you think with the previous how do
you call it? Pane paneaki panaki pal
building concrete buildings
>> concrete buildings. Do you think that
heat pumps in with that structure
without insulation it's viable or is
a waste of money to invest in heat
pumps? Well, without complex renovation,
it's not possible. Of course, because
heat pump you need firstly to do every
other step regarding energy
efficiency to make insulation to change
the window to insulate the roof and
just afterwards when you did everything
this before you can install or
replace the gas stove with a heat pump
and it is technically viable. It
happened in Slovakia as well. Also in
Bratislava there is one block block of
houses like this made in the communist
socialist era made of concrete. They
made everything before and they are
heating now heated now just by heat
pumps. They put photo on the roof.
beside it's the heat pump and they
really really lowered the consumption on
the lowest levels possible. It's
feasible.
but you need really firstly to do
everything before
>> first to reduce then to clean
>> the energy you are not consuming is
the cheapest energy and this is also
regarding not only electricity but heat
as well.
>>.
>> Yeah. And politicians like big budget
project. if you have 1 billion to
invest in a in a project in Slovakia
to accelerate energy transition to
accelerate deployment what what kind of
projects you will take upon
>> I was talking about energy efficiency so
definitely insulation energy efficiency
this is something what we really need
the cheapest energy is the one we are
not consuming it's also the most
environmentally
friendly and also the most secure
because we are not delivering it from
other third countries like Russia. We
are not sending money bloody money to
Putin and this is really very
important firstly to reduce our
consumption and then to think how to
produce the energy in the second step.
So definitely energy efficiency at first
>> and I and I want to ask you like who
drinks more beer slow art people or the
Czech people
>> check
people this is according to the statist
statistics I read before we are
somehow mixed wine and beer half
>> and if you could choose a person to
drink a beer with would you prefer
like an Austria green politician or a
Slovak high CEO to talk about energy.
>> This is a tricky question and I will
give you a tricky answer.
>> I would better choose
a CEO from a really heavy industry
company because it is very easy to talk
to somehow who has the green thinking.
I'm the I have the same we are using
the same words. we are speaking
the same language but those people
are very open. You can talk to them
freely. you can visit them freely.
You have everything online
and they are also publishing their
thoughts u without any obstacles.
On the other hand, you have heavy
industry, someone who needs the energy
and behind it there are many many
numbers, many technical background
informations and this is something what
is really closed. So I need to know
also from the other side what is
really necessary how to keep them alive
because this is also about economy. I'm
still a half politician. So I really
need to talk to both parties to the
green ones. I'm open. I'm talking all
the time. But the other side is also
important.
>> So you take both beers.
>> I'm not the drinking. but if it
will be a non-alcoholic beer,
definitely.
>> Amazing. Carol, first of all, thank
you very much. It's been it's been an
honor to come to the Slovak Parliament
and for you giving us the time and also
the tour of the parliament. and if
you have any closing closing thoughts on
the on the interview and for the
community and for also the Slovak
people.
>> Thank you. Thank you for the
opportunity to be part of your
podcast. I found really amazing and
you're really doing a great job. I
will share this with my colleagues as
well and I hope many people will
will listen not only to this part
but also to the other because not
only energy is about facts but our
daily life is about facts. We need to
have less populism..
>> We need to be open to open the eyes to
everyone to understand the basics. We
need more experts. They are taking the
decisions on the end of the day. So
study hard, think
first of all
understand the data, the data and on
the end of the day we will have much
more brighter future.
>>.
>> Amazing. yeah, just funny fact
like seeing your bios yesterday I
realized that we share the same
birthday.
>> Oh really?
>> 14th of July.
>> Oh nice.
>> So it's a French revolution.
>> Exactly.
>> So we hope now we can contribute to the
energy revolution and we are very happy
to be here to foster our our mission of
covering what is happening in central
and eastern Europe. Slovak is a super
interesting case. So yeah, again, thank
you for having us today for
taking the time and thanks to the
community for watching the episode and
join us in our mission of covering
energy transition in Central and Eastern
Europe. Thank you next time. Bye bye.

Inside Slovak Parliament: Energy Crisis, Russian Gas & the Road to Resilience with Karol Galek |S2E1

Cheap Energy Hinders Efficiency

Political Will Blocks Wind Development

Nuclear Expansion Lacks Transparency

Geothermal Potential Underexploited

Technical Expertise vs. Populist Politics