The fossil fuel sector is responsible for extracting, transforming, and transporting crude oil, natural gas, and coal, and is thus of great importance to a territory’s energy supply. Coal was the main source of electricity generation in Europe for more than a century, but its consumption has declined in the past two decades. Meanwhile, oil and natural gas continue to play a pivotal role in meeting energy consumption. On average, around two thirds of
Changes in domestic energy production
As the threat of climate change poses a major challenge for the world, many countries have seen to reducing the production and use of fossil fuels where possible. Coal is the most emission-intensive fossil fuel and as such many governments have begun to phase out this energy source. This has resulted in
EU coal production dropping to historic lows. Today, Germany and Poland are the
EU’s biggest coal producers.
Oil is the main fuel source in the EU. It is largely used as a motor fuel and to produce petrochemicals. Since resources in the North Sea have depleted,
oil production in the European Union has also fallen significantly since the early 2000s. Outside of the EU, Russia and Norway are the leading producers on the continent.
Trading and largest oil & gas producers
Both Russia and Norway are also largely responsible for outbound
gas trade in Europe, with the majority transported via pipelines. Europe is home to some of the world’s biggest fossil fuel companies, such as BP and Shell. These two companies are amongst the
top 10 oil and natural gas companies in the world, although most of their extraction sites are located outside Europe.
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