Weather colder year on year.

While the economic trend is primarily reflected in demand for energy from industrial enterprises, energy consumption by private households is largely affected by weather conditions. This is because temperature drives demand for domestic heating. In Germany, the Benelux countries and the UK, the weather was cooler overall compared to 2007, whereas it was slightly milder in Central Eastern Europe. Weather conditions affect both energy consumption and the supply of electricity, above all from wind turbines. In 2008, it was marginally less windy in Germany compared to the long-term average.

Energy consumption varied substantially across regions.

The economy’s good start and the increase in demand for domestic heating in certain regions stimulated demand for energy on our core markets. In the second half of the year, however, weakening industrial production was already having a negative impact. Due to these mutually opposing effects, electricity consumption stagnated in Germany, whereas it was down an estimated 0.5 % in the UK. In contrast, electricity demand in our Central Eastern European markets posted a marginal increase, growing by an estimated 1.5 % in Hungary and Slovakia and 0.5 % in Poland. Gas consumption was up 1 % in Germany. The cooler weather and increased use of gas to generate electricity were the drivers. In the UK, the same factors resulted in a gain of 5 %. Gas consumption in the Czech Republic and Hungary recorded slight growth.