From research: Vulnerability of oil-dependent European countries

Are Europe’s oil-dependent countries vulnerable? Geopolitical instabilities, price volatility, and supply disruptions have accentuated energy security as a paramount concern for European policymakers. In a paper published by Prof. D. K. Nguyen, a Visiting Professor at the Faculty of Finance and Accounting, on behalf of VŠE and his team in the Energy Economics journal, the oil vulnerability of 16 European net oil-importing countries was assessed.

Using the Weighted Russell Directional Distance Model (WRDDM) approach, two time periods (2013–2014 and 2014–2019) covering significant drops in crude oil prices (encompassing significant events such as the Russian annexation of Crimea in May 2014 and the pre-pandemic year) were examined. Findings reveal heterogeneous degrees of vulnerability due to country-specific characteristics. Slovakia, the Czech Republic, Sweden, France, the Netherlands, and Spain emerged as the least oil-vulnerable countries. Conversely, Hungary, Poland, & Portugal performed poorly regarding oil supply security.

Read further about factors contributing to those results, methodology and limitations of this pioneering approach to oil vulnerability assessment providing invaluable insights for policymakers and stakeholders at: https://www.sciencedirect.com/science/article/pii/S0140988324002226