The Czech Republic is poor in energy resources except for coal.
Oil consumption is relatively low, reflecting the small transport sector.
Natural gas demand is increasing rapidly as gas replaces brown coal in heating and power application. Links with Western European oil and gas networks have been established. Nuclear power remains part of the Czech strategy, both for energy security and environmental reasons. Other major coal-using sectors include the iron and steel sector, independent coke producers, steam raising for industry, district heating plants, and direct use of coal and coal products for residential heating. The Czech Republic has experienced some severe environmental problems related to the production and use of coal.