The lack of economic incentives and non-compliance with market rules significantly hinder the development of renewable energy sources (RES) in Ukraine. This was stated by the director of energy programs at the Razumkov Center, Vladimir Omelchenko, on «Suspilne Radio».
According to Omelchenko, Ukraine has great potential for the development of RES, but the current economic and regulatory environment does not provide enough support for this sector. He pointed out that the government’s current policies do not encourage investment in renewable energy, and the lack of clear and stable regulations creates uncertainty for potential investors.
One of the main obstacles to the development of RES in Ukraine is the absence of a competitive market for electricity. Currently, the state-owned company «Energoatom» has a monopoly on nuclear power generation, which makes it difficult for other energy sources to enter the market. This leads to a lack of competition and hinders the growth of renewable energy.
In addition, the pricing system for electricity in Ukraine is not favorable for renewable energy producers. The government sets a fixed price for electricity, which does not take into account the actual costs of producing energy from renewable sources. This makes it difficult for RES producers to compete with traditional energy sources, such as coal or gas.
Moreover, the lack of a clear legal framework for RES in Ukraine creates uncertainty for investors. Omelchenko emphasized the need for a stable and transparent regulatory environment that would provide long-term support for renewable energy projects. He also called for the implementation of European standards and regulations in the Ukrainian energy sector, as this would attract more foreign investment and help modernize the country’s energy infrastructure.
Despite these challenges, there have been some positive developments in the renewable energy sector in Ukraine. In recent years, the government has introduced a feed-in tariff system, which guarantees a fixed price for electricity produced from renewable sources. This has led to an increase in the number of renewable energy projects in the country.
In addition, the Ukrainian government has set a goal to increase the share of renewable energy in the country’s energy mix to 25% by 2035. This shows a commitment to developing the sector and reducing the country’s dependence on traditional energy sources.
However, more needs to be done to fully unlock the potential of renewable energy in Ukraine. The government should provide more economic incentives, such as tax breaks and subsidies, to attract investment in the sector. It should also work towards creating a competitive market for electricity and implementing transparent and stable regulations.
In conclusion, the development of renewable energy sources in Ukraine is hindered by the lack of economic incentives and non-compliance with market rules. However, with the right policies and regulations in place, Ukraine has the potential to become a leader in renewable energy in the region. It is important for the government to take decisive actions to support the sector and attract investment, in order to achieve a more sustainable and environmentally friendly energy system.