bsef2012 session5 energy_efficiency_rybak
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ELENA RYBAK, Director, European-Ukrainian Energy Agency - Energy DevelopmentTRANSCRIPT
Elena Rybak
Energy Development – Compatibility with Social Expectations, Energy Reforms and Public Perceptions
BLACK SEA ECONOMIC FORUM Yalta, 4-5 October 2012
EUEA - a non-profit Association founded in Kyiv in 2009
Goals to establish :
• a solid platform for promoting EE &RE
• market mechanisms for sustainable development
About EUEA
EUEA Business
NGOsGovernment
Priority Sectors
1. Energy efficiency
buildings
district heating
heavy industry
waste-to-energy
2. Bioenergy
biogas
biomass
3. Wind energy
4. Solar energy
5. Hydropower
6. Grid Sustainability
7. Energy Community
8. Project Financing
Working groups
Members
Members
Consumers
• Reliable Service
• Security
One day… Comfort of living!!!
Business
• Long term stability
• transparency • attractive invest.
climate • Prosperity of
local communities
NGOs
• Sust. dev. of communities
• Reforms• Environment
Energy Development: Stakeholders
Media
• Scandal• Crisis• problems… But also: • Expertise • Information
Government
• Market transparency
• Social dialogue
• Fair rules of “the game”
• Functioning legal framework
Cooperation will achieve results
ConsumersBusinessNGOsMediaGovernment
COOPERATION
Meet Social Expectations
Achieve Energy Reforms
Increase Public Perceptions
Lets go on a short journey…
Germany
“Energy Turnaround” of Germany:
• 80% RE until 2050 (10% in primary energy consumption in 2011).
• First with Feed in tariff legislation
• Allocated budget amounts 1.3 bln. Euro for research
• Total investments: approx. 22.9 bln. EUR
• Employment in RE sector increase from 180 thous. in 2004 to 380 thous. In 2011.
Australia
• RE share in electricity 20% by 2020
• The early "romance with renewables“ vs. concerns about the costs (no more tolerance to subsidies)
• Average household retail energy bill of more than 1600 euro per annum
• Still, broad support of the population
• Lessons learnt: caution towards cumulative impact of policy interventions on retail energy prices!
Ukraine
• Third most energy intensive country (beaten by Turkmenistan and Russia)
• First EE talk appearing in 2006 and FiT 2009
• Country with an average salary of less than 300 EUR
• Smallest electricity tariffs in former Soviet Union of 3,69 dollar cents per kw\h (vs. Russia – 7,27 dollar cent, Moldova 12,6).
Solar FiT – close to euro 0,50 cents.
UAH 8 bln. Already invested in solar energy
Perovo plant 105 MW the largest PV plant in the world at the time of commissioning.
Wind can bring…
Data from just 4 international developers:
• Pipeline: 2,150 MW • Capital Requirement: EURO 3,310,000,000• Tax Payments: EURO 3,501,480,000• Employment:
Temporary: 1,800
Permanent: 395• Social Infrastructure: EURO 23,420,000
Ukraine
Estimates:
In order to increase efficiency by 50% (up to 2030) – USD 1 bln. Investments needed yearly (World Bank estimate)
EE in Housing stock requires USD 15 bln. during 10-15 years. (IFC estimate)
Heat and power network modernization requires USD 12 bln. (experts estimate)
Reality is…
• Totally “questionable” draft of New Energy Strategy until 2030
• Local content requirement – key barrier for Wind and Solar
• Biomass potential (est. 15% in the Energy Balance) - subject to “semi-illegal” long term contracts
• Draft law on amendments to Tax Code – cancellation of tax benefits of RE
• EE projects subjects to enormous corruption and bureaucracy!
» Years to get permissions vs. months to implement
» Crucial laws take years for development
• Land, connection, changeable rules…
“Investors, please come!”
Risks are too big…2006 Alchevsk winter …
• 60,000 people left without heat (for 2 – 4 weeks)• At least 206 people dead… (- 35 C)
Government HAS to deliver:
• Stability • Legal framework• Market Transparency • Fair rules of the game for
everyone
REQUIRED constructive dialogue with civil society, business and consumers!
MEDIA is a tool for public perceptions and energy reform.
Thank You!
Elena Rybak Director, European-Ukrainian Energy Agency
www.euea-energyagency.org