DEVELOPMENT OF RENEWABLE

ENERGY SOURCES IN UKRAINE:

Status - Opportunities - Perspectives

2

3rd Energy Package: Legislation&Targets

EC Directives and Regulations on electricity market:

Directive 2009/72/EC concerning common rules for the internal market in electricity

Regulation (EC) No 714/2009 on conditions for access to the network for cross-border exchanges in electricity

Key Targets: secure, competitive and sustainable supply of energy to the economy and the society;

cross border trade and access to diversified sources of energy (including renewables);

functional unbundling.

GOAL: 11% of RES in Ukrainian energy

mix by 2020

National Renewable Energy Action Plan Until 2020*

3,80

10,00 12.38

0

2

4

6

8

10

12

14

Poland Germany Ukraine

Average biomass green tariff, eurocent/kWh

*approved by Order of the Cabinet of Ministers of Ukraine №902-р dated October 1, 2014 3

Introduced "green" tariff for: • solar power stations; • wind power plants; • power stations on biomass; • small hydro-power stations; • geothermal power installations

One of the highest green tariffs in Europe, fixed in € until 2030

Premium for usage of Ukrainian equipment is introduced

"Green" tariff for private households on solar panels and wind turbines up to 30 kW is introduced

Law of Ukraine on Renewable Energy Development Stimulation

4

Targets of the National Renewable Energy Action Plan

2009 2016 2020

Power generation 4 625 MW 7 977 MW 10 900 MW

11 471 GWh 18 726 GWh 26 000 Gwh

Heat and Cooling 1 473 thou. t.o.e. 3 576 thou. t.o.e. 5 850 thou. t.o.e.

14 730 thou. Gcal 35 760 thou. Gcal 58 500 thou. Gcal

Transport 52 thou. t.o.e. 298 thou. t.o.e. 505 thou. t.o.e.

Сумарний технічно-досяжний енергетичний потенціал відновлюваних джерел енергії України

0,38

4,7

0,05

1,11

0,990,93

0,31

1,57

0,25 0,260,09 0,22

1,11

0,180,2

0,03

0,240,29

0,320,7

0,020,38

1,88

2,25

0,27 0,32

1,39

2,27

0,05

2,79

0,3 0,36

1,19

0,26 0,080,29

0,140,3

1,11

0,85 0,71

0,16

0,010,36

1,84

1,040,28

4,1

0,130,270,10

0,18

0,77

0,29

0,28 0,350,26 0,05

1,37

2,23

0,040,29

1,60

0,230,5 0,47

0,27

0,85

0,32

0,971,24

0,11

0,440,79

0,22

1,271,03

0,52

0,26

4,6

0,29

1,50

0,04 0,35

0,370,7

0,01

0,41

1,70

0,66

0,26 0,40,10

1,54

0,880,63

0,20,17 0,07

0,74

0,93

0,17

0,20,22

0,07

0,860,96

0,20

0,170,15

0,140,10

0,93

0,150,070,29

0,70,90

1,311,53

4,4

0,31 0,060,87

1,25

0,24

0,20,2

0,074

0,25

1,11

0,29 0,2 0,250,21 0,08

1,37

0,40

0,22

0,72

0,090,3

0,070,33

0,47

0,28 0,30,04

1,26

0,33

Технічно-досяжний енергетичний потенціал

відновлюваних джерел енергії (млн. т у.п./рік)

6,0

28,34

3,05

12,0

31,0

18,0

Сонячна енергетика

Енергія вітру

Мала гідроенергетика

Геотермальна енергія

Енергія біомаси

Енергія довкілля

Solar energy

Wind energy

Small hydro power

Geothermal heat

Biomass

Environmental energy

Mtce

Total technically recoverable energy potential of renewable energy sources of Ukraine

5

6

Required Investment For National Renewable Energy Action Plan Implementation

The Investment should be directed to the construction of:

• Solar and wind power stations • Cogeneration plants on biomass and biogas • Waste recycling plants • Geothermal power stations • Small hydro power stations

Total amount of investments required – up to 16 billion EURO: 8 bln of which should be directed to the field of electric power production; 7 bln – for heating and cooling; 0.6 bln – for transport.

7

The Volume Of Electricity Generated From Solar Energy Electric Power Facilities Of Private Households

21 households 40 664 kWh

244 households 410 268 kWh

2015 2014

Introduction of “green” tariff for private households has intensified market and rapidly improved capacity of small solar power plants

Examples of Successful Renewable Projects

Biogas plant 5.5 MW (PJSC “Orel-Lieder”)

Growing energy poplar (Biopoject)

Energy willow (SALIX energy)

Company: «SALIX energy»

Plantations area: 1 700 ha

Crop capacity: 20 t/ha

Annual growth: 34 000 t/year

Crop capacity cycle: 25 years

Heat of combustion: 17,3-18,0 MJ/kg

Substitution of gas: 10 mln m3 gas/year

Company: “Biopoject“ Plantations area: 400 ha Crop capacity: 40-60 t/ha Annual growth: 16 000 t/year Crop capacity cycle: 20-25 years Heat of combustion : 18,0 MJ/kg Substitution of gas: 3 000 th.m3 gas/year Plans for the future: 6000 ha

Recycling 100% of chicken manure Energy supply of poultry farm Reduced CO2 emissions: 270 000 tonnes Produced Biogas - 35 million m3 Produced "Green" electricity: 70 million kWh Produced "Green" heat: 10000 Gcal Replaced of natural gas: 1.2 million m3

8

Capacity: 5,3 MW – electricity 13 MW – heat power

Efficiency: 87% (chips 1970 Kcal/kg)

Fuel: chips, pellets

Cost: 0.09 EUR/kW*h 23,8 EUR/Gcal

Rates: 0,12 EUR/kW*h 44 EUR/Gcal

Typical Construction Model of BioCHPP

9

Necessary

investments about

16 million EUR

The payback period is

3.5 years from the date of commissioning

(construction time - 1 year)

It’s time to INVEST in UKRAINE