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  • NES-2030: The development of the energy sector, mining and environmental protection issues tackled
    Communications Department of the Secretariat of the CMU, posted 05 February 2021 13:29

    With the participation of the Prime Minister of Ukraine Denys Shmyhal, representatives of the Cabinet of Ministers, business associations, industry experts, a round table discussion on the National Economic Strategy 2030 titled "Energy Sector Development, Mining Industry and Effective Environmental Protection" was held on February 4.

    According to the Prime Minister of Ukraine Denys Shmyhal, one of the fundamental tasks of the state now is to gain energy independence, in particular, in the gas sector.

    "The domestic gas production means national security. By signing eight sharing agreements at the end of 2020 and the beginning of this year, we have sent appropriate messages to the market and investors about the path we are heading. It is a question of domestic extraction - its increase in the next 5 years to the level which will allow to satisfy internal needs of the state", Denys Shmyhal emphasized.

    According to the Prime Minister, among the strategic tasks of the energy sector development is joining The European Green Deal and elaboration of the Ukrainian Green Course.

    During the event, the Head of the Center for Economic Recovery Kyrylo Kryvolap stressed that the priorities of the National Economic Strategy 2030 in the field of energy are as follows: a high level of energy security and Ukraine's integration into the European energy market; functioning of a smart, modernized and reliable power system; functioning of free, efficient and competitive markets; energy efficiency of the economy and environmental friendliness of the energy sector.

    "Joining the European energy system will ensure a higher level of energy security, as well as realization of the export potential of the Ukrainian generation sector," said Kyrylo Kryvolap.

    Acting Minister of Energy of Ukraine Yurii Vitrenko also stressed the importance of taking into account the context of the European Green Deal in the development of energy sector.

    "We are considering energy development in the context of the green transition. Firstly, because we are integrating into Europe. Secondly, because we see this "green transition" not just as a solution to the problem of environmental protection, but also as an opportunity for the economy to switch to a higher qualitative level," said Yurii Vitrenko.

    According to the leading expert of the Razumkov Center Maxym Bilyavsky, given the active preparation of the EU for the introduction of a carbon border adjustment mechanism, in Ukraine, it is appropriate to establish the Institution of Government Commissioner for Decarbonisation, as well as systematically support the alternative energy sector.

    In turn, the Executive Director of the European-Ukrainian Energy Agency Oleksandra Humeniuk said that foreign and Ukrainian investors have so far invested a total of about EUR 3.5 billion in the Ukrainian renewable energy sector. She stressed the need to resolve the crisis with the payment of debts to investors in the field of green generation.

    During the second block of NES-2030 discussions, the Minister of Ecology and Natural Resources of Ukraine Roman Abramovskyy said that public discussions on the new version of the Subsoil Code are currently underway. Among the opportunities for the development of the extractive industry by 2030 are as follows: deregulation of the subsoil use, simplification of the system of assessment and approval of reserves, simplification of access to geological information, application of new methods of extraction and exploration of new promising deposits and more.

    "We should simplify the investor's access to information and auctions at maximum, instead of creating artificial problems on their way to extraction. Also, all geological information should be published, except for the data marked as confidential," Roman Abramovsky stressed.

    Artem Petrenko, Executive Director of the Association of Gas Production Companies of Ukraine, noted that the state needs to improve the regulatory environment in the field of gas production, in particular, to eliminate point barriers to equal access to the subsoil.

    During the third part of the NES-2030 discussion on environmental protection, Oleksiy Ryabchyn, Adviser to the Deputy Prime Minister of Ukraine for European and Euro-Atlantic Integration, stressed the need to support Ukraine's course on decarbonization and climate change.

    "This is what allows us to be in the same civilized choice with developed countries, which are concerned not only about the development of their own economy, but also about the development of future generations and the planet we live on. We are moving in the direction of full harmonization of our laws with the European ones," Oleksiy Ryabchyn stressed.

    Chairman of the EBA Ecology and Sustainable Development Committee Stanislav Zinchenko noted that Ukraine's "green" course should be focused, in particular, on the introduction of the principles of the circular economy and new industries of household waste recycling, and implemented through a stimulating policy.

    In turn, the Chairman of the Ukrainian Wind Energy Association Andrii Konechenkov stressed that the way out of the debt crisis with RES could be the introduction of "green" auctions for the development of renewable energy sources.

    According to Valeria Zaruzhko, Vice President of the Professional Association of Ecologists of Ukraine for Sustainable Development, one of the elements without which the successful implementation of the National Economic Strategy 2030 is impossible appears full implementation of the National Emission Reduction Plan, which is possible only with applying appropriate financial mechanisms.

    It should be noted that more than 40 experts and more than 30 organizations, companies, government agencies, etc. worked on the development of vectors "Development of the energy sector, mining and effective environmental protection" of NES-2030. All measures were elaborated together with representatives of industry, industry associations, in particular, the European-Ukrainian Energy Agency, the Ukrainian Wind Energy Association, the Association of Gas Companies of Ukraine, the National Association of Extractive Industries, the Association of Nonmetallic Manufacturers, etc.