By 2024, 4.5% of energy in Russia should be green. What stage are we at?

What types of renewable energy are there in Russia?

  • Solar energy

This type of energy transforms

electromagnetic solar radiation into electrical or thermal energy. Globally, there are two possibilities for obtaining such energy.

The first is photovoltaic cells, Solar PV. These are solar panels powered by an internal photoelectric effect.

The second is the so-called concentratedsolar thermal systems, CSP. In this case, the energy of the sun is used indirectly: as a rule, to turn water into steam, and then convert the kinetic energy of the steam into electricity.

Among all RES sectors (renewableenergy sources) solar energy is the most developed in Russia. This is due to the fact that there are at least two suppliers of equipment with their own developments in the country. And thanks to the competition and the development of the industry as a whole, the cost of generating solar power has dropped significantly over the past few years, all over the world.

In terms of installed capacities, this method of energy production takes only 1-2%, and in terms of energy production it tends to zero at all due to technical interruptions.

  • Wind power

Wind energy in the last decade has beenthe leading source of new capacity in Europe, the US and Canada and the second largest in China. In Denmark, wind power satisfies 47% of electricity demand, in Ireland - more than 30%, and in Portugal and Spain - more than 20%.

Despite the enormous potential, wind energy in Russia is less developed than in progressive countries. About 30% of the economic potential of wind energy is concentrated in the Far East. 

Wind power is currently being usedpredominantly in rural areas with a low population density, where access to basic energy sources is limited. As of January 1, 2018, the total capacity of wind farms in the country was 134.36 MW, or only 0.06% of the installed capacity of power plants in the power system.

  • Hydropower

These power plants usepotential energy of the water flow. Hydroelectric power plants are usually built on rivers by constructing dams and reservoirs. It is also possible to use the kinetic energy of the water flow - at the so-called free-flow, damless hydroelectric power plants.

About 9% is concentrated in Russiaworld hydropower reserves — according to this indicator, the country ranks second in the world after China. At the same time, the distribution of economically feasible hydro resources across Russia is uneven: about 80% is in Siberia and the Far East, 20% — to the European regions of the country, the committee clarified.

There are no large promising projects in Russia inVyacheslav Skulkin, Deputy Director of the Department of Electricity Development of the Ministry of Energy of the Russian Federation, believes that the potential construction and operation of new large hydroelectric power plants is economically unreasonable because of the large reserve of power in the energy system.

Economic potential of Russianhydropower resources reach 852 TWh and only 20% of them are currently in use. HPPs are a source of "clean" energy with a service life of up to 100 years or more and are characterized by the lowest impact on the environment.

Source: IRENA

Why is green energy becoming popular?

  • Sustainability... A full switch to renewables would reduce pollutionenvironment and improved public health. This, in turn, can reduce premature deaths from pollution and cut medical costs.
  • Energy security.The use of renewable energy sources significantly reducescountries' dependence on energy imports. Importers of fossil fuels - primarily Europe, and now also Asia - are seeking to reduce their critical dependence on energy imports and develop renewable energy at home. 
  • Increased efficiency.With the development of technology, the efficiency of productiongreen energy increases and production costs decrease. With the high availability of solar and wind energy, this makes the industry increasingly attractive for commercial use.
  • New workplaces.Renewable energy was more effective at creating jobs in the US than coal or oil from 2017 to 2019. Around the world, about 11 million people are employed in the renewable energy sector.

Who is interested in renewable energy in Russia?

  • Global energy companies. As green energy becomes the energy of the future, major market players will willy-nilly listen to new trends. 
  • Large industrial exporters... For them, the use of renewable energy will help avoid additional costs in the event of a European carbon tax.
  • Small and medium businesses... In this segment, the most popular, for example, solar panels costing up to one million rubles.
  • Individuals... After the changes inthe law "On Electricity", they have the right to sell to the grid surplus electricity generated by their micro-generation facilities, up to 15 kW.

How developed is “green” energy in Russia?

The main players in wind energy in Russia, according toaccording to experts, are the state corporation Rosatom (a subsidiary of NovaWind), the companies Enel Russia, Fortum and the Wind Energy Development Fund - a joint project of Fortum with Rusnano.

Leading positions in solar energyis occupied by Hevel's subsidiary, Avelar Solar Technology, and Solar Systems and T Plus. Now it is planned to merge the assets of Hevel and T Plus, as a result, the joint venture of these companies may include completed, under construction and won projects with a total capacity of 1.5 GW, says Aleksey Khokhlov.

The Russian authorities began to pay attentionalternative energy at the end of the last decade, when in 2009 a profile government decree was adopted that defines the main directions of state policy in the field of renewable energy use until 2024. According to this document, in four years, the share of alternative sources in the total energy system of the Russian Federation should be 4.5%. Under this program, 5.5 GW of capacity should be built by 2024.

However, Aleksey Khokhlov clarifies that in 2019, the share of wind and solar electricity in the balance of the UES of Russia, according to the System Operator of the Unified Energy System, was only 0.15%.

Ministry of Energy when extending the renewable energy program at the wholesalethe market, taking into account the cost reduction, expects "to reach the point of equality of the weighted average price of conventional generation and the weighted average price of renewable energy facilities by 2036."

However, now, according to the expert,It is economically feasible to carry out projects for the construction of solar power plants and wind farms in combination with storage devices and highly automated modern diesel engines, small hydroelectric power stations and geothermal generation.

In particular, the launch of alternative generatingelectrical installations (AGUE) at RusHydro facilities with the support of Hevel became possible precisely because of their economic feasibility. Hybrid complexes using renewable energy sources have already made it possible to improve the reliability of power supply and the quality of life of citizens in a number of regions.

Sergey Kuznetsov, head of the Networks and Generation department at ABB in Russia          

What's the bottom line?

It is expected that from 2025 to 2035 in renewable energy sourcesAbout 400 billion rubles will be invested, deeper localization of production will be ensured, and at least another 7 GW of capacity will be built. This, as representatives of the “green” industry believe, is the impulse that will allow it to become competitive in world markets. 

In 2009, a specializeda government decree defining the main directions of state policy in the field of the use of renewable energy sources until 2024. According to this document, in four years, the share of alternative sources in the total energy system of the Russian Federation should be 4.5%. In 2013, the rules for determining the price of capacity for generating facilities based on renewable energy sources on the wholesale market were approved, which allowed them to fully participate in the mechanism of capacity supply agreements (CSA). Under this program, 5.5 GW of capacity should be built by 2024.

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