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State Energy Efficiency Agency is working on bioenergy development, taking into account both energy security priorities and EU requirements

Created date

10 03 2023

Current issues of Ukrainian bioenergy development were raised on March 10, 2023, during a meeting at the Ministry of Agrarian Policy of Ukraine, which was held with the participation of members of Ukrainian Parliament and representatives of the Ministry of Economy, Ministry of Energy, Ministry of Finance, State Energy Efficiency, National Regulator, Bioenergy Association, Operator of GTS of Ukraine.

Participants discussed the issue of stimulating the production of alternative energy sources by agricultural producers, namely biomethane, hydrogen and bioethanol.

The State Energy Efficiency Agency, which implements state policy in alternative fuels, is making maximum efforts to intensify the development of this direction and has already achieved some results.

Despite all challenges, the Agency paid special attention to creating conditions for the development of biomethane production in Ukraine. Thus, after the adoption of the law on biomethane market development, the State Energy Efficiency Agency developed a draft of the relevant Government resolution “ On the Procedure for biomethane register functioning” and accompanied it until it was adopted by the Government.

In compliance with the requirements of the Law of Ukraine dated 10/21/2020 No. 1820 regarding the development of biomethane production and Government Resolution No. 823 dated 07/22/2022, the State Energy Efficiency Agency developed a biomethane register, which was presented to businesses in January 2023.

Currently, in accordance with the requirements of the legislation, the procedure of checking the compliance of the register with the comprehensive system of information protection is being carried out.

The SAEE also started a dialogue with the European Renewable Gas Register (ERGaR), Regatrace and other partners to study and take into account the European experience and future trends.

The cooperation of the Agency with the Association of Issuing Bodies (AIB), which unites 34 bodies for issuing guarantees of origin, is significant. The State Energy Efficiency Agency has received observer status in the Association of Issuers' Bodies (AIB) and will continue to study the experience of mechanisms for implementing guarantees of origin and access to the EU market.

"It is important to ensure the recognition of Ukrainian guarantees of origin in the EU. These are the requirements of Article 9 of the RED II Directive, which stipulates the need to conclude an agreement on mutual recognition of guarantees of origin," explained Olena Lenska, director of the Renewable Energy Development Department of the SAEE.

In addition, significant prospects for the Ukrainian biomethane market have opened thanks to the recent conclusion of the Memorandum on the strategic partnership between Ukraine and the EU in the field of renewable gases.

In general, all the work carried out to create conditions for the biomethane segment gives the "green" light to Ukrainian enterprises, including those in the agricultural sector, to implement biomethane production projects. The priority, of course, is the use of biomethane in the domestic market for natural gas replacement needs. Also, according to the Ministry of Agriculture, there is growing interest in biomethane export.

In addition to biomethane, the Agency also pays attention to other biofuels. As Olena Lenska said, the State Energy Efficiency Agency has developed a number of draft laws to stimulate the production of thermal energy from alternative energy sources. The bills concern improving the mechanism for calculating incentive tariffs for thermal energy produced from renewable energy sources, as well as establishing a zero tax rate on CO₂ emissions for plants burning biofuel.

Also, with the participation of the Agency, a package of bills on the creation of a competitive solid biofuels market in Ukraine was prepared. Currently, they are registered by People's Deputies on September 19, 2022 under No. 8052 and No. 8053.

According to the results of the meeting, the participants agreed to identify all possible barriers and ways to eliminate them for further rapid development of Ukrainian bioenergy.