Summary

  • Summary - introduction
  • Eight Indicators of Energy Sustainability for Ukraine
  • Ukraine Star
  • 1990
  • 1999
  • 1998
  • 1995
  • This report is done for Sustainable Energy Watch (SEW) to asses Ukrainian energy use in relation to the impact on Global Climate. SEW methodology is used for assessment based on 8 indicators. You might be interested to compare findings for Ukraine with those of other countries were similar reports where prepared.

    Ukraine has got it independence in 1991 with the break up of the USSR. Since than Ukrainian economy has experienced dramatic decline. Slow economic and political reforms did not facilitate economic recovery. Last year Ukrainian GDP showed growth for the first time in ten years.

    Ukraine has inherited from the USSR developed energy sector with wide network of electricity, heat and gas delivery. On the other hand, command and control economy of the Soviet Union diminished the role of economic sense, effective energy use. Economy decline lead to decline in energy demand. Today, Ukraine consumes half of energy it consumed in 1990. However, country's GDP is even less then half of 1990 level.

    Economy crisis created situation when Ukrainian emission of CO2 today is lower than 1990 level. However, when recovery of the economy will start Ukraine will easily overuse existing quota taking current energy use intensity. Highly energy intensive industries as metallurgy are a core of Ukrainian economy today.

    Ukrainian economy consumes much more energy than average in the world. Tendency so far was to increase energy consumption. Ukrainian government has declared energy saving as a major energy strategy. However, this decision was hardly implemented. Energy consumers lack of incentives for effective use of resources. End-use consumers often pay too little or do not pay at all for the energy consumed. 

    Renewables are seen as one of the major way to reduce country's dependence on energy import. Ukraine heavily depends on Russia in delivery of all energy products, accept the coal. However, Ukrainian coal is of bad quality leading to low efficiency and fast degradation of the coal-fired power plans. At the same time, Ukraine has tremendous potential for developing wind power generation and small hydro. Developing of local renewable sources would decrease dependence on energy imports. Due to the electricity shortage many Ukrainian provinces experience rolling blackouts. Small local renewable sources will help local authority to get independence from central electricity grid.

    To summarize, most of the positive trends you might notice are misleading and are caused by the economic crisis in Ukraine. The only exception is development of electricity grid. Ukraine requires urgent steps to reduce it's energy intensity and develop renewable sources of energy.