Renewable energy support stirs in Russia

Russia begins showing signs of support for renewable energy

Russia has long been a lackluster supporter of renewable energy. The country is home to some of the richest oil and other fossil-fuel deposits in the world. These fossil-fuels have helped the country establish a form of energy sustainability and have also been a lucrative export for decades. Because of these factors, Russia has little incentive to show any interest in renewable energy. The Energy Ministry of Russia, however, has begun calling for more support for the deployment of renewable energy systems throughout the country.

Country remains strongly focused on fossil-fuels

Though Russia has little interest in renewable energy, the country has backed the efforts of others in this realm. The country even established its own renewable energy goals, but failed to meet these goals by 2010 due to little support from the government and its citizens. Since failing to reach its own renewable energy standards, Russia has remained strongly focused on the use of fossil-fuels. The Energy Ministry is currently the only government organization that is showing strong support for clean forms of energy, and these efforts are being backed by several organizations that share this interest.

Energy Ministry aims to incentivize the adoption of renewable energy

The Energy Ministry of Russia has submitted a draft law that calls for the provision of financial incentives to promote the adoption of renewable energy among the populace of the country. The draft law makes no note of tariffs or other such initiatives, but promises a 14% return on investment. The law would allow citizens to sell the energy they produce back to the government through power purchase agreements. In the law is approved, it will allocate some $2.7 billion in financial incentives to those interested in renewable energy.

Law could increase oil exports in the future

The Energy Ministry, as well as the Russian government at large, has shown some modest concern for climate change, but this concern has not been enough to direct the country away from fossil-fuels. One of the major reasons behind the new renewable energy law may be more economic than environmentalist. If Russia uses less oil for the sake of energy production, that means it has more oil to export, which could represent a significant increase in foreign exchange revenue.