Russian Energy Ministry Insists on Reducing State Support of Renewable Energy Generation

Russia’s Energy Ministry insists on reducing the amount of state support of renewable energy generation in the period from 2025 to 2035, Minister Nikolai Shulginov said at a meeting of the Federation Council’s economic policy committee on Tuesday, TASS reported.

“The Energy Ministry supports the renewable energy program. The only thing is that we insist on reducing the amount of support as the competences on production of components and units have been perfected as of today and export supplies are underway. However, <…> all this falls particularly on consumers as it is impossible to ensure development of renewable energy without capacity adjustment today,” he explained.

Meanwhile, renewable energy generation commissioned in 2020 reached a record of around 1 GW, the minister added.

Earlier reports said that Russia’s Energy Ministry initiated a reduction of the amount of support of renewable energy development in the country by 30% to 305.93 bln rubles ($4.2 bln) by 2035 in a move to keep energy prices within inflation. It also lowered the targeted level of renewable energy generation commissioning from 2.5 to 1.8 GW for solar generation and from 3.5 to 2.7 GW for wind energy.

The state support measures for construction of renewable energy-based generating facilities, which suggest return on investment with guaranteed income rate, are valid by 2024, though the selection of projects on that program has almost been completed.

Russia’s government decided earlier to extend after 2024 the program supporting construction of renewable energy-based generating facilities for another decade, though the parameters of the program have not been approved yet.