The session of the RAWI FORUM 2021 International Wind Energy Forum entitled ‘Voluntary demand for sustainable energy’ will be devoted to answering these questions. The panellists will find out what consumers’ expectations of the renewable energy market are and discuss opportunities for trans-regional sales of green energy in Russia.
A key theme of the session will be a discussion of the prospects for the development of the market for direct contracts for the sale and purchase of electricity from wind farm, looking at concrete examples of transactions that have already been implemented in Russia.
The session will be moderated by Eduard Boze, Advisor to the CEO of VEB Engineering, which specialises in modernising enterprises using low-carbon technologies and developing corporate strategies to reduce greenhouse gas emissions and the carbon footprint of products.
In anticipation of the discussion that will unfold at the session, Igor Bryzgunov, Chairman of the Board of RAWI, answers the questions about what is driving the growing demand for green energy in Russia and why there is an increasing talk today about the prospects of direct PPAs and contracts for sale of green electricity:
“The growing demand for energy from renewable energy sources by Russian businesses has several reasons, the main ones being the sustainability obligations of businesses and the prospect of the EU introducing a carbon border tax in 2023. The Carbon Border Adjustment Mechanism (CBAM) is a new mechanism for managing imports of goods with a carbon footprint. It is intended to become a kind of duty to be levied on goods imported into the EU. Its amount will depend on the amount of greenhouse gases emitted into the atmosphere during the production of the goods.
The highest fee under CBAM is expected for producers and manufacturers of electricity, cement, vehicles, chemicals and metals. Switching to renewable electricity will reduce the financial impact of the CBAM mechanism by EU countries. To this end, wind farms are actively being built in various regions of Russia.
The lack of transparent mechanisms for the sale of green electricity on the Russian market in many cases hinders the achievement of decarbonisation goals. There are restrictions that do not allow for contracts to supply sustainable energy to another region. In such circumstances, the free market for green electricity is one of the promising areas for renewable energy development today.
The sale of electricity and power under direct agreements – directly from the generator to the electric user – opens up opportunities for wind farm investors not to depend on government support measures. Independence manifests itself in a free choice of equipment suppliers, opportunities to build renewable energy assets with subsequent sale of electricity on the free market, and the formation of a competitive price for green electricity.”
We will discuss more about the purchase and sale of green power under direct agreements and the prospects for wind power development for investors and businesses at the RAWI FORUM 2021 Voluntary Demand for Sustainable Energy session, to be held on December, 1-2 in Moscow. To take part in the discussion, feel free to register now!