Analysis of climate change mitigation tools in Ukraine Dr. Konidari P. KEPA - NKUA, Greece Prof. Inshekov E.N. Energy Saving and Energy Management Institute, National Technical University of Ukraine Ms. Pechak O. O. National and Kapodistrian University of Athens – Energy Policy and Development Centre

Structure of presentation Introduction Ukrainian climate policy framework Main Ukrainian climate change mitigation policy instruments Description of AMS method Application Conclusions National and Kapodistrian University of Athens – Energy Policy and Development Centre

Introduction Problem Climate change mitigation measures Highly energy intensive country Strong dependency on energy imports Enormous decrease of production lead to no sharp need for GHG reductions Climate change mitigation measures promotion of energy saving technologies development of RES facilitating the implementation of JI projects National and Kapodistrian University of Athens – Energy Policy and Development Centre

Ukrainian climate policy framework Stable national GHG emissions compared to those of base year 1990 Extremely high level of energy intensity Energy sector - main contributor of total GHG emissions 74.3% of total emissions in 1990 Partially provided with domestic traditional primary energy resources and relies on energy imports Important energy transit country National and Kapodistrian University of Athens – Energy Policy and Development Centre

Main climate change mitigation policy instruments (1/3) Promotion of energy saving technologies Law “on energy conservation”, “Comprehensive State Energy Conservation Program” “The Energy Strategy of Ukraine for the period until 2030” National and Kapodistrian University of Athens – Energy Policy and Development Centre

Main climate change mitigation policy instruments (2/3) Development of RES National Energy Program (NEP) for the period until 2010 Law “On power energy” Law “On alternative types of liquid and gas fuels” Law “On alternative energy sources” Law “On combined heat and power production (co-generation) and utilization of dump energy potential” “The Energy Strategy of Ukraine for the period until 2030” National and Kapodistrian University of Athens – Energy Policy and Development Centre

Main climate change mitigation policy instruments (3/3) Implementation of JI projects Ten main instruments Procedure (LoA, LoE) Registry Focal National Point National and Kapodistrian University of Athens – Energy Policy and Development Centre

Method AMS Multi-criteria analysis method Combination of three standard methods Analytical Hierarchy Process (AHP) Multi-Atribute Utility Theory (MAUT) Simple Multi-Attribute Ranking Technique (SMART) National and Kapodistrian University of Athens – Energy Policy and Development Centre

Criteria-tree Hierarchy Set of three criteria and eleven sub-criteria Environmental performance Political acceptability Feasibility of implementation National and Kapodistrian University of Athens – Energy Policy and Development Centre

Weight coefficients Usage of AHP calculated values Based on preferences from policy makers, researchers, target groups Recalculation of values is supported Consistency test Two indices Saaty Pelaez-Lamata National and Kapodistrian University of Athens – Energy Policy and Development Centre

Assignment of grades (1/3) Linear function y = ax+b, MAUT approach a, b solution of system requirements y =100 when xmax and y = 0 when xmin y =100 when best performance y = 0 when lowest performance Normalized grades, SMART approach Absence of data to form function Decision maker uses scale from 0 to 10 National and Kapodistrian University of Athens – Energy Policy and Development Centre

Assignment of grades (2/3) DM’s grades mi converted to grades of MAUT scale Un-normalized grade 2.51 is used instead of 2 (SMART method) because 2.51 solution of equation Normalized grade National and Kapodistrian University of Athens – Energy Policy and Development Centre

Assignment of grades (3/3) Grade of criterion Sum of products between weight coefficients of sub-criteria and respective grade (MAUT or SMART procedure) Total grade Same procedure National and Kapodistrian University of Athens – Energy Policy and Development Centre

Application Three types of instruments Energy efficiency, RES, JI projects National and Kapodistrian University of Athens – Energy Policy and Development Centre

Renewable energy sources Joint Implementation projects Data and assessments Policy instruments for Energy Efficiency Renewable energy sources Joint Implementation projects Direct contribution to GHG emission reductions (0.833) 100.0 5.814 Indirect environmental effects (0.167) Environmental performance (0.168) 100 Sub-Total from criterion 1 (A) 16.8 0.976 Cost efficiency (0.474) 13.267 33.560 53.173 Dynamic cost efficiency (0.183) 16.644 66.711 Competitiveness (0.085) 8.291 83.417 Equity (0.175) 27.9 44.199 Flexibility (0.051) 16.791 66.419 Stringency for non-compliance (0.032) Political acceptability (0.738) 16.315 25.934 57.750 Sub-total from criterion 2 (B) 12.040 19.139 42.620 Implementation network capacity (0.309) 7.424 18.486 74.091 Administrative feasibility (0.581) 13.394 33.351 53.255 Financial feasibility (0.110) 8.347 83.306 Feasibility of implementation (0.094) 10.994 26.007 62.999 Sub-total from criterion 3 (C) 1.033 2.444 5.922 Total (A+B+C) 29.874 21.584 49.518 National and Kapodistrian University of Athens – Energy Policy and Development Centre

Results Total grades Better grades JI projects – 49.518 Energy efficiency – 29.874 RES-Laws - 21.584 Better grades Political acceptability Feasibility of implementation National and Kapodistrian University of Athens – Energy Policy and Development Centre

Conclusions Policy recommendations oriented to cost efficiency, competitiveness, flexibility, implementation network capacity and financial feasibility Introduction of well examined incentives able to invigorate investments and support substitution of old energy intensive equipment. Unavailable credible data Lack of capable implementation network that could assist in the effective application of the policy instruments National and Kapodistrian University of Athens – Energy Policy and Development Centre

Thank you Contact details Dr. Popi KONIDARI Energy Policy and Development Centre (KEPA) Panepistimiopolis, KEPA Building 157 84, Athens, Greece Tel.: +30 210 72 75 830 E-mail: pkonidar@kepa.uoa.gr Ass. Prof. Evgeniy INSHEKOV, Ms. Olena PECHAK Energy Saving and Energy Management Institute, National technical university of Ukraine „KPI” 115 Borshagivska str, 03056, Kiev, Ukraine Tel.: +38 044 241 70 37 Fax: +38 044 0241 70 38 E-mails: eni@tcem.ntu-kpi.kiev.ua l_pechak@yahoo.com National and Kapodistrian University of Athens – Energy Policy and Development Centre