EU-RUSSIA Cooperation in Energy Efficiency May 23, 2011

Russian State Policy on Energy Efficiency The aim of the state policy is the formation of energy-efficient society in Russia. Priorities: To reduce Russia's GDP energy intensity by 40% by 2020 compared to 2007; To promote energy conservation and energy efficiency through the deployment of new technologies (Technological modernization of the Russian economy).

Key documents The State Program of the Russian Federation "Energy conservation and energy efficiency for the period until 2020“. The Federal law № 261 "On energy conservation and energy efficiency”. Presidential Decree N889, «On some measures to improve energy and environmental efficiency of the Russian economy. " Energy efficiency stands out as one of the long-term priorities for modernizing of the Russian economy.

Advantages of EU-Russia Cooperation on Energy Efficiency New market for EU technologies and services in energy efficiency: cooperation on the unification of the regulatory and legal framework and standards will open up the markets. Improvement of the business environment, improvement of the investment climate for the European companies in Russia. Increased energy security by upgrading the FEC (Fuel and Energy Complex) and the energy saving measures in Russia.

Advantages of EU-Russia Cooperation on Energy Efficiency New economies of scale for the production of energy efficient equipment in the framework of cooperation. Reducing the cost and time of the R & D projects through collaborative research and development thanks to relatively low-cost engineering personnel in Russia. Russian renewable resources may help decrease the cost and time of reducing CO2 emissions in the EU. For example, biomass.

Barriers for Cooperation between Russia and the EU The differences in regulatory and legal frameworks and system of standards, EE targets and indicators of the EU and Russia. The differences in strategic priorities in the energy sector. The EU consider the possibility of using 80-100% of renewable energy in the energy sector by 2050, the share of renewable energy in Russia is much lower and there’re other differences in strategies.

Barriers for Cooperation between Russia and the EU The exchange of experience and technologies is still limited. Information barriers (varying degrees of awareness of business leaders about the EE potential in the EU and Russia, varying degree of EE awareness among population).

Target situation 2050 The convergence of trade and economic space of Russia and the EU with the possible formation of a single space , barriers of trade are removed. Harmonized regulatory and legal frameworks in Russia and the EU, contributing to EE, facilitating access of European companies in the field of EE to the Russian market and helping to strengthen the position of Russian companies in the European markets. Harmonized system of EE targets and indicators to develop joint strategies and assessment of the practical results of cooperation. Transition to a low carbon economy has been completed.

Target situation 2050 In Russia advanced technologies of EE were implemented, their production has been developed , joint companies were established and the export of energy-efficient products has started. Unified system of standards: industry, construction, domestic appliances. The system of standards is mandatory and regularly updated. A system of energy management, energy audit and monitoring of energy consumption and energy efficiency and CO2 emissions in the different sectors of the economy is developed and is operational.

Priority lines of cooperation Collaborative long-term goals of Russia and the EU in the field of EE. Cooperation on the formation of energy-efficient society;  Development and implementation of measures to reduce economic and trade barriers between the EU and Russia. Harmonisation of regulatory and legal frameworks and development of new legislation taking into account partners' interests. Development of joint funding mechanisms aimed at improving EE and their harmonization with the European system to facilitate investment in the Russian Federation.

Priority lines of cooperation Joint pilot projects. Incentives for joint R&D projects. Harmonization of standards for equipment, standards of energy consumption assessment and certification of buildings and companies. Promotion of EE awareness among population and companies. Harmonization and possible unification of EE indicators targets.

Thank you for your attention! Nelly Segizova Head of Strategic Development Department Russian Energy Agency Segizova@rosenergo.gov.ru