Government encourages renewables' rise in the Russian retail markets

Earlier this year, the Russian government approved a document that encourages the development of renewable energy in the retail electricity markets.
According to the document, the network companies undertake the purchase of electricity from green energy facilities to offset the loss of tariffs and thus to reimburse investments in the renewable construction. The renewable energy sources, in this case include facilities that use biogas, biomass, landfill gas, solar and wind energy, and small hydropower industry.

The general government plan for the bioenergy development provides that renewables share in the wholesale market will reach 2.5% or about 6 GW by 2020. For remote areas, far away from a unified power system, these measures will significantly reduce electricity tariffs.

This document is part of a package of measures to support renewable energy in a market, which began in 2013. Every year, wind, solar or small hydro power stations may sign contracts for the supply of power, which guarantees them an investment recovery.

According to Russia's obligations under the new post-Kyoto agreement involves the reduction of carbon dioxide emissions to 70-75% below 1990 levels by 2030.