• Energy Research
• Energies close

Our paper focuses on assessing the role of state funding in supporting wind energy projects with a focus on economic efficiency and risk assessment. In particular, we analyze the new program aimed at supporting Russian renewable energy (RE) projects envisaged for the period from 2024–2035 that involves a reduction in investments in such projects and the introduction of large fines for non-compliance with regulatory requirements for localization and export. These strict rules imposed by the regulatory authorities, as well as the withdrawal by foreign manufacturers of equipment for renewable energy from the domestic energy market, put into doubt the economic feasibility of the participation of sector players in state-supported programs. Our paper assesses the economic justification for the practicality of the Russian energy market to implement renewable energy projects under the influence of negative environmental factors and the reduction of state support programs. We employ a case study of wind energy projects carried out in 2018–2020 as a part of the first sector support program. Our methodology is based on the calculations of the classical indicators of economic efficiency of projects (NPV, IRR, and DPP). Our own approach reveals that these indicators are supplemented by taking into account the cost of specific political, environmental, and economic risks of wind energy projects. Our results reveal that, at the moment, Russian wind energy projects in various scenarios retain a sufficient margin of financial strength and are able to withstand a reduction in the amount of financial support from the state. Our findings allow the formulation of some practical recommendations for reducing the share of governmental support for wind energy projects on the local energy market as a measure of cutting costs and increasing overall economic efficiency.

The electric power sector in countries suffering from crises and wars such as Syria, Iraq, Yemen, Libya, etc., is among the most affected infrastructures. Since this sector plays a vital role in the economic growth and in improving people’s quality of life, the post-crisis reconstruction of this sector must take into account the requirements and concepts of sustainable development (SD) in addition to technical and economic considerations. This article discusses the role that renewable energy sources (RES) can play in achieving SD in the post-crisis reconstruction phase of the Syrian Electric Power Sector (SEPS) as a case study. Based on the available data, the study period was chosen from 2005 to 2017 and divided into two periods. In the first period (2005–2010), which is the pre-crisis period, the structure of the SEPS and its main characteristics were described while the adoption of RES solutions and SD concepts were investigated. In the second period (2011–2017), the crisis period, the satiation of the SEPS and impact of the crisis were evaluated. The challenges that faced the adoption of SD concepts and RES solution were also addressed at this stage. Based on analysis and comparison of the available data, several scenarios were discussed to evaluate the role of RES in achieving SD in the post-crisis reconstruction phase of the SEPS. EnergyPLAN software was used for the techno and socio-economic evaluation of these scenarios. Our results emphasize the importance of the adoption of RES solutions in the reconstruction phase, as these can help promote SD concepts (reducing greenhouse gas emissions, protecting the environment, increasing energy efficiency, creating jobs, etc.) and securing the electric supply of the SEPS while enhancing its stability.