The growing role of the Arctic in the global economy
“The Arctic region of the Russian Federation is firmly integrated into global supply chains and as we move towards a climate-neutral economy, demand will increase for everything the Arctic is rich in, including rare earth minerals and LNG. We see Gazprom, Novatek and other companies regulating fuel production required during the energy transition, such as hydrogen, ammonia and methanol. We also offer global transport solutions that will reduce the total anthropogenic load. For example, the project that Rosatom plans to implement to organize transit between Europe and Asia on the basis of the Northern Sea Route “- Ambassador-at-Large of the Ministry of Foreign Affairs of the Russian Federation Nikolai Korchunov.
Investors are increasingly interested in green energy
“In the industrial generation, we are seeing a trend towards a responsible attitude of investors towards the environmental agenda and green projects. For example, Novatek with its LNG project in Yamal, Eastern Mining Company with a wind farm with a capacity of about 70 MW on Sakhalin. We will hear about other projects in the near future. Today we are conducting a dialogue with investors about the necessary measures to support the state so that projects in the field of “green” energy will increase several times, ” – Vasily Potemkin, Director General of the Foundation for the Development of the Far East and Arctic.
The high cost of green projects
“Green” projects today are primarily aimed at providing energy to residents in small towns. If we are talking about the need to develop large-scale industries, we need new approaches. Many “green” technologies, due to the vast distances from the Russian Arctic, are not applicable, because they will never bear fruit. Some projects in Europe may be interesting, but they will not be economically viable for us,” Roman Berdnikov, Member of the Board of Directors, First Deputy General Director of PJSC RusHydro.
Lack of government support measures in the field of “green” energy
Why are there no major renewable energy projects in the Russian Arctic today? Because there are no big consumers or they are just starting to form. It also either lacks the necessary network infrastructure or exists in a simple format. In the Arctic, there are no mechanisms necessary to support the development of renewable energy projects so that they become of interest to investors and become part of the carbon-neutral guarantee program in the region,” Vyacheslav Sinogen, Deputy Director General for Digital Transformation and Energy Projects at Zarubezhneft JSC.
Cooperation between Russia and the countries of the Arctic Council in the implementation of “green” projects
“Russia, together with partners in the Arctic Council, can do a lot in terms of working on the integration of technologies and methods that we have. In particular, the project of the Snezhinka scientific station operating on renewable energy sources, which will be implemented in the Yamalo-Nenets Autonomous Okrug and the region Murmansk, “Ambassador-at-Large of the Ministry of Foreign Affairs of the Russian Federation Nikolai Korchunov.
Exchange of experiences with international companies in the field of “green” energy
“It is very important to share experiences with international companies on best practices on the subject of green energy in the Arctic. I would like to suggest that the Far East Development Corporation become a platform for exchanging experiences,” Vyacheslav Sinogen, Deputy General Director of Digital Transformation and Energy Ventures at Zarubezhneft JSC.
The use of hybrid energy projects in the Russian Arctic
Under the new energy services contract mechanism, RusHydro is implementing a project to build diesel and solar hybrid plants. Until 2024, they will be installed in 72 settlements of Yakutia and 7 settlements of Kamchatka. This will make it possible to upgrade the power system, maintain electricity tariffs and reduce the import of diesel fuel by 30%,” Roman Berdnikov, Member of the Board of Directors, First Deputy General Director of PJSC RusHydro.
“An important area of work is providing energy to settlements in the Arctic. Existing diesel and coal generation requires modernization. Can it be quickly replaced by renewable energy sources in thousands of villages? Even replacing old equipment with new diesel units will reduce emissions by 20-30%. The next stage is the installation of Hybrid units using renewable energy sources,” Vasily Potemkin, Managing Director of JSC Corporation for the Development of the Far East and Arctic.