Dave Young, Chairman of the Board and Edward J. Klaeger IV, Member of the Board of European-Ukrainian Energy Agency and Head of the EUEA – Ukraine Biomass Working Group took part in the Eighth International Conference on Biomass for Energy held on 25th-26th of September, 2012. The event was organized by Scientific Engineering Centre “Biomass” and took place in Kyiv. The Сonference was attended by 180 experts, including Georgiy Geletukha, Director SEC “Biomass”; Volodymyr Zablotsky, Adviser to the Minister of Agrarian Policy and Food of Ukraine; Vitaly Davyy, President of the Association of participants of the alternative fuel market and energy of Ukraine; Borys Basok, Deputy Director of the Institute of Technical Thermo-technics of National Academy of Sciences of Ukraine and others.
The participants examined some positive and negative aspect of bioenergy sector of Ukraine as well as other relevant issues.
Edward J. Klaeger IV, in his presentation, spoke about the EUEA Position Paper related to the bioenergy sector and among others mentioned the challenges of sector development including lack of a pre-funding PPA or off-take guarantee; corruption; lack of inflation adjustment mechanism to minimal Green Tariff; planned price decrease of 10% for plants online after Jan. 1 2014, 20% after Jan. 1
2019 and 30% after Jan. 1 2024; problems with land allocation for construction; local content requirement needs to confirmed at the project design stage and immediately “prior-to” instead of “after” commissioning. In addition there needs to be a standardized bankable long-term biomass supply agreement for State Enterprises that can provide forestry resources (waste wood) and Ukraine biomass and GT remain relatively new and unproven markets for foreign investors.
After the Conference a number of agreements were achieved and the final Resolution was made.