Decentralized and Remote Energy Supply in

Russia: Status and Perspectives

George Kekelidze

Renewable Energy Association EUROSOLAR Russia

www.eursolarrussia.org

4 December 2018 | Berlin | Germany

Zhores Alferov Hermann Scheer

EUROSOLAR Russia – Founding Fathers

Independent, Driven by Technology and Innovation

Annual Renewable Energy Panel (ENES-REW)

Moscow, 2015-2018

Russia Energy Sector Now

The energy system of the Russian Federation consists of seven UES (United Energy

Systems): the Central UES, Middle Volga, Ural, North-West, South and the UES of Siberia);

and the geographically isolated energy systems (Chukotka Autonomous Okrug ES,

Kamchatka region, the Sakhalin and the Magadan regions, the Norilsk-Taimyr and the

Nicholaev power districts, the energy systems of Central and Northern parts of the Republic

of Sakha (Yakutia)).

Production of electric energyIn 2017 electricity generation by power plants of Russia, including electricity production by power plants

of industrial enterprises amounted to 1 073,7 billion kWh (among the UES – 1 053,9 billion kWh).

The increase of electricity production in 2017 amounted to 0.2 %, including:

Thermal power plants – 622,4 billion kWh (1.0 % decrease);

Hydroelectric plants – 187.4 billion kWh (0.4 % increase);

Nuclear power plants – 202,9 billion kWh (3.3 % increase);

Renewable Energy – 0,69 billion kWh ( 6GW installed capacity planned by 2024)

Power plants of industrial enterprises – 60,3 billion kWh (an increase of 0.9 %).

TPP; 622,4

HPP; 187,4

NPP; 202,9

Renewable energy; 0,69

Power plants of industrial enterprises; 60,3

2017

TPP

HPP

NPP

Renewable energy

Power plants of industrial enterprises

Hydro energy8%

Solar energy32%

Wind energy60%

Installed Capacity Renewable Energy by 2024 6 GW

Hydroenergy

Solar energy

Wind energy

Energy Sector in Future

▪ Every Energy sector segment will have it’s part (niche)

▪ Decentralized Energy segment will grow significantly

▪ Digitalization of Energy (Grid) is a strong trend

▪ Renewable Energy growth supported by the several different

instruments – Federal level (installed capacity), Regional (Land)

level, Microgenergation; Growth of local content

▪ Energy-efficiency as a driver of changes

Main ChallengesThe main problems in the Russian energy security are:

• High degree of depreciation of main assets of fuel and energy complex (in the electricity and

gas industry - almost 60%, in oil refining industry - 80%).

• Low degree of investing in the development of sectors of the fuel and energy

• High degree of dependence of the Russian economy and energy sectors on natural gas,

which share in the structure of domestic consumption of fuel and energy resources makes up

to 53%);- not conformance of the production potential of fuel and energy complex of Russia

to the world's scientific and technical level, including environmental standards;

• Weak development of energy infrastructure in Eastern Siberia and the Far East.

Strategic Goal in Energy Efficiency - reaching unrealized potential of organizational and technological

energy savings, amounting up to 40% of the total domestic energy consumption.

ENERGY SAVING PLAN for MOSCOW CITY - exeсution 2016-2017

(Dr.Eugeniy Gasho)

9

Energy

management

Technical

state

of equipment

Operational

efficiency

Renewable

energy

sources

Production

retrofitting

Energy

strategy

Энергетический

менеджмент

Техническое

состояние

оборудования

FACTORS of ENERGY

STRATEGY

“ENERGIEWENDE” RUSSIAэффективность

Возобновляемые

источники

энергии

NATIONAL PROJECT

Implementation of Power Supply Systems in

Remote and Isolated Areas

(Small Distributed Generation)

Moscow, 2017

12

Upgrade of the dedicated power lines making

part the uniform power system of Russia to

supply limited power to remote consumers

Relevance

Over 390 billion rubles

Transition to autonomous power plants

including the use of renewable energy

sources and local power sources

Alternative Solution

172 billion rubles

274

sites

269

MW

Traditional Solution

128 billion rubles(required investment)

Alternative Solution*

48 billion rubles(required investment)

* Use of local power plants

Development of power generating infrastructure in

more than 110 settlements of the Far Eastern Federal

District using renewable energy sources and up-to-date

technical solutions in isolated areas is estimated at 3.3

billion rubles.

Electrical power generation with total installed solar

power plant capacity of 10.9 MW and total installed

wind power plant capacity of 5.7 MW

(1.88 and 1.82 billion rubles respectively)

13

Objectives, Implementations Phases, and Dates

Phase 1 Phase 2 Phase 3

Holistic analysis of power users in

remote and isolated territories

Analysis of available technology

advance and production potential

Formation of a feasible list of potential

pilot projects

Analysis of key barriers. Preparation

of a plan to improve the regulatory

framework

Formation of a program for power

plant and energy system design &

development

Preparation of proposals for

technology transfer and production

localization

Development of appropriate legislation

and technical standard documentation

Consistent efforts in technical regulation,

standardization and equipment

certification

Formation of consortia of manufacturers

and suppliers of integrated solutions,

organization of service support

Approval of the list of pilot projects

Coordination of pilot project

implementation with government

authorities in the RF constituencies

Economic impact analysis of large-scale

development and implementation of

small distributed power generation

Distributed power generation project

implementation

Development of recommendations to improve

curricula of educational institutions

Approval of appropriate legislation and

technical standard documentation

Development of systems to control power

plants that make part of homogenous and

heterogeneous distributed generation

compounds

Development of a smart design system for

distributed generation sites and integrated

power grids

Development of standard modules with the

output of 1kW and up for different consumers

and ambient conditions

Feb. – Sept

2018

Sept. – Dec.

2018

Starting Jan.

2019

14

Participants

INDUSTRIAL

PARTNERS

MANUFACTURER

S

EXPERT

COMMUNITY

Technology Platform

Small Distributed

Generation

and others

Drivers for growth of Decentralized

Energy Supply in Russia: Difference with EU

▪ Solid and Trustworthy Energy Supply need in remote areas

▪ Extremely high CAPEX and OPEX for Grid solutions

▪ Cost drivers for Project owners: Diesel price, Logistics, EPC – Not

price of the equipment

▪ Industrial Consumers Approved plans in the regions: Russian

Bahn (3,6 GW), Northern Seaway( Artcic), Mining&Metallurgy

▪ Household Microgrid Law (15kW)

Unique window of opportunity for

German SMEs in Russia

▪ Strong supporting infrastructure: BMWI, dena, BSW, eclareon,

EUROSOLAR Russia

▪ Support on all stages: Market entry, Exhibition, Help in

Presentation to Customers (Projects)

▪ Growing Market in all RE and off-grid market segments

▪ Bi-laterally financed Applied R&D Projects (BMWI/ZIM – FASIE)

▪ Implementation infrastructure in all Regions

▪ FIRST COME – FIRST SERVE!

Russia – Country of opportunities for Renewable Energy and Energy

Efficiency cooperation in Technology, Investments, Energiewende ideas

www.eurosolarrussia.org mob.+7 985 760 8010 kekelidzeg@gmail.com