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Development of the voluntary agreements system in Ukraine

Panel: 1. Policies and Programmes to drive transformation

Jakob Mau Pedersen, Viegand Maagøe, Denmark


The energy intensity of Ukraine’s economy is three to four times higher than the EU average. The industry and trade sectors account for over 40 per cent of energy consumption in Ukraine due to outdated, environmentally unfriendly and inefficient energy and resource-intensive technologies. As a result, many companies in Ukraine have potential to reduce their energy consumption by 30 to 50 percent.

Many countries worldwide including Denmark have introduced various support programs in order to reimburse part of the costs of implementing energy efficiency measures and to incentivize enterprises to modernize their energy consumption. The experience stemming from these support programmes are valuable and useful in the development of new socio-economic beneficial support schemes.

This study investigates whether a Voluntary Agreement Scheme should be implemented to underpin a transition towards a more energy efficient industry in Ukraine. More specifically, the study focuses on the incentive mechanisms, the necessary finance sources and the regulatory framework that is required to reduce energy consumption in the Ukraininan industry.

As part of the study, modelling calculations and guidelines have been developed in a collaboration between Ukraininan and Danish government officials and consultants. This has revealed and identified the need to adapt a Voluntary Agreement Scheme to local and country specific conditions.

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Download this presentation as pdf: 1-049-20_Pedersen_pre.pdf