The main document defining the
Energy policy of Russia is the Energy Strategy, which sets out policy for the period up to
2020.
Energy policy is the stated and unstated government legislated use of
energy.
Russia, one of the world's
energy superpowers, is rich in natural energy resources, the world's leading net energy exporter, and a major supplier to the
European Union.
Overview The main objective of Russian energy strategy is defined to be determination of the ways of reaching a new quality of fuel and energy complex, the growth of competitive ability of its production and services on the world market. For this purpose the long-term energy policy should concentrate on energy safety, energy effectiveness, budget effectiveness and ecological energy security.
The energy strategy document defines as the main priority of Russian energy strategy an increase in
energy efficiency (meaning decreasing of
energy intensity in production and energy supply expenditures), reducing the impact on
environment,
sustainable development,
energy development and technological development, as well as an improvement of effectiveness and competitiveness.
Objectives Russia is rich on energy resources. Russia has the largest known
natural gas reserves of any state on earth, along with the second largest
coal reserves, and the eighth largest
oil reserves. This is 32% of the world proven natural gas reserves (23% of the probable reserves), 12% of the proven oil reserves (42% of the probable reserves), 10% of the explored coal reserves (14% of the estimated reserves) and 8% of the proven
uranium reserves.
Primary energy sources In recent years Russia has identified the gas sector as being of key strategic importance. The share of natural gas as a primary energy source is remarkably high compared to the rest of world. Russia has the world biggest natural gas reserves, mainly owned and operated by the Russian monopoly
Gazprom, which produces 94% of Russia's natural gas production. In global context Gazprom holds 25% of the world's known gas reserves and produces of 16% of global output.), and also
Ukraine,
Italy,
Turkey,
France and
Hungary.
Natural gas Main article: Oil industry of Russia Oil Russia is the world's leader by 375 billion tonnes of geologic reserves, of which more than 250 billion tonnes are economically recoverable (including 140 billion tonnes of lignite).
Coal Non-conventional oil Russia owns the biggest
oil shale reserves in Europe equal to 35.47 billion tonnes of shale oil. More than 80 oil shale deposits have been identified. Main deposits are located in the Volga-Petchyorsk province and the Baltic Basin. Extraction of the deposits in the Volga-Petchyorsk province began in the 1930s, but was abandoned due the environmental problems. Main oil shale industry was concentrated on the Baltic Basin in
Slantsy, but at the end of 1990s the Slantsy oil shale processing plant and oil shale-fired power station were converted to use traditional hydrocarbons, and the mining activities were stopped at the beginning of 2000s. In
Syzran a small processing plant continues to operate.
Oil shale Small amount of
extra-heavy oil reserves have been identified in the Volga-Urals and North Caucasus-Mangyshlak basins. Large deposits of natural bitumen are located in Eastern Siberia in the Lena-Tunguska basin. Other bitumen deposits are located in the Timan-Pechora and Volga-Urals Basins, and in
Tatarstan. It is unlikely that natural bitumen deposits will be exploited in the near future.
Natural bitumen and extra-heavy oil Uranium exploration and development activities have been largely concentrated on three east-of-Urals uranium districts (Transural, West Siberia and Vitim). The most important uranium producing area has been the Streltsovsky region near Krasnokamensk in the Chitinskaya Oblast. The Russian Federation was the world's fourth largest producer of uranium in 2002, accounting for 7.9% of global output.
Uranium Russia is the world fourth largest electricity producer after the USA, China, and
Japan. In 2004, Russia produced 930 TWh and exported 20 TWh of electricity.
Electricity production The Russia's gross theoretical potential of hydro resource base is 2,295 TWh/yr, of which 852 TWh is regarded as economically feasible. Most of this potential is located in Siberia and the Far East.
Hydropower Main article: Nuclear power in Russia Nuclear energy Renewable energy in Russia is largely undeveloped although Russia has potential in renewable energy resources.
Renewable energy The principal peat areas are located in the north-western parts of Russia, in West Siberia, near the western coast of Kamchatka and in several other far-eastern regions. The Siberian peatlands account for nearly 75% of Russia's total reserves of 186 billion tonnes, second biggest in the world to Canada's. Approximately 5% of the exploitable peat deposits (2.5 million tonnes per annum) are used for fuel production. Although peat was used as industrial fuel for power generation in Russia for long period, its share has been in long-term decline, and since 1980 has amounted to less than 1%.
Peat It has been estimated that the Russia's gross potential for solar energy is 2.3 trillion tce. The regions with the best solar radiation potential are the North Caucasus, the Black Sea and the Caspian Sea areas, and the southern parts of Siberia and the Far East. This potential is mainly not used, although the possibilities for off-grid solar energy or hybrid applications in remote areas are huge.
Solar energy Geothermal energy, which is in use for heating and electricity production in some regions of the
Northern Caucasus and the
Far East, is the most developed renewable energy source in Russia.
Geothermal energy Russia has high wind resource with the highest potential areas at the coastal areas of the Pacific and Arctic Oceans, and the vast steppe and the mountain areas. Large-scale wind energy systems can be applied in in Siberia and the Far East (east of Sakhalin Island, the south of Kamchatka, the Chukotka Peninsula, Vladivostok), the steppes along the Volga river, the northern Caucasus steppes and mountains, and the Kola Peninsula, where the resource is favourable and power infrastructure and major industrial consumers in place. Offshore wind farms could be considered in the
Magadan Oblast and in the
Kola Peninsula where the intermittent wind power could be compensated by existing hydroelectric power stations.
Wind energy A small pilot tidal power plant with a capacity of 400 kW was constructed at
Kislaya Guba near
Murmansk in 1968. It followed by tidal power stations at Lumbov (67 MW) and
Mezen Bay (15 000 MW) in the
White Sea, and
Penzhinskaya Bay (87 400 MW) and Tugur Bay (6 800 MW) in the
Sea of Okhotsk. Only the Tugur Bay station emerged as feasible.
Tidal energy Vladimir Putin approved the
Kyoto Protocol on
November 4,
2004 and Russia officially notified the United Nations of its ratification on
November 18,
2004. The issue of Russian ratification was particularly closely watched in the international community, as the accord was brought into force 90 days after Russian ratification (
February 16,
2005).
President Putin had earlier decided in favour of the protocol in September 2004, along with the Russian cabinet,
Climate change In terms of the Russian energy demand structure, domestic production exceeds largely domestic demand, making Russia the world's leading net energy exporter.
Energy usage Russia's
energy superpower status has recently become a hot topic in the
European Union.
Energy in foreign policy Russia has recently been accused in the West (i.e. Europe and the
United States) of using its natural resources as a policy tool to be wielded against offending states like
Georgia, the
Ukraine, and other states it perceives as hindrances to its power. According to one estimate, since
1991 there were more than 55 energy incidents, of which more than 30 had political underpinnings. Only 11 incidents had no political connections.
Russia, in turn, accuses the West of applying double-standards relating to market principles, pointing out that it has been supplying gas to the states in question at prices that were significantly below world market levels, and in some cases remain so even after the increases. Russia argues that it is not obligated to effectively
subsidize the economies of post-Soviet states by offering them resources at below-market prices.
Energy disputes Starting
1 January 2007 Gazprom increased the price of natural gas for Azerbaijan to 235
USD per thousand cubic
metres. Azerbaijan refused to pay this price and the gas export to
Azerbaijan stopped. On its side, Azerbaijan stopped oil export to and via Russia.
Azerbaijan and Armenia Main article: Russia-Belarus energy dispute Belarus See also: Georgian-Russian relations In the January 2006
alleged North Ossetia sabotage, two simultaneous explosions occurred on the main branch and a reserve branch of the Mozdok-Tbilisi pipeline in the Russian border region of
North Ossetia. The electricity transmission line in Russia's southern region of Karachayevo-Cherkessiya near the
Georgian border was brought down by an explosion just hours later. Georgian president
Mikhail Saakashvili blamed Russia for putting pressure on Georgia's energy system at the time of the coldest weather. Starting
1 January 2007 Gazprom increased natural gas prices to Georgia following an international incident in an alleged effort to strongly influence the Georgian leadership's defiance of Moscow. The current price is 235 USD per thousand cubic metre, which is the highest among the CIS countries.
Lithuania Main article: Russia-Ukraine gas dispute Ukraine The EU-Russia Energy Dialogue was launched at the EU-Russia Summit in Paris in October 2000. At the working level the Energy Dialogue consists three thematic working groups. The Energy Dialogue involves the EU Member States, energy industry and the international financial institutions.
Ratification of the Energy Charter Treaty Economy of Russia Energy policy
- Energy policy of the European Union
Energy superpower
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