Ukraine’s Solar Energy Sector

The geography of Ukraine shows a great potential for the solar energy market development, thus the potential of solar energy in Ukraine is high enough for the wide application of solar equipment (please, see Appendix I and Appendix II). The incidence of solar radiation increases from northwest (1070 kW/m2) to southeast (1440 kW/m2) with the highest potential on the Crimean peninsula. The time period for the efficient usage of solar collectors in the southern regions of Ukraine is 7 months (from April to October), in the northern regions   5 months (from May to September). Photovoltaic equipment can operate effectively during the year. Currently solar collectors for water heating are widely implemented in the southern part of Ukraine and their volume is growing.
 According to National Agency for Energy Saving and Energy Efficiency (former NAER) the solar potential of Ukraine is much higher than that of Germany and it is technically possible that the share of solar energy will reach 10% of Ukraine’s energy balance till 2030. Despite the fact that the equipment for generation of solar energy is still quite expensive, the world experiences a trend of decreasing production costs of such equipment.
According to EBRD, Ukraine appears to be ready to become a leader in Europe’s clean energy economy soon, especially with regard to the solar energy market which seems to be one of the most perspective markets of the renewable energy. Currently, Ukraine became a host for the biggest solar power plant in Europe and it is projected that solar energy market of Ukraine will grow by 90% annually until 2015. Ukraine has all the prerequisites for the successful development of the solar energy market: high indicator of DNI (Direct Normal Irradiance), high feedin “green” tariff, possibility to use JI under the Kyoto Protocol for solar power projects and favorable tax exemption provisions. Additionally, Ukrainian energy strategy aims to grow up to 20% of energy from renewable sources by 2020 and Ukrainian feedin tariff for alternative energy is nearly twice as of some G8 members.
The introduction of “green” tariff became a powerful stimulus to the development of industrial photovoltaic generation in Ukraine. Solar energy production chain is between players: monosilikon manufacturers, polysilikon manufacturers and producers of ingots, wafers, solar cells, modules.
 The commissioning of photovoltaic facilities in Ukraine is mainly funded by private investment. In addition, there are opportunities to raise international funds. At the end of 2010 a program of the European Bank for Reconstruction and Development called USELF (Ukraine Sustainable Energy Lending Facility) was launched in the country. The program is aimed at facilitating the implementation of projects with the use of renewable energy sources in Ukraine. The program volume is EUR 50 million, which is sufficient to cofinance the construction of stations with a total capacity of 10–15 MW. Although this amount is not enough to have a global impact on the industry, the initiative of EBRD has an important symbolic nature.
Small projects can also count on support in the amount of EUR50–350 thousand from the NEFCO (Nordic Environment Finance Corporation). In contrast to the industrial segment, the segment of small and mediumsized installations in Ukraine develops less actively. The combined stock of such solar stations in the country is estimated at 1100 units with a total capacity of 1.1 1.2 MW. Ukraine puts into operation 50100 kW of capacity every year, 80% of them being commercial installations. Low level of private and commercial generation development is explained by the impossibility for individuals to obtain a green tariff, as well as by economical inexpediency of small projects with a capacity of 30 kW amid low prices for centrally supplied power. Moreover, the process of obtaining permits for green tariff is completely identical for investors of commercial and industrial stations. 


  1. The green tariff system is indeed broken, thanks to only the President and the government. They have turned the green business into a money business. Thats all THEY mean by going green. Giving them money.

    -Green Apple Energy USA
    Solar Boston

  2. While residential solar power sections are the heart of any solar power program, it requires the following elements in conjugation to work solar string lights