Why Has Energy Efficiency Not Scaled-up in the Industrial and Commercial Sectors in Ukraine? An Empirical Analysis
Improvement of energy efficiency is one of the main options to reduce energy demand and to reduce greenhouse gas emissions in Ukraine. However, large-scale deployment of energy efficient technologies has been constrained by several financial, techn...
| Main Authors: | , |
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| Format: | Policy Research Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2014
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2014/06/19662897/energy-efficiency-not-scaled-up-industrial-commercial-sectors-ukraine-empirical-analysis http://hdl.handle.net/10986/18759 |
| Summary: | Improvement of energy efficiency is one
of the main options to reduce energy demand and to reduce
greenhouse gas emissions in Ukraine. However, large-scale
deployment of energy efficient technologies has been
constrained by several financial, technical, information,
behavioral, and institutional barriers. This study assesses
these barriers through a survey of 500 industrial and
commercial firms throughout Ukraine. The results from the
survey were used in a cumulative multi-logit model to
understand the importance of the barriers. The analysis
shows that financial barriers caused by high upfront costs
of energy efficient technologies, higher costs of finance,
and higher opportunity costs of energy efficiency investment
are key barriers to the adoption of energy efficiency
measures in Ukraine. Institutional barriers particularly
lack government policies, which also contributes to the slow
adoption of energy efficient technologies in the country.
The results suggest targeted policy and credit enhancements
could help trigger adoption of energy efficient measures.
The empirical analysis shows strong inter-linkages among the
barriers and finds heterogeneity between industrial and
commercial sectors on the realization of the barriers. |
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