Following the Ninth Eastern Economic Forum, the President of Russia instructed the Government, together with the business community, to prepare a long-term program for the development of energy capacities in the Far East and to provide for project financing mechanisms. The Small Energy Association made its proposals, which were reflected in a letter to the Chairman of the Government of the Russian Federation Mikhail Mishustin.
In order to fulfill the order of the President of Russia and implement measures to improve the efficiency of generation operation in remote areas and territorially isolated energy systems of the Far Eastern Federal District in order to reduce operational costs of generation operation (fuel costs) and curb the growth of energy tariffs in the Far East in the long term, the Association of Small Power Industry proposed to consider the following proposals:to consider replacement of diesel and coal-fired power plants with power complexes operating on the basis of GPU under the model of energy service contracts with attraction of financing with state support measures to compensate investment costs.
As measures of state support, the Association proposed to use financing through VEB.RF, DOM.RU, as well as partial use of funds for subsidizing energy tariffs in remote and territorially isolated energy districts of the Far Eastern Federal District;
to provide an opportunity to sell electricity produced at such Energy Complexes to electricity consumers;
- to consider replacement of diesel and coal-fired power plants with power complexes operating on the basis of GPU under the model of energy service contracts with attraction of financing with state support measures to compensate investment costs. As measures of state support the Association proposed to use financing through VEB.RF, DOM.RU, as well as partial use of funds for subsidizing energy tariffs in remote and territorially isolated energy districts of the Far Eastern Federal District;
- Ensure the possibility of selling electricity produced at such power complexes to electricity consumers;
- provide tax and customs privileges for manufacturers and suppliers of efficient generating equipment implementing energy service projects in TITES of the Far Eastern Federal District;
- implement state support measures for import substitution projects for the production of parts and components for servicing generating equipment and for the establishment and operation of centers of competence (servicing) for generating equipment used for energy service projects in TITES of the FEFD.
According to the letter of the Small Energy Association, implementation of the proposed measures for modernization of generation with installed capacity of 280 MW in the Republic of Yakutia (Sakha), Kamchatka Territory, Sakhalin Region with annual commissioning of 50 MW and reduction of electricity tariffs by 50% and heat tariffs by 10% will result in savings of about 200 billion rubles over 6 years. Starting from the third year of modernization of generation, the effect may exceed the amount of the annual subsidy.
The economic effect will be achieved through the use of efficient equipment with a specific gas consumption of 0.25 cubic meters per 1 kW, with high equipment utilization, low operating costs and longer operating time before overhaul, as well as the use of energy complexes in cogeneration mode. The total investment for the project implementation will amount to about 80 billion rubles.
"For its part, the Small Energy Association is ready to join the work on the development of conceptual documents of a comprehensive investment program for modernization of generation facilities in remote areas and territorially isolated energy systems of the Far East, as well as to engage engineering and service companies specializing in the implementation of technological and electrical solutions in the field of gas piston power plants," the letter of the Small Energy Association says.