Economic policy formation mechanism for energy efficiency area

Dmytro Palamarchuk
PhD in Economics, Associate Professor in International Economics and Business Department, Cherkasy State Technological University, Ukraine, e-mail: dmytropalamarchuk@gmail.com, ORCID ID: https://orcid.org/0000-0002-6023-9780

Cite this article:

Palamarchuk, D. (2021). Economic policy formation mechanism for energy efficiency area [Mekhanizm formuvannia ekonomichnoi polityky u sferi enerhoefektyvnosti], Socio-economic research bulletin, Vìsnik socìal’no-ekonomìčnih doslìdžen’ (ISSN 2313-4569), Odessa National Economic University, Odessa, No. 2 (77), pp. 25–40.

Abstract

Theoretical and practical aspects of elaborating the modern mechanism for developing the economic policy of Ukraine in the energy efficiency sphere are investigated in the article. The article aimed at developing a mechanism for the formation of an energy efficiency economic policy due to Ukraine’s European integration orientation and the purpose of reducing the energy intensity of the gross domestic product. The research was carried out using the methods of deduction and induction, system analysis. The clarification of the principles, tasks, objects and subjects, methodological bases for elaborating the mechanism for the formation of an economic policy of energy efficiency made. It has been substantiated that the strategic goals of the economic policy of energy efficiency should be the following: reducing the level of energy dependence; development and implementation of the technologies for transforming the energy of photosynthesis into industrial production; implementation and further development of diversification of sources and conditions for the supply of energy resources; reduction of consumption of non-renewable fuel and energy resources; implementation of advanced technologies for transporting heat from the source to the consumer; achieving suitable levels of power supply reliability and energy security; reduction of the environmental pollution by the enterprises in the energy complex. The necessity of combining the priority principles of ensuring energy efficiency and institutional partnership for building a mechanism for forming an economic policy of energy efficiency has been proved. The necessity of mutual using the traditional economic instruments for stimulating energy efficiency and instruments for strengthening the role of regional educational institutions in the processes of ensuring energy security and increasing energy efficiency at the local and regional levels were grounded. The mentioned above has practical value. It involves the addition of key functions and tasks of universities and implies the creation of special competitive centers for energy audit and energy saving at the universities, as well as the implementation of special bachelor’s and master’s programs (including double degree programs), advanced training programs devoted to the energy efficiency and energy saving; strengthening of institutional interaction between regional authorities and local government, business agents and territorial communities, regional HEI and research institutions. The mechanism for the formation of an economic policy of energy efficiency developed based on the systematization of the implementation results of the energy efficiency programs by developed countries, in particular, the European Union member states. The possibilities for the implementation of models, tools and mechanisms, due to the existing legislative framework, the level of economic development and resource potential of Ukraine were grounded.

Keywords

energy efficiency; energy security; energy intensity; renewable energy sources; economic policy; economic mechanism; sustainable development.

JEL classification: F150; O190; Q210; Q320; Q420; Q480; DOI: https://doi.org/10.33987/vsed.2(77).2021.25-40

UD classification: 620.9:330.341.1

This work is licensed under a Creative Commons Attribution 4.0 International License. To view a copy of this license, visit http://creativecommons.org/licenses/by/4.0/

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