Creation of the competitive biofuel market in Ukraine

24/03/2017

At present, the market of biomass for energy is underdeveloped in Ukraine. That has a negative influence on implementing new bioenergy projects and therefore on involving biomass into energy balance of the country. In particular, now there are no dedicated trade platforms such as exchange or auction for the wood fuel intended for bioenergy installations that makes it difficult to arrange stable procurement. The uncertain situation has formed regarding the market of agro-biomass for energy. There are no dedicated trade platforms for selling and purchasing baled straw, maize stalks and other types of biomass of agricultural origin. It is obvious that Ukrainian biofuel market urgently needs the development and reorganization.

Position Paper N 18 of the Bioenergy Association of Ukraine covers issues related to the creation of the competitive biofuel market in Ukraine. The Paper includes consideration of the rules for unprocessed wood trade auctions in Ukraine and analysis of European biomass exchange practice. A prospective model for establishing biofuel exchange in Ukraine is suggested.