Support The Moscow Times!

Russia to Slash Green Energy Funding by 22% – Kommersant

Russia plans to cut state funding for the green energy sector by nearly a quarter. Pixabay

Russia plans to cut state funding for the green energy sector by nearly a quarter, or 22%, the Kommersant business daily reported Thursday. 

The government’s budget for its 2025-2035 renewables program will be cut from 400 billion rubles ($5.4 billion) to 313 billion rubles ($4.3 billion), unnamed sources told Kommersant, citing a March 11 meeting between Deputy Prime Ministers Alexander Novak and Yury Borisov.

Initially, the Economy Ministry had planned to cut funding for renewable energy by half while the Energy Ministry insisted on cutting it by one-third, Kommersant reported. Officials aim to keep rising electricity prices within inflation. 

The new renewable energy program would also reportedly oblige producers to meet green energy export targets under the threat of fines as well as increase requirements for localizing production.

Renewables investors interviewed by Kommersant warned that the cuts could lead to shutdowns of facilities, leading to job losses and ultimately monopolizing Russia’s renewables market.

A representative for the Association for the Development of Renewable Energy also criticized the new export targets.

“Investing billions of dollars in the country's economy for the sake of selling 25% of annual production on the local market is an inexplicable decision from an economic point of view,” the representative told Kommersant.

… we have a small favor to ask.

As you may have heard, The Moscow Times, an independent news source for over 30 years, has been unjustly branded as a "foreign agent" by the Russian government. This blatant attempt to silence our voice is a direct assault on the integrity of journalism and the values we hold dear.

We, the journalists of The Moscow Times, refuse to be silenced. Our commitment to providing accurate and unbiased reporting on Russia remains unshaken. But we need your help to continue our critical mission.

Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just 2. It's quick to set up, and you can be confident that you're making a significant impact every month by supporting open, independent journalism. Thank you.


Read more