Energy service business under conditions of stable energy development in Ukraine

Authors:
O.V. Komelina1, I.O. Samoylenko2
1. Poltava National Technical Yuri Kondratyuk University (Poltava, Ukraine)
2. O.M. Beketov National University of Urban Economy in Kharkiv (Kharkov, Ukraine)
Section:
Ecological Marketing and Management
Pages:
306 - 315
Language:
Ukrainian
DOI:
10.21272/mmi.2017.2-29


Annotation

The aims of the research are: to study the special features of development of energy service business and also to study the ways of its functioning improvement within the bounds of Ukraine that can provide inculcation of standards for stable energetic development and can have a positive influence on general level increasing of energy efficiency in our country.

Research results. The author determined that an important factor for success by forming of stable energy development in Ukraine is state support of specialized energy service business which deals with realization of energy saving measures and ensuring of energy efficient behaviour of consumers. The main goal of energy service business development is to provide energy resources saving and their optimal using in all areas of activity with the including of a certain level of comfort for consumers. It is analyzed in the article the organizational and legal forms and types of energy service contracts that are used in the world practice and can be used for realization of energy efficient projects in Ukraine. It is distinguished advantages and disadvantages of energy service contracts concluding and special features of contractual relationship formation between the participants in such projects.

The author described the mechanism activity of energy service business and the role of government in the development of system of energy service companies. The author also determined the basic principle of energy service business activity – it is turn-key. The main task of the energy service business is income providing for all participants of the process (customer, investor, performer of works, Energy Service Company) through the economical use of energy resources.

It is studied the formation features of basic types of energy service contracts: «Shared Savings», «Guaranteed», «Сhauffage» and so on. It is substantiated that performance-contract (Energy Performance Contracts) is the most effective form of the energy service contract from the point of view of providing the stable energy development in Ukraine. Performance-contract has the following features: it is connected with energy saving technologies; it concludes for the long term period (more than 7 years); payment service depends from the economical level of energy resources; total price of energy service contract returns gradually during the contract activity; service is turn-key.

It is defined that the energy service market in Ukraine is being formed, it is new and underdeveloped. The reasons for these are: imperfect business environment; unstable conditions for small- and medium business activity; misbalance between present-day needs and organizational and legal support mechanism for business activity; lack of adequate methodology for energy service provision; high financial and political risks etc.: limited access to investment resources and their high cost.

Conclusions and further research. The author distinguished perspective development ways for energy service business: active attracting of energy service companies to realization of energy efficient projects in the state and municipal institutions; use of modern managing form and methods for energy efficient projects (concession, rent, leasing, etc.); development of insuring of commercial and non-commercial risks in the realization of energy efficient business projects; the establishment of local (municipal) energy service companies in small, medium and large cities; to put into practice appropriate organizational and legal support mechanisms for energy service companies’ activity.

Realization of the proposed ways of development of energy service business in Ukraine needs a mechanism for implementing private-public partnership including municipalities, private business and banks. In addition, it seems appropriate to experiment on introduction of new institutional scheme for realization of energy efficient projects to enhance the development of energy service business and increase energy efficiency of appropriate measures on the basis of several Ukrainian regions. Unfortunately, the problem of expenditures’ compensation (in case of contract non-fulfilment by Energy Service Company) is still not solved within the current legalization in Ukraine. There are also other problems: development of adequate evaluation system of work effectiveness for energy service companies; implementation of standards for evaluation of service quality to ensure the reliability of energy performance services.

The system of managers’ education requires positive changes. Moreover we need knowledge increasing and formation of energy efficient behaviour of consumers to optimize energy consumption in all areas of activity.


Keywords
energy service business, energy saving, energy service contract, stable energy development, services


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