4.3 Ukraine Main findings Power market overview J Power consumption and generation are expected to grow to 2030. Wind energy in Ukraine L Ukraine has set renewable energy targets, but they are low and accession to the European Energy Community requires setting more ambitious targets. J Ukraine has a positive mix of feed-in tariff and tax incentives to support wind farm development. L Local content requirements are a handicap. Sites J Wind speed and geographic conditions in Ukraine are ideal for wind farm development. Financing L The lack of liquidity in the Ukrainian banking system means project finance mainly comes from multilaterals such as the EBRD.
Supply chain J Ukraine has industrial potential in wind energy. The country already has significant experience in small and medium sized turbines. J Several European wind turbine manufacturers are looking at investing in production units in Ukraine. Regulatory framework L Administrative procedures are unclear and/or responsible authorities lack resources to follow them efficiently. L Grid connection rules are inapplicable and, grid connection costs often fall on wind farm developers. Opportunities and challenges L There is uncertainty over how much wind capacity the electricity system can currently handle.
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