Strategic Trends in Energy Development of the Northern Territories of Russia

Annotation

The dynamic development of the energy market is the source of Russia’s energy diversification processes. The study presents key areas in the development of the Russian energy sector, taking into account new trends and challenges. The Arctic zone of the Russian Federation is potentially becoming a growth driver for the energy market and opens up “new windows” for the country’s economic development. It is determined that the structure of consumption, use of resources, generation and transmission of electricity is changing. Long-term trends in the energy transition demonstrate a change in the energy balance in favor of clean energy sources: wind, solar, nuclear, geothermal, hydropower, hydrogen, and bioenergy. The development of hydrogen energy, including in the northern territories of Russia, creates a reliable basis for integration into the global hydrogen infrastructure. The change in the energy balance in favor of renewable energy sources (RES) is presented. According to the International Energy Agency (IEA), RES will account for up to 95% of new energy capacity additions by 2026. The global climate agenda — the rejection of fossil fuels — creates new challenges for the Russian economy and the development of its Arctic investment projects. It has been established that the current situation in the context of global technological breakthroughs and climate change is shaping the transition from vertical integration to distributed generation and decentralization. The purpose of the study is to analyze current trends in the development of the energy market, based on the results of which it is necessary to adjust the approaches of the Russian energy sector to future development, making maximum use of the opportunities of the northern territories of Russia.

About authors

Sergey S. Vopilovskiy, Cand. Sci. (Econ.), Associate Professor, Senior Researcher
simonovich.63@yandex.ru, ORCID: https://orcid.org/0000-0002-2873-1425
Luzin Institute for Economic Studies — Subdivision of the Federal Research Centre “Kola Science Centre of the Russian Academy of Sciences”, ul. Fersmana, 24а, Apatity, 184209, Russia

Keywords

economics, energy, Russian Arctic zone, renewable energy source, nuclear energy, hydrogen energy, scientific and technological progress, generation

DOI

10.37482/issn2221-2698.2022.49.23

UDC

[338.22+620.9](985)(045)