Two Ways to Advance Energy Security According to WEF

nikolay zlochevsky photo
Nikolay Zlochevsky

Energy professional Nikolay Zlochevsky is the president of natural gas producer Burisma Group. Based in Kyiv, Ukraine, Nikolay Zlochevsky is a strong advocate for energy security.

Energy security is a significant global issue requiring the input of leaders, business people, institutions, policymakers, and researchers. Prompt and sustainable solutions must be found to solve the energy problems individual countries face. However, there are solutions that all countries can benefit from. According to the World Economic Forum, two steps that countries can take to secure their energy needs are diversifying energy sources and including people in energy reform strategies.

Diversifying energy sources ensures energy supply remains stable despite geographic limitations. It also improves resilience, especially if newly established energy sources are dispersed and invulnerable.

The other step is to prioritize people in the energy discussion. While developing countries struggle with low levels of population electrification, developed countries face challenges with energy poverty. Countries must implement policies that make energy accessible and affordable, reducing energy inequality. Therefore, countries must promote policies that put consumers at the center of the energy matrix, benefiting populations in underserved areas.

Ukraine Seeks Natural Gas Self Sufficiency by 2020

Energy professional Nikolay Zlochevsky heads one of the largest independent gas producers in Ukraine, Burisma Group. A passionate advocate of his home country, Nikolay Zlochevsky applauds the country’s move toward natural gas self-sufficiency.

Ukraine seeks to achieve natural gas self-sufficiency by 2020. To achieve this, the country is following a two-pronged approach that promotes development in the natural gas sector while increasing energy utilization efficiency.

In 2017, Ukraine consumed 32.2 billion cubic meters (bcm) of gas. Only 20.8 bcm was produced locally. The rest was imported. Ukraine hopes to increase production to 27 bcm and pair that with improved energy efficiency to meet its local demand.

The capacity to produce more gas is there. Ukraine has the third largest confirmed natural gas reserves in Europe, second only to Russia and Norway. Though some reports indicate the country’s gas reserves are actually way higher. What’s more, the Eastern European country extracts only a fraction of its reserves annually, about 2 percent, compared to other countries like Norway which extracts 6.5 percent, the UK (17 percent), and the Netherlands (5 percent).

Already, the country has passed production-friendly reforms like reducing tax rates and deregulating the gas sector. If the government keeps promoting production and energy efficiency, it is possible for Ukraine to not only meet its local demand but also become a gas exporter.