IFC to help Russia improve energy efficiency

WASHINGTON, May 13 (Itar-Tass) -- The International Finance
Corporation (IFC), a member of the World Bank Group, will cooperate with
the Russian Energy Agency to help the country improve energy efficiency in
industry and housing, develop a renewable energy market, and reduce
greenhouse gas emissions.
IFC and the Russian Energy Agency signed a memorandum of understanding
that brings IFC's global expertise together with the agency's national
knowledge and large regional network to support new investment
opportunities throughout Russia. Through this partnership, IFC and the
Russian Energy Agency will educate the market about the benefits of
investment in residential and industrial energy efficiency, develop pilot
renewable energy projects in the regions, and disseminate best practices
on resource efficiency, IFC said on Thursday.
It recalled the Russian government set targets in 2008 to reduce the
country's GDP energy intensity by 40 percent and to increase renewable
energy's share of total electricity generation to 4.5 percent by 2020. To
fully realize these ambitious plans, Russia will need to invest about $320
billion in energy efficiency and approximately $44 billion in renewable
energy, IFC estimated.
"Energy and resource efficiency and renewable energy are key factors
for the modernization of Russia's economy," said Timur Ivanov, Director
General of the Russian Energy Agency. "The Russian Energy Agency is
supporting the implementation of the federal law on energy saving and
energy efficiency improvement in order to create a platform for
interaction between different market players, and to serve as an
information exchange point between the regions. With support from the IFC,
we can fulfill these tasks more effectively."
"We have been working on these issues in Russia since 2005, and could
not have achieved such successful results without support from our Russian
stakeholders and partners," said Snezana Stoiljkovic, IFC Director for
Eastern Europe and Central Asia. "IFC investments in energy efficiency and
renewable energy in Russia have amounted to almost $400 million since
2005, and I believe that joining forces with the Russian Energy Agency
will support greater development of the market and lead to even more
effective results."
Investments in energy efficiency would enable Russia to save 240
billion cubic meters of natural gas, 89 million tons of coal, 340 billion
kWh of electricity, and 43 million tons of crude oil. Reaching the 4.5
percent target in renewable energy would save an additional 41.5 million
tons of coal per year and avoid more than 36 million tons of annual
carbon-dioxide emissions, the latter being equivalent to taking 8 million
cars off Russia's roads, the IFC estimated.