The Ministry of Energy initiates the creation of the Decarbonization Fund

It is assumed that the Fund will be filled with a part of the tax on carbon dioxide emissions, and the funds from it will go exclusively to projects that lead to the reduction of CO2 emissions and have energy-efficient, ecological and social effects.
This proposal was made to the People's Deputies today by the Acting Minister. Minister of Energy Olha Buslavets.
The initiative for the implementation of the Decarbonization Fund was developed by the Ministry of Energy with the support of the Ukrainian-Danish Energy Center and the State Energy Efficiency Agency.

Experts of the Energy Security Center of Ukraine actively participated in the development of all regulatory and legal documents for the launch of the Fund.

"The Decarbonization Fund will be a step towards reducing the carbon footprint of Ukrainian products, which will also provide an opportunity to get rid of an additional duty - the so-called "carbon tariff", which may be introduced as early as next year. In practice, the fund will help Ukraine to achieve a mutually beneficial partnership with EU countries in the field of sustainable development and the implementation of the Green Agreement, the implementation of the goals of which we strive to join," emphasized Olga Buslavets during an online meeting with parliamentarians.

18 leading countries in the world use CO2 emissions tax exclusively for decarbonization measures, which already has significant energy-efficient and environmental effects.

In Ukraine today, this tax also exists and is directed to the general fund of the State Budget. To increase the efficiency of its use, it is proposed to make part of this tax a source for filling the Decarbonization Fund.

"The creation of the Fund is envisaged without the formation of a separate legal entity. Its format is "an article in the budget", by analogy with the State Fund for Regional Development, the State Road Fund," said the Acting Director. Minister

Under this option, the administration process will not require additional costs from the state budget and will be carried out by existing state institutions. It is now proposed that the State Energy Efficiency Agency, which is currently in the process of reform and will receive all the necessary competencies for administration, will administer the Fund.

The funds of the Fund will be directed exclusively to projects leading to the reduction of CO2 carbon dioxide emissions. Currently, seven directions are being considered, which have energy-efficient, ecological and social effects, these are:

Projects on eco-modernization of generating enterprises;
Modernization of heat networks, water channels, street lighting;
Reducing the cost of household waste utilization (processing) projects;
Electric buses for public transport;
Stimulating the use of private electric cars by the population;
Projects on replacing traditional types of fuel in the budgetary sphere;
Stimulation of production and use of bioethanol, biogas.
However, this list is not exhaustive and may be supplemented.

Olha Buslavets called on people's deputies to join the discussion and cooperation. Parliamentarians who took part in the online meeting generally agreed with the idea of creating the Decarbonization Fund and offered to continue working on this initiative, taking into account the proposals of the Verkhovna Rada Committee on Environmental Policy and Nature Management regarding environmental protection measures.

The Public Council under the Ministry of Energy of Ukraine was elected