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The Impact of Europe's Green Pivot on Russian-European Cooperation in Energy

29 September 2021
Влияние европейского «зеленого» курса на российско-европейское сотрудничество в области энергетики

The Impact of Europe's Green Pivot on Russian-European Cooperation in Energy will be the subject of a business programme session of the Russian Energy Week International Forum to be held at the Manezh Exhibition Hall in Moscow on 13–15 October 2021. REW 2021 is organized by the Ministry of Energy of the Russian Federation, the Roscongress Foundation and the Moscow City Government.

The European green pivot is not just a new direction for EU climate policy but a radical economic shift that will have far-reaching consequences for its main trading partners, including Russia. Ambitious targets to reduce greenhouse gas emissions, promote alternative energy production and consumption, move towards a circular economy, and other measures are designed to help EU countries successfully transition to a post-industrial economy, reduce dependence on imported raw materials, occupy new technological niches and mitigate the human impact on nature and the climate. The EU's drive towards carbon neutrality by 2050 marks a paradigm shift in EU-Russia cooperation, including in the energy sector, which was rooted mainly in Russia's significant role in EU energy security and the substantial contribution of European investors to the development of the Russian fuel and energy complex.

Russia, as the fourth-largest emitter of carbon dioxide, but with enormous potential for the development of renewable/carbon-neutral energy sources and significant reserves of ecosystem absorption capacity, has much to offer to international partners in this respect, both in terms of contributing to the overall efforts to combat climate change and in terms of developing new sub-sectors of the economy. Creating an enabling environment for investment, innovation, finding new areas for technological cooperation and harmonizing national carbon regulatory systems are preferable to restrictive measures and would bring benefits to all parties.

"The Ministry of Economic Development of Russia has prepared a draft strategy for the country's low-carbon development up to 2050. The government's priority is to ensure the competitiveness and sustainable economic growth of the Russian Federation in the context of the global energy transition," said Ilya Torosov, Deputy Minister of Economic Development of the Russian Federation.

For European companies, Russia remains an attractive investment opportunity given its low production costs. A concerted effort can help, on the one hand, to reduce the carbon footprint of European companies in Russia and, on the other hand, move Russia closer to a greener economy in line with global trends.

Participants of the expert session will discuss the trajectory of energy transformation in Russia and Europe before 2030, the challenges and risks facing the Russian energy sector under the current energy policy, what financial resources are available to businesses to implement decarbonization projects, and what successful examples of energy companies adapting to the new conditions can be a positive signal to other industry players.