Moscow, Russia, 20 August, 2012
—IFC, a member of the World Bank Group, has signed an agreement to assist Russia’s Tomsk regional administration in developing renewable energy projects, promoting investment to the sector, and cutting energy costs.
The IFC Russia Renewable Energy Program will help the Tomsk regional government to analyze the region’s renewable energy potential, pinpoint technology gaps, and identify investment opportunities to replace diesel energy generation with small hydro or hybrid sources such as wind-diesel and wind-solar energy. Transitioning to hybrid energy generation or small hydro can help the region lower energy costs significantly.
“Increasing energy generation from renewable sources is of high strategic importance to Tomsk region,” said Sergei Zhvachkin, Tomsk Oblast Governor. “The regional budget subsidizes over one hundred diesel generation plants in our region. Transitioning to renewable energy sources such as wind, solar, geothermal and biomass will help us to lower energy tariffs, cut subsidy costs, and attract investment.”
Russia is the fourth-largest emitter of greenhouse gases in the world. Its energy intensity is among the highest globally, and its existing generation assets are nearing the end of their technical lifetimes. The Russian government has set a target of 4.5 percent for renewable energy generation by 2020, up from less than 1 percent now. If this goal is realized, it could create a $20 billion market for renewable energy in Russia.
“Renewable energy is a cost-effective alternative to fossil fuels in many regions of Russia, and IFC can help the regions play a role in the development of a national renewable energy market,” said Tomasz Telma, IFC Director for Europe and Central Asia. “Russian regions working to make an effective transition to renewable energy sources can also help reduce global greenhouse emissions.”
Under the agreement, IFC will also help Tomsk authorities to explore bio-energy potential and develop a legislative framework supporting investment into renewable energy.
The IFC Russia Renewable Energy Program, supported with funds from the Global Environment Facility, promotes the development of renewable energy through a combination of investment and advisory services. The program places a special importance on partnerships with Russia’s regions.
IFC, a member of the World Bank Group, is the largest global development institution focused exclusively on the private sector. We help developing countries achieve sustainable growth by financing investment, mobilizing capital in international financial markets, and providing advisory services to businesses and governments. In FY12, our investments reached an all-time high of more than $20 billion, leveraging the power of the private sector to create jobs, spark innovation, and tackle the world’s most pressing development challenges. . For more information, visit
About the Global Environment Facility