DEVELOPMENT OF BIOENERGY AS A PRIORITY DIRECTION OF GRAIN MARKET ACTIVATION IN UKRAINE
DOI:
https://doi.org/10.32070/ec.v1i49.110Keywords:
bioenergetics, grain market, biomass, bioenergy potential, energy crops, biofuels, priority areaAbstract
The article examines the role and importance of bioenergetics as a priority area of the grain market activation, outlines its state and problems, identifies approaches of its development considering current challenges and demands.
The need to develop bioenergetics is associated with the rapid growth of the production of grain and grain-legume crops, which generates additional challenges and problems. It is worth noting among these: intensification of competition in global markets; reduction of the world prices and, consequently, the decrease in export revenues; lack of capacity and warehouses for reliable storage and high-quality processing of grain and their obsolescence; low logistical capacity of domestic ports and railway transport; limited distribution channels; increasing unemployment in rural areas due to the application of modern innovative agricultural technologies with high productivity; low capacity of processing plants; deformation of traditional production chains.
This research clarifies the role of bioenergetics as a priority area for activation of the grain market, outlines its state and problems, and identifies the approaches to its development considering current challenges and demands.
The greatest threats to the implementation of plans concerning the development of biofuel technologies in Ukraine are the following: 1) steady tendency towards a decrease in energy prices on the world market is the risk of the unprofitability of biofuel technologies; 2) unstable tax legislation poses financial investment risks; 3) non-market prices for competing fuels for the population (in particular, electricity and gas) results in the lack of population’s incentive to turn to alternative energy sources; 4) lack of sufficient capacity to store the required volumes of guaranteed sources of raw materials; 5) shortcomings in effective mechanisms to stimulate renewable energy, etc.
Elimination and overcoming of the above-mentioned barriers will intensify biomass involvement in country’s energy balance and contribute significantly to strengthening Ukraine’s energy independence. Thus, in the near future, it is necessary to solve all the problems that hinder bioenergy development, which intensifies the progress of the grain market and directly affects the energy independence of our country.
Downloads
References
Abasian, F., Rönnqvist, M., & Ouhimmou, M. (2019). Forest bioenergy network design under market uncertainty. Energy, 188, 116038. https://doi.org/10.1016/j.energy.2019.116038
Abt, R. C., Abt, K. L., Cubbage, F. W., & Henderson, J. D. (2010). Effect of policy-based bioenergy demand on southern timber markets: A case study of North Carolina. Biomass and Bioenergy, 34(12), 1679-1686. https://doi.org/10.1016/j.biombioe.2010.05.007
Ahmadi, L., Kannangara, M., & Bensebaa, F. (2020). Cost-effectiveness of small scale biomass supply chain and bioenergy production systems in carbon credit markets: A life cycle perspective. Sustainable Energy Technologies and Assessments, 37, 100627. https://doi.org/10.1016/j.seta.2019.100627
Alsaleh, M., Abdul-Rahim, A. S., & Mohd-Shahwahid, H. O. (2017). An empirical and forecasting analysis of the bioenergy market in the EU28 region: Evidence from a panel data simultaneous equation model. Renewable and Sustainable Energy Reviews, 80, 1123-1137. https://doi.org/10.1016/j.rser.2017.05.167
Anca-Couce, A., Hochenauer, C., & Scharler, R. (2021). Bioenergy technologies, uses, market and future trends with Austria as a case study. Renewable and Sustainable Energy Reviews, 135, 110237. https://doi.org/10.1016/j.rser.2020.110237
Choi, S.-W., Sohngen, B., & Alig, R. (2011). An assessment of the influence of bioenergy and marketed land amenity values on land uses in the Midwestern US. Ecological Economics, 70(4), 713-720. https://doi.org/10.1016/j.ecolecon.2010.11.005
Chuang, Y.-S., Huang, C.-Y., Lay, C.-H., Chen, C.-C., Sen, B., & Lin, C.-Y. (2012). Fermentative bioenergy production from distillers grains using mixed microflora. International Journal of Hydrogen Energy, 37(20), 15547-15555. https://doi.org/10.1016/j.ijhydene.2012.01.035
Czyżewski, B., Matuszczak, A., & Miśkiewicz, R. (2019). Public Goods Versus the Farm Price-Cost Squeeze: Shaping the Sustainability of the EU’s Common Agricultural Policy. Technological and Economic Development of Economy, 25(1), 82-102. https://doi.org/10.3846/tede.2019.7449
Dalevska, N., Khobta, V., Kwilinski, A., & Kravchenko, S. (2019). A model for estimating social and economic indicators of sustainable development. Entrepreneurship and Sustainability Issues, 6(4), 1839-1860. https://doi.org/10.9770/jesi.2019.6.4(21)
Dorning, M. A., Smith, J. W., Shoemaker, D. A., & Meentemeyer, R. K. (2015). Changing decisions in a changing landscape: How might forest owners in an urbanizing region respond to emerging bioenergy markets? Land Use Policy, 49, 1-10. https://doi.org/10.1016/j.landusepol.2015.06.020
Drozdz, W., Miskiewicz, R., Pokrzywniak, J., & Elzanowski, F. (2019). Urban Electromobility in the Context of Industry 4.0. Torun: Wydawnictwo Adam Marszalek.
Dwivedi, P., Khanna, M., Sharma, A., & Susaeta, A. (2016). Efficacy of carbon and bioenergy markets in mitigating carbon emissions on reforested lands: A case study from Southern United States. Forest Policy and Economics, 67, 1-9. https://doi.org/10.1016/j.forpol.2016.03.002
Dzwigol, H., & Dzwigol-Barosz, M. (2020). Sustainable Development of the Company on the Basis of Expert Assessment of the Investment Strategy. Academy of Strategic Management Journal, 19(5), 1-7.
Dźwigoł, H. (2015). Business Management. Oxford: Alpha Science International Ltd.
Dźwigoł, H. (2020). Interim Management as a New Approach to the Company Management. Review of Business and Economics Studies, 8(1), 20-26. https://doi.org/10.26794/2308-944X-2020-8-1-20-26
Energy Technology Perspectives 2014. Harnessing Electricity’s Potential. – OECD/IEA: International Energy Agency, 2014. 380 p.
FAOSTAT. Crops. URL: http://www.fao.org/faostat/en/#data/QC]
Galik, C. S. (2015). Exploring the determinants of emerging bioenergy market participation. Renewable and Sustainable Energy Reviews, 47, 107-116. https://doi.org/10.1016/j.rser.2015.03.005
Gómez-Marín, N., & Bridgwater, A. V. (2021). Mapping bioenergy stakeholders: A systematic and scientometric review of capabilities and expertise in bioenergy research in the United Kingdom. Renewable and Sustainable Energy Reviews, 137, 110496. https://doi.org/10.1016/j.rser.2020.110496
Haidutskyi, P. I., Sabluk, P. T., & Lupenko, Y. O. et al. (2005). Ahrarna reforma v Ukraini: monohrafiia [Agrarian Reform in Ukraine: Monograph]. Kyiv: NSC “IAE”, 424 p.
Heletukha, H. H., Zheliezna, T. A., Matvieiev, Y. B., Kucheruk, P. P., & Kramar, V. H. (2020). Dorozhnia karta rozvytku bioenerhetyky Ukrainy do 2050 roku [Roadmap for Bioenergy Development in Ukraine 2050]. Analitychna zapyska BAU [Analytical Note of BAU], 26, 54 p.
Heletukha, H. H., Zheliezna, T. A., Drahniev, S. V. (2019). Analiz bar’ieriv dlia vyrobnytstva enerhii z ahrobiomasy v Ukraini [Analysis of barriers to energy production from agrobiomass in Ukraine]. Analitychna zapyska BAU [Analytical Note of BAU], 21, 41 p.
Jablonski, S., Pantaleo, A., Bauen, A., Pearson, P., Panoutsou, C., & Slade, R. (2008). The potential demand for bioenergy in residential heating applications (bio-heat) in the UK based on a market segment analysis. Biomass and Bioenergy, 32(7), 635-653. https://doi.org/10.1016/j.biombioe.2007.12.013
Jåstad, E. O., Bolkesjø, T. F., Trømborg, E., & Rørstad, P. K. (2021). Integration of forest and energy sector models – New insights in the bioenergy markets. Energy Conversion and Management, 227, 113626. https://doi.org/10.1016/j.enconman.2020.113626
Jeffers, R. F., Jacobson, J. J., & Searcy, E. M. (2013). Dynamic analysis of policy drivers for bioenergy commodity markets. Energy Policy, 52, 249-263. https://doi.org/10.1016/j.enpol.2012.08.072
Jin, E., & Sutherland, J. W. (2018). An integrated sustainability model for a bioenergy system: Forest residues for electricity generation. Biomass and Bioenergy, 119, 10-21. https://doi.org/10.1016/j.biombioe.2018.09.005
Kaletnik, H. M., Klymchuk, O. V., & Mazur, V. A. (2019). Perspektyvnist ta efektyvnist vyrobnytstva biodyzelnoho palyva v Ukraini z oliinykh kultur [Prospects and efficiency of biodiesel production in Ukraine from oilseeds]. Ekonomika. Finansy. Menedzhment [Economy. Finances. Management], 5, 7-17.
Kharazishvili, Y., Kwilinski, A., Grishnova, O., & Dzwigol, H. (2020). Social Safety of Society for Developing Countries to Meet Sustainable Development Standards: Indicators, Level, Strategic Benchmarks (with Calculations Based on the Case Study of Ukraine). Sustainability, 12(21), 8953. https://doi.org/10.3390/su12218953
Lyulyov, O., Pimonenko, T., Kwilinski, A., Dzwigol, H., Dzwigol-Barosz, M., Pavlyk, V., & Barosz, P. (2021). The Impact of the Government Policy on the Energy Efficient Gap: The Evidence from Ukraine. Energies, 14(2), 373. https://doi.org/10.3390/en14020373
Miśkiewicz, R. (2018). Baza znan pro ekonomichni protsesy ta diialnist pidpryiemstv na neosvoienykh terytoriiakh [Knowledge base about economic processes and activity of enterprises in undeveloped territories] In O. Amosha, H. Dzwigol, and R. Miskiewicz (Eds.), Innovatsiine promyslove pidpryiemstvo u formuvanni staloho rozvytku [Innovative industrial enterprise in the formation of sustainable development] (pp. 44-53). Kyiv, Ukraine: Institute of Industrial Economics of the National Academy of Sciences of Ukraine. [in Ukrainian].
Miśkiewicz, R, & Wolniak, R. (2020). Practical Application of the Industry 4.0 Concept in a Steel Company. Sustainability, 12(14), 5776. https://doi.org/10.3390/su12145776
Miśkiewicz, R. (2019). Challenges Facing Management Practice in the Light of Industry 4.0: The Example of Poland. Virtual Economics, 2(2), 37-47. https://doi.org/10.34021/ve.2019.02.02(2)
Nybakk, E., & Lunnan, A. (2013). Introduction to special issue on bioenergy markets. Biomass and Bioenergy, 57, 1-3. https://doi.org/10.1016/j.biombioe.2013.04.001
Ofitsiinyi sait Bioenerhetychnoi asotsiatsii Ukrainy [Official website of the Bioenergy Association of Ukraine]. Retrieved 12.01.2021 from https://uabio.org/news/
Röder, M., Mohr, A., & Liu, Y. (2020). Sustainable bioenergy solutions to enable development in low- and middle-income countries beyond technology and energy access. Biomass and Bioenergy, 143, 105876. https://doi.org/10.1016/j.biombioe.2020.105876
Stolarski, M. J., Warmiński, K., Krzyżaniak, M., Olba–Zięty, E., & Akincza, M. (2020). Renewable and Sustainable Energy Reviews, 133, 110238. https://doi.org/10.1016/j.rser.2020.110238
Susaeta, A., Lal, P., Carter, D. R., & Alavalapati, J. (2012). Modeling nonindustrial private forest landowner behavior in face of woody bioenergy markets. Biomass and Bioenergy, 46, 419-428. https://doi.org/10.1016/j.biombioe.2012.07.018
Svanidze, M., & Götz, L. (2019). Determinants of spatial market efficiency of grain markets in Russia. Food Policy, 89, 101769. https://doi.org/10.1016/j.foodpol.2019.101769
Wu, W., Hasegawa, T., Fujimori, S., Takahashi, K., & Oshiro, K. (2020). Assessment of bioenergy potential and associated costs in Japan for the 21st century. Renewable Energy, 162, 308-321. https://doi.org/10.1016/j.renene.2020.08.015
Yadav, P., Yadav, S., Singh, D., & Giri, B. S. (2021). An analysis on generic barriers to bioenergy technologies adoption in context of rural India. Bioresource Technology Reports, 14, 100671. https://doi.org/10.1016/j.biteb.2021.100671
Zhang, S., Gilless, J. K., Stewart, W. (2014). Modeling price-driven interactions between wood bioenergy and global wood product markets. Biomass and Bioenergy, 60, 68-78. https://doi.org/10.1016/j.biombioe.2013.10.027
