TY - JOUR

T1 - Tariff Financing of Biogas Projects at Wastewater Treatment Plants: A Comparative Study of Russian Federation

AU - Kiselev, Andrey

AU - Magaril, Elena

N1 - Effective environmental and energy management is crucial in the wastewater treatment sector. This article examines the implementation of biogas projects, which use anaerobic digestion to convert sewage sludge into energy and biofertilizer, in the Russian Federation. These projects, while common in the European Union, are rare in Russia due to financial constraints. Currently, they are primarily funded by utility operator investment programs, supported by tariffs for wastewater services. It is estimated that funding these projects through a five-year investment program would result in an annual tariff increase of 6-20% in the first two years. Additional financial mechanisms, such as 'green' credits and government interest rate compensation, have minimal impact on tariff growth. Any increase, however, can be burdensome for the population, and regional administrations may hesitate to implement these projects due to tariff concerns. Regardless, these projects are essential for Russia's transition to a circular economy.

PY - 2023/8/29

Y1 - 2023/8/29

N2 - Effective environmental and energy management is crucial in the wastewater treatment sector. This article examines the implementation of biogas projects, which use anaerobic digestion to convert sewage sludge into energy and biofertilizer, in the Russian Federation. These projects, while common in the European Union, are rare in Russia due to financial constraints. Currently, they are primarily funded by utility operator investment programs, supported by tariffs for wastewater services. It is estimated that funding these projects through a five-year investment program would result in an annual tariff increase of 6-20% in the first two years. Additional financial mechanisms, such as 'green' credits and government interest rate compensation, have minimal impact on tariff growth. Any increase, however, can be burdensome for the population, and regional administrations may hesitate to implement these projects due to tariff concerns. Regardless, these projects are essential for Russia's transition to a circular economy.

AB - Effective environmental and energy management is crucial in the wastewater treatment sector. This article examines the implementation of biogas projects, which use anaerobic digestion to convert sewage sludge into energy and biofertilizer, in the Russian Federation. These projects, while common in the European Union, are rare in Russia due to financial constraints. Currently, they are primarily funded by utility operator investment programs, supported by tariffs for wastewater services. It is estimated that funding these projects through a five-year investment program would result in an annual tariff increase of 6-20% in the first two years. Additional financial mechanisms, such as 'green' credits and government interest rate compensation, have minimal impact on tariff growth. Any increase, however, can be burdensome for the population, and regional administrations may hesitate to implement these projects due to tariff concerns. Regardless, these projects are essential for Russia's transition to a circular economy.

UR - http://www.scopus.com/inward/record.url?partnerID=8YFLogxK&scp=85173538546

U2 - 10.18280/ijsdp.180812

DO - 10.18280/ijsdp.180812

M3 - Article

VL - 18

SP - 2411

EP - 2419

JO - International Journal of Sustainable Development and Planning

JF - International Journal of Sustainable Development and Planning

SN - 1743-7601

IS - 8

ER -