Ukraine’s Energy Future: Decentralized Renewable Energy as the Only Secure Path Forward

Berlin/Kyiv, September 12th, 2025 – The Energy Watch Group (EWG), together with the International Energy Transition (IET), has submitted a joint statement to the ongoing Ukrainian legislative consultation process on renewable energy. The organizations strongly recommend a paradigm shift away from centralized fossil and nuclear generation towards millions of decentralized renewable energy systems.

Centralized Infrastructure Under Attack
Russia’s targeted destruction of Ukraine’s energy infrastructure has exposed the vulnerability of centralized energy systems. More than half of Ukraine’s power generation and over 80% of its heat supply were destroyed between 2022 and 2024. Rebuilding large-scale power plants would take many years and remain highly insecure in times of war.

Decentralized Renewables as the Solution
The only sustainable path forward lies in decentralized generation, relying on millions of small-scale facilities across the country.

  • Solar power and on-site wind turbines should become the backbone of Ukraine’s electricity system.
  • In the winter months, bioenergy – abundantly available in Ukraine’s vast agricultural sector – can provide reliable heat and power through combined heat and power (CHP) plants.
  • A rapid switch from diesel to plant-based oils will be critical to displace fossil fuels in agriculture, machinery, and decentralized generators.

Energy Sharing for Security and Growth
To ensure that investments in local energy supply are secure, EWG and IET stress the importance of energy sharing – collective self-consumption schemes that allow households, businesses, and communities to share renewable electricity. EU directives already provide the legal framework, and Ukraine’s current legislative reforms present the opportunity to align with these provisions. This would not only increase resilience but also bring Ukraine closer to EU energy law compliance.

Policy Recommendation to the Ukrainian Government
The joint statement recommends:

  • Full legal rights for self-consumption and energy sharing for all consumer groups,
  • Abolishing unnecessary licensing barriers,
  • Establishing fair remuneration for excess electricity fed into the grid,
  • Enabling the integration of battery storage and bioenergy solutions.

This approach is fully in line with EU directives (RED II, Electricity Market Directive, and 2024 reforms) and reflects the objectives of the current Ukrainian legislative amendments.

Broad Support for the Initiative
The submission from EWG and IET has already received support from a growing number of Ukrainian associations and stakeholders, underlining the urgency of accelerating the renewable energy transition even during wartime.

Hans-Josef Fell, President of the Energy Watch Group, emphasized:
“Centralized energy systems have proven to be highly vulnerable in wartime. Ukraine now has the historic chance to rebuild its energy system on decentralized, renewable foundations – ensuring true energy security, economic growth, and EU integration.”

Read the full statement here in English and Ukrainian.

1.5 oC global warming have been passed – and 2.0 oC are in sight
In 2023 global warming was 1.5 °C. In 2024 that rose to 1.6 °C – without being an „El Niño“ year. And global CO emis­sions increased in 2024 instead of decreasing. In other words, the Paris Agreement’s objective of limiting global warming to 1.5 °C has not been met. It is „high noon“ for staying below the 2.0 °C threshold.

Turbocharging 100% Renewables – Measures and practicality
In order to stay below 2.0 °C, the transition to 100% renewable energy needs to be turbocharged with the measures shown below. While that may sound like wishful thin­king in the current political environment – the examples in italics show: it is within reach.

  • Complete stop of investment in fossil fuel drilling, distribution and use. In 2024, global investment in renewable energy was 2 trillion USD, and only 1 trillion USD in fossil energy. In other words, we are already 2/3 of the way there.
  • Make investment in renewable energy even more profitable and easy – and increase capacity decisively. Since 2000, CO₂ emissions have fallen by 30% in the EU und 20% in the USA. If we increase the rate of growth in wind and PV, achieved in 2023 vs. 2022, by only 50%, there will be enough renewable energy in 12 years to meet the world’s pri­mary ener­gy demand with transition to electric vehicles and heat pump heating. Also, current global PV manufacturing capacity is almost 3-times the current capacity growth: the production capacity for a decisive rapid ramp-up is there.

For broad and sustained political and social support for that course of action, the transformation needs to be:

  • profitable and easy for many. That creates broad support and mobilizes the required, substantial amounts of private capital for the transition. Where necessary, subsidies and other governments payments provide additional protection from net income losses in the transition for the nations’ lower income groups. The new “Roadmap CO-neutral Germany” of the EWG shows: even in Germany, that has limited solar radiation and only moderate wind resources, 100% renewable energy is achievable by 2035 – profitably for citizens and businesses, without disadvantages for low income households and without increasing public debt. In addition, GNP increases by 100 bn USD per year or 2.5%. We are certain, the similar attractive and fact-based pathways to 100% renewable energy can be developed and implemented for most G20 countries.
  • accompanied with mandates for continuous transition to renewable energy and technologies. The EU and UK have mandated no few fossil fuel vehicles by 2035. In Germany, fossil fuel heating above a given age needs to be exchanged with renewable heating.
  • in cooperation with China, both the main CO₂ emitter by far and a leader in clean tech know-how and production capacity. On the other hand, the G20 need to maintain and aggressively grow their own clean tech industrial base for resilience and acceleration of renewable capacity growth. The IRA in the United State and the recent decisions of the EU to aim for 40% and more EU content in clean tech procurement show ways to expand domestic clean tech production capacities. The nuclear disarmament initiated in the 1990s goes to show that even global rivals can cooperate to achieve common goals.

Even if we do not contain global warming at or below 2.0 °C: every avoided ton of CO₂ emission, each 0.1 °C of global warming that is avoided reduces human suffering and economic cost, strengthens social cohesion and national security.

In 2025, the Energy Watch Group will contribute to disseminating and forming these measures internationally and in Germany.

How can the climate movement contribute?
The slow progress at the COP and other international climate conferences, the lower political-media relevance of reaching net zero vs. immediate economic objectives in the EU and Trump’s presidency have clearly disillusioned the climate movement. Now, it is upon the climate movement and its NGOs to

  • also address the value of climate action for economic and other self-interests – and show that the supposed conflict of climate vs. economics is often not based in fact. Where there is a conflict, it should be acknowledged – and solved if possible.
  • Engage with voters, journalists and decision makers outside of the “climate bubble”. Also having economic and other self-interest reasons for climate action will help convincing members of these groups.

In 2025, the Energy Watch Group will support the climate movement in doing that.

Cooling the earth back down by 1.0 oC
To cool the earth back down by 1.0 °C, today’s 425 ppm CO₂-concentration in the atmosphere needs to be lowered to at least 350 ppm. That means removing at least 600 billion (giga-tons) of CO₂ from the atmosphere. The main currently available means for removing CO₂ from the atmosphere are:

  • using technology via Direct Air Capture and Storage (DACS)
  • land based photosynthesis, e.g. reactivating marshland, increasing humus content in agricultural soils, reforestation inland or in coastal mangrove swamps and increasing plant ground cover in arid areas.
  • Maritime photosynthesis, mainly cultivating and harvesting macro algae.

In 2025, the Energy Watch Group will research these options in more depth.

Photocredit: Christel at Pixabay.

Energy Watch Group Publishes Roadmap for a CO₂-Neutral Germany

Berlin, 09.01.2025 – A new study by the Energy Watch Group shows that there is a path to a CO₂-neutral Germany that provides financial relief for both businesses and citizens.

Key findings:

  • The costs for electricity, switching to CO₂-neutral heating, and vehicles decrease by €50 billion per year for citizens and businesses.
  • Citizens’ incomes and corporate value creation increase by €110 billion per year, boosting GDP by 2.5%.
  • Public finances are relieved by €8 billion per year while maintaining compliance with the debt brake.
  • Germany’s international competitiveness in the rapidly growing Clean Tech sector is strengthened.

The roadmap’s contents can be used to anchor strong climate protection measures in the upcoming coalition agreement, as they address key concerns of the CDU/CSU (profitability, adherence to the debt brake), the SPD (social balance, job retention), and the Greens (a reliable path to CO₂ neutrality).

Download the press release (in German)

Download the fully study (in German)