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.”






