Development of the Biofuel Market in the Ukraine

Abstract

The state and prospects of development of the liquid biofuel market in the context of rationalization of the use of the available natural resource potential of the Ukraine are considered. It is established that, in general, the balance of renewable energy sources, production and use of liquid biofuels is negligible. It is noted that for the full development of the market of liquid biofuels, it is necessary to create a strong raw material base and appropriate infrastructure to ensure the storage, processing, transportation and sale of finished products. Attention is drawn to a lack of an effective public policy system that would encourage the production and use of bioethanol and biodiesel and the feasibility of developing a financial support programme for producers of this type of biofuel to ensure greater consumer appeal over traditional fuels. It is determined that in order to meet the indicators of the National Action Plan for the production of bioethanol and biodiesel, it is necessary to increase capacity and put new processing enterprises into operation. The structure of economic model formation is suggested, which reflects the necessary solutions for the development of the liquid biofuel market, which considers its benefits, risks, product confidence and types of support.

Ukraine liquid biofuel market current state modeling

“…Taking into account the current trends and requirements imposed by the competitive environment, leading business entities should not only produce high-quality products, but also be ecologically responsible (Chaikin, 2018). Biofuel is a renewable energy source, its main advantage is environmental friendliness, and modern production methods make it possible to obtain fuel samples that have advantages over traditional products in terms of their characteristics and value (Gołębiewski et al, 2020). Additionally, the transformation of the energy systems encompasses technological, societal, cultural, economic, and environmental aspects and calls for a more important role for citizens and communities (Zabaniotou, 2018).…”