The system of indicators for alternative energy development in the context of the green economy

Abstract

The use of alternative energy is beneficial and is in high demand all over the world. However, implementation of projects associated with alternative energy or the so-called 'green' projects in emerging economies remains rather low. The goal of this paper is to analyse and identify determinants that influence development of alternative energy in Ukraine. Specifically, the impact of the country's economic growth on the use of alternative energy is analysed. Granger test was applied to prove that power supply in the country does not change dynamics of alternative energy utilisation. Influence of globalisation and international cooperation on the development of alternative energy is also reviewed. The paper shows that both significantly influence the development of the global and local energy markets to provide incentives for global and regional environmental projects. The paper also investigates the need for appropriate infrastructure to support 'green' projects. It is suggested to classify infrastructure providers to support alternative power generation into three groups: 1) financial and credit institutions; 2) technical and technological businesses; 3) information technology (IT) and consulting companies. The paper discusses the existence and role of these groups in Ukraine.