State policy for stimulating investment in the development of renewable energy under wartime and European integration changes

Abstract

The purpose of the study is to substantiate the theoretical foundations of state policy for stimulating investment in renewable energy development under the simultaneous intensification of wartime and European integration changes, as well as to form a system of instruments capable of combining the need for rapid restoration of energy infrastructure with the long-term investment attractiveness of the sector. The object of the study is the processes of state influence on the formation, attraction and allocation of investment resources for the development of renewable energy sources. It is substantiated that under wartime threats investment incentives cannot be reduced to individual tax, tariff or credit preferences, since an investor's decision increasingly depends on a combination of security, financial, infrastructural, legal and market preconditions. It is determined that European integration changes simultaneously increase requirements for transparency of state support, guarantees of energy origin, market competition, technical compatibility and predictability of rules. State policy for stimulating investment is proposed to be considered as an interconnected system of strategic and target-oriented, financial and economic, guarantee and insurance, infrastructural, organizational, informational and control components. It is proved that the most important result of state influence should be a reduction of the aggregate risk of an investment project to a level at which private capital is ready to participate in the creation of new generating capacities, energy storage facilities, local grids and related infrastructure. Changes in the external environment that determine investor behavior are systematized, and areas of state response to physical threats, instability of cash flows, higher cost of capital, technological changes, integration with the European Union market and the need for decentralization of energy supply are formed. In our view, the effectiveness of state policy should be assessed through its ability to build confidence in long-term rules, reduce non-productive risks and direct investment toward projects that simultaneously strengthen energy resilience, market competition and the economy's capacity to adapt to further changes.