Issue №: 8 (36)
The magazine deals with the problems of the agricultural sector of the economy in the context of integration and processes of globalization. Attention is paid to the issues of development of digital economy, rural territories, technologies of enterprise management and organization of accounting, problems of legal support of economic processes, market tendencies of development of various branches of economy. Particular attention is paid to green tourism as a promising segment of the national economy.
ECONOMIC AND ORGANIZATIONAL PRECONDITIONS AND ASPECTS OF PRODUCTION OF LIQUID BIOFUELS IN UKRAINE
KLYMCHUK Oleksandr – Doctor of Economic Sciences, Associate Professor,
Associate Professor of the Department of Administrative Management and Alternative
Energy Sources, Vinnytsia National Agrarian University (21008, Vinnytsia, 3, Soniachna
Str, е-mail: klymchukov@ukr.net).
The article deals with the processes of global distribution and consumption of fossil energy resources and their impact on the economic and energy system of an energy dependent country and the ecological situation. The current economic, energy and environmental situation requires a rapid transition to renewable energy resources, characterized by a single rational direction for the sustainable existence, further development and provision of humanity with energy, as well as overcoming different levels of energy-based conflict. The basic idea of sustainable development reflects the complexity of the relationship between human ecological activity and the environment, which is a closed ecological system that cannot constantly grow and has exhaustive material resources. At the same time, the needs of economic activity in the external ecosystem for the renewal of raw materials at the inlet and the disposal of waste at the outlet should be limited to the levels of environmental safety. Due to the existence of significant environmental factors and the significant scarcity of global renewable energy reserves, there is a certain limit to the development of energy and its closely related economy. We believe that one of the priority areas for ensuring energy security and reducing the negative impact of anthropogenic activity on the environment is the production of liquid biofuels and their further use in all areas of the national economy, in particular in the agro-industrial complex.
The current trends in the need for production and consumption of renewable energy resources, in particular, liquid biofuels, are highlighted. Due to the persistent scarcity of petroleum fuels in energy-dependent countries, demand for their own production and consumption of their substitutes (biodiesel and bioethanol) - products of processed biomass of crops - is increasing. The organizational and technological characteristic of the main bioenergetic oilseeds, which can be used as raw material for industrial production of biodiesel, as well as sugar- and starch-containing crops serving as raw material for the production of bioethanol, is presented. Given the cheapening of raw materials and increasing the level of profitability, the production of biofuels, in particular biodiesel, in Ukraine should be considered as a viable alternative to traditional fuel and energy resources. The necessity to improve the formation of the price mechanism for biofuels in the direction of strategic transition to the pricing system, which could timely influence the regulation of the energy market and counterbalance the fluctuations of prices for vegetable raw materials during the marketing year, was proved. The calculations show that the production of the finished bioenergy product for consumption is characterized by greater economic efficiency than the mass exportation of raw materials, in particular the production of biodiesel from rapeseed and bioethanol – from corn grain.
It should be noted that the current level of crop productivity of bioenergy in Ukraine is still low than the optimal indicators of productivity potential, efficiency of use and market compatibility. The main reasons for this are the lack of resource support for the cultivation technologies used and the decrease in the level of production intensity. A rational system of organization and management of agricultural production involves the efficient use of land, which will provide expanded, competitive and continuous production in the conditions of development of market relations. The presence of different forms of ownership in the agricultural sector of the economy requires the organization of the production process to obtain maximum levels of productivity of agricultural biomass at optimal labor costs in order to form the raw material base. Timely and high-quality implementation of all technological operations in the cultivation of bioenergy crops guarantees the receipt of programmed performance indicators of bio-raw materials for each soil and climatic zone of Ukraine.
An important condition for the formation of a strategy of effective business management is to reduce the cost of production of plant products. For agricultural enterprises, the main elements of strategic activity should be the production of agricultural products, its storage with minimal losses, high-tech processing and sale. The above elements should maximize profit maximization with a high level of profitability and rational use of all production resources. With the increase in crop production, the price for it decreases, but ultimately the value of income increases. Thanks to this, agricultural enterprises are given an incentive to scale up production, streamline the manufacturing process, implement the latest science and best practices, and develop biofuels. Bioenergy conversion of organic raw materials with the production of biofuels enables to provide partial energy autonomy of agro-industrial production. The processes of intensification of industrial production and use of liquid biofuels in different industries and regions, at individual enterprises and organizations should take place in parallel with the promotion and promotion of their economic, energy, environmental and social benefits. Growing biomass energy crops should be a positive factor in rural economic development: generating additional income from the production of liquid biofuels, creating new jobs at processing heat and power facilities, changing the utility system, raising social standards, and so on. The process of decentralized generation and use of biomass energy is particularly promising for rural areas far removed from the urban grid.
It has been established that the actual production of biofuels (biodiesel and bioethanol) results in lower energy prices, high-quality feeds for the development of the livestock sector and the leveling of the price disparity in agricultural, industrial and energy products existing in our country. Available in the country's agro-industrial complex, the powerful potential of the scientific-technical and industrial base for the cultivation of biomass of agricultural crops provides the biofuel industry with high economic efficiency, which gives grounds to distinguish it into a separate competitive energy sector. Also, the use of biomass energy crops allows to solve energy problems of regions and natural-economic areas of the country independently at the local level.
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About the journal
С1 Economics and International Economic Relations (by specialization)
D1 Accounting and Taxation
D2 Finance, Banking, Insurance and Stock Market
D3 Management
D4 Public Management and Administration
D5 Marketing
D7 Trade
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Founded in 1997 under the name ”Bulletin of Vinnytsia State Agricultural Institute”. In 2010-2014 it was published under the name “Collection of Scientific Papers of Vinnytsia National Agrarian University”. Since 2015 “Economics, finance, management: current issues of science and practical activity” (Certificate of State Registration of Mass Media No. 21154-10954 PR dated 12/31/2014).
