National Interests: Priorities and Security

Lack of investment as a strategic threat to Russia's energy security

Vol. 14, Iss. 7, JULY 2018

Received: 1 March 2018

Received in revised form: 25 March 2018

Accepted: 18 April 2018

Available online: 16 July 2018

Subject Heading: ENERGY SECURITY

JEL Classification: Q43, Q47

Pages: 1305–1318

Loktionov V.I. Melentiev Energy Systems Institute of Siberian Branch of Russian Academy of Sciences, Irkutsk, Russian Federation

Mazurova O.V. Melentiev Energy Systems Institute of Siberian Branch of Russian Academy of Sciences, Irkutsk, Russian Federation

Importance Insufficient investment resources entail negative implications for the national economy. Scarce finance of the national power engineering is one of such issues. It may hinder the pace of energy capacity renewal and cause a lack of energy, which will undermine the national energy security.
Objectives The research is an attempt to develop the theory and practice of evaluating strategic threats to Russia’s energy security.
Methods The research relies upon general scientific methods of analysis and synthesis, formalized methods for modeling the operation of energy systems. As part of the research, we applied the macroeconomic model designed by the Melentiev Energy Systems Institute, which describes dynamic relationship among twenty five sectors of the economy.
Results We unravel the mechanism reflecting the way a lack of investment influences the national energy security, quantify macroeconomic implications caused by a 5–15 percent decrease in investment. We also analyzed consequences of energy supply cuts due to insufficient investment in the energy and fuel sector.
Conclusions and Relevance A lack of investment poses a serious strategic threat to the national energy security. Therefore, to prevent such insufficiency of energy resources at the national level, it is necessary to undertake measures for encouraging investment in the economy and power engineering by improving the investment climate.

Keywords: energy, adaptivity, analysis, energy security


  1. Energeticheskaya bezopasnost' Rossii: problemy i puti resheniya [Energy security in Russia: Problems and solutions]. Novosibirsk, SO RAN Publ., 2011, 198 p.
  2. Kruyt B., Van Vuuren D.P., De Vries H.J.M., Groenenber H. Indicators for Energy Security. Energy Policy, 2009, vol. 37, iss. 6, pp. 2166–2181. URL: Link
  3. Sovacool B.K. The Methodological Challenges of Creating a Comprehensive Energy Security Index. Energy Policy, 2012, vol. 48, pp. 835–840. URL: Link
  4. Winzer Ch. Conceptualizing Energy Security. Energy Policy, 2012, vol. 46, pp 36–48. URL: Link
  5. Jansen J.C., Seebregts A.J. Long-term Energy Services Security: What Is It and How Can It Be Measured and Valued? Energy Policy, 2010, vol. 38, iss. 2, pp. 1654–1664. URL: Link
  6. Silvast A. Energy, Economics, and Performativity: Reviewing Theoretical Advances in Social Studies of Markets and Energy. Energy Research & Social Science, 2017, vol. 34, pp. 4–12. URL: Link
  7. Korhonen J.M. Overcoming Scarcities Through Innovation: What Do Technologists Do When Faced with Constraints? Ecological Economics, 2018, vol. 145, pp. 115–125. URL: Link
  8. Uri N.D. A Reconsideration of Effect of Energy Scarcity on Economic Growth. Energy, 1995, vol. 20, iss. 1, pp. 1–12. URL: Link00053-6
  9. Nersesian R.L. Energy Economics: Markets, History and Policy. New York, Routledge, 2016, 628 p.
  10. Melent'ev L.A. Sistemnye issledovaniya v energetike. Elementy teorii, napravleniya razvitiya [System research in power engineering. Theoretical aspects and development trends]. Moscow, Nauka Publ., 1979, 415 p.
  11. Helm D. (Ed.) The New Energy Paradigm. New York, Oxford University Press, 2007, 518 p.
  12. Gal'perova E.V., Kononov Yu.D., Mazurova O.V. Metody i modeli prognoznykh issledovanii vzaimosvyazei energetiki i ekonomiki [Methods and models of predictive studies into relationship of energy and economy]. Novosibirsk, Nauka Publ., 2009, 178 p.
  13. Ershova N. Investment Climate in Russia and Challenges for Foreign Business: The Case of Japanese Companies. Journal of Eurasian Studies, 2017, vol. 8, iss. 2, pp. 151–160. URL: Link
  14. Berezinskaya O. Investment Drought in the Russian Economy: Structural Characteristics and Turnaround Perspectives. Russian Journal of Economics, 2017, vol. 3, iss. 1, pp. 71–82. URL: Link
  15. Hughes L. The Effects of Event Occurrence and Duration on Resilience and Adaptation in Energy Systems. Energy, 2015, vol. 84, pp. 443–454. URL: Link
  16. Yanling Lin, Zhaohong Bie. Study on the Resilience of the Integrated Energy System. Energy Procedia, 2016, vol. 103, pp. 171–176. URL: Link
  17. Molyneaux L., Wagner L., Froome C., Foster J. Resilience and Electricity Systems: A Comparative Analysis. Energy Policy, 2012, vol. 47, pp. 188–201. URL: Link
  18. Roege P.E., Collier Z.A., Mancillas J. et al. Metrics for Energy Resilience. Energy Policy, 2014, vol. 72, pp. 249–256. URL: Link
  19. Willis H.H., Loa K. Measuring the Resilience of Energy Distribution Systems. Santa Monica, RAND Corporation, 2015, 38 p.

View all articles of issue


ISSN 2311-875X (Online)
ISSN 2073-2872 (Print)

Journal current issue

Vol. 14, Iss. 10
October 2018