Alternative Energy – a set of advanced production methods of energy transfer and utilization, which are common, are not as widespread as traditional, but provide interest because of the profitability of their use at low risk of causing harm to the environment.The most popular types of alternative energy sources in the world are:- Wind power (popular among Western European countries, the USA, India, China, which receive up to 25% of electricity from this source);-biotoplivo – fuel from biological raw material (liquid, solid, gas);- Solar energy – the use of solar radiation;- Hydropower – water flow energy into electrical energy;- Geothermal energy – production of electricity through the use of the earth’s interior energy.The use of alternative sources of energy and is very promising due to the low cost of operation and environmental cleanliness.According to the European Commission in 2020 in the European Union will be created 2.8 million jobs in renewable energy. (Http://www.renewableenergyworld.com/rea/news/article/2009/06/european-renewables-target -can-create-2-8-million-jobs? cmpid = rss).Ukraine has favorable conditions for the development of alternative energy sources and has the ability to develop this direction.Wind energy, rivers, solar energy, geothermal energy, energy of the environment with the use of heat pumps, solar energy – the main directions of use of alternative energy sources in our country.As of 2014 in Ukraine are located and 120 renewable energy facilities (including 78 hydropower plants, 13 wind farms, 27 solar station, 2 bio-energy facility).State Agency on Energy Efficiency and Energy Saving of Ukraine fundamental factor in the development of the industry believes competent state policy and the adoption of legislative acts, which would contribute to the active development of alternative energy. According to the requirements of Directive №2009 /28/ EC on the promotion of the use of energy from alternative sources was developed by the National Action Plan on renewable energy up to 2020 (http://zakon2.rada.gov.ua/laws/show/902-2014-%D1 80%). The main aspects of this plan is to reduce traditional energy resources, achieving up to 2020 the share of energy produced from alternative energy sources to the level of 11%.Ukraine has significant technical capacity for the production of alternative energy, which makes up about 50% of total energy consumption in Ukraine.Fuel from biological raw material, which is ranked 4th in the world in terms of production, is the most promising area of alternative energy in our country, due to the high potential of the agricultural sector and the favorable climatic conditions. Agricultural crops and wood waste – biomass, which have the greatest energy potential in Ukraine.With sufficient scientific – technical potential in the field of technical design and development of hydraulic structures Ukraine can provide energy to all regions of Western Ukraine with the help of hydro power plants is almost 100%.The southern and south-eastern regions of Ukraine are the most attractive for the development of wind energy.To attract investments in the sector of alternative energy to 06.2014, the Ukrainian government adopted a series of laws:- Decree №293 «On stimulating the replacement of natural gas in the heating sector.” This law provides for compensation in the production of thermal energy for the needs of the population of all types of energy;- Instruction №1014-r “On approval of a plan of short- and medium-term measures to reduce consumption of natural gas for the period of 2017″;- Decree №453 «On stimulating the replacement of natural gas in the production of thermal energy for institutions and organizations that are funded from state and local budgets.” The main advantage of this law is the introduction of investment-attractive tariffs for thermal energy production.For an even more efficient development of the industry will be made to the draft laws, which relate to: simplify licensing procedures that are necessary for the implementation of projects related to the replacement of gas; expanding the resource base for the production of thermal energy from biofuels; simplify the procedure of land acquisition for the construction of facilities for the production of thermal energy from renewable energy sources and alternative fuels; increasing the investment attractiveness of the energy production from biomass and biological gas.ction of facilities for the production of thermal energy from renewable energy sources and alternative fuels; increasing the investment attractiveness of the energy production from biomass and biological gas.