Theoretical foundations and managerial potential of the program-target method in the energy sector

Abstract

The purpose of the study is to identify the theoretical foundations and reveal the managerial potential of the program-target method (PTM) as a tool for strategic management of the energy sector's development in the context of economic transformation and energy transition. The article analyzes the essential characteristics of PTM, particularly its ability to ensure comprehensive, systemic, and goal-oriented planning, which is especially relevant for complex sectors such as energy. The methodological basis of the research includes general scientific methods of analysis and synthesis, systems analysis, as well as elements of content analysis of regulatory documents and strategic programs in the energy sector. Particular attention is given to a critical review of domestic and international experiences in applying the program-target approach to energy system development planning. The research results demonstrate that PTM has significant potential to improve the efficiency of public administration in the energy sector by integrating strategic vision, resource provision, interagency coordination, and indicative control over the implementation of tasks. Key challenges in implementing PTM in the Ukrainian energy sector have been identified, including fragmented goal-setting, lack of long-term budget planning, imperfect mechanisms for evaluating program effectiveness, and a low level of adaptability to external challenges. The conclusions emphasize the need to improve the regulatory and institutional framework for program-target management, and to adapt PTM tools to the current conditions of energy market functioning and global climate challenges. It is recommended to establish a coherent system of strategic energy management using PTM as a core mechanism to ensure transparency, effectiveness, accountability, and long-term stability of sectoral development in Ukraine.