Radical reform of the energy sector in Ukraine

Radical reform of the energy sector in Ukraine

The Government approved the Concept for the implementation of state policy in the field of heat supply.
Its aims to reduce the consumption of gas and other energy resources for the production of thermal energy, financial recovery of the industry and investment attraction, as well as the introduction of a transparent, efficient system of settlements between the heat energy market participants.
This was reported by the Ministry of Regional Development, Construction and Housing and Communal Services of Ukraine.
The concept has a short, medium and long-term action plan and includes the following main areas:
• raising the technological level of heat supply systems;
• increase in the share of alternative energy sources in heat energy production;
• ensuring the development of heat supply systems based on the optimal combination of different heat supply types within the settlement (centralized, autonomous, individual);
• introduction of incentive tariff formation mechanisms;
• procedures simplification for implementing investment projects;
• transition to monetary reimbursement of privileges and subsidies for the enterprises, which are granted to the population.
According to the Concept, the share of alternative energy sources in the production of heat energy should increase to 40 % in 2035. One of the directions is to reduce heat consumption in the country to 60–20 kWh per square meter per year. It is planned to reduce heat energy losses in production up to 8 % and transportation up to 10 %.

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