The National Commission for State Regulation of Energy and Public Utilities (NKREKU) plans to reintroduce fines for energy companies for failing to comply with commands for rapid changes in electricity output volumes. This decision aims to ensure power system balancing under unstable conditions, although experts warn of potential negative consequences.
Regulator's plan: reintroduce fines as early as this week
As reported by Vladimir Omelchenko, Director of Energy Programs at the Razumkov Centre, the regulator intends to consider the relevant initiative as early as this Tuesday, July 28. The discussion concerns fines for failing to comply with commands to reduce load and provide ancillary services.
Omelchenko emphasized that the current draft requires further refinement. According to him, the existing version contains several shortcomings that could harm the energy sector.
Expert: fines could undermine investor confidence
"The initiative to reintroduce fines in its proposed form could harm the energy sector," Omelchenko stated. He explained that given the constant shelling of energy facilities and grid infrastructure, it is impossible to guarantee compliance with dispatcher commands due to reasons beyond the control of market participants.
In the expert's opinion, introducing fines will create losses for enterprises built during the war, including those resulting from "Ukrenergo" auctions. Changing the rules of the game without prior notice could seriously undermine investor confidence.
Alternative: inspections instead of automatic fines
Omelchenko acknowledged that abuses are indeed possible in the market and must be addressed. However, he believes that targeted inspections followed by the revocation of compliance certificates for violators would be a more effective solution than automatic fines for all market participants.
"It is advisable to postpone the consideration of the draft amendments to Resolution No. 332 and conduct consultations with the market and experts. This will allow finding an effective balance: stopping abuses without harming the operations of energy companies," the expert noted.
Winter preparation fund: 40 billion UAH already allocated
Previously, the Cabinet of Ministers of Ukraine determined the mechanism for using an additional 40 billion hryvnias allocated for preparing the country for winter. Specifically, 67.8 billion UAH from the state budget have already been directed towards implementing comprehensive plans, and 9.6 billion UAH have been provided from local budgets.
