---
title: "Gerus: Debts in the electricity balancing market are growing three times faster than the state repays them"
description: "Energy Committee Chairman Andriy Gerus stated that debts in the balancing electricity market are growing by 15 billion UAH, while the state allocates only 5 billion UAH to repay them. Without stopping this growth, integration into the EU energy market is impossible."
date: 2026-11-12T18:31:42.969Z
lang: en
url: https://xab.info/en/posts/gerus-balancing-market-debts-growing-rapidly
tags: [ukraine-energy, balancing-market, debt, ukrenergo, eu-integration, tariffs]
author: "Darya Fomina"
publisher: "XAB.info"
---

# Gerus: Debts in the electricity balancing market are growing three times faster than the state repays them

![Andriy Gerus speaking about the state of Ukraine's energy market in parliament](https://xab.info/media/2026/11/12/gerus-dolgi-balansiruyushchem-rynke-elektroenergii-rastut-vtriye-bystree/gerus-dolgi-balansiruyushchem-rynke-elektroenergii-rastut-vtriye-bystree-1.webp)

## Key Points

- Debts in the electricity balancing market are increasing by 15 billion UAH, while the state allocates only about 5 billion UAH for repayment
- Systemic debtors remain water utilities, state enterprises, and mines; water utility tariffs were not reviewed since 2021
- Tariff revisions permitted since the summer of 2026 have begun to improve the situation
- Resolving the non-payment problem could be a condition for the Ukraine Facility program and EU energy market integration

The head of the Verkhovna Rada Committee on Energy and Housing and Utility Services, Andriy Gerus, stated that the state’s primary task should be to stop the accumulation of new debts in the electricity balancing market. According to him, allocating billions of hryvnias to repay debts is ineffective because arrears continue to grow at an accelerating pace. "We distribute, conditionally, 5 billion hryvnias, while debts increase by 15 billion. We are pouring money in, but there is no effect. The number one question is to stop the growth," the parliamentarian emphasized in a comment to RBC-Ukraine.

### Systemic debtors and the tariff problem

Among the chronic debtors in the electricity market, Gerus listed water utilities, state-owned enterprises, and mines. In particular, tariffs for water utilities had not been reviewed since 2021, meaning the difference between actual costs and the set price effectively fell on the energy sector. According to the MP, the situation began to improve in the summer of 2026, thanks to the permission to revise tariffs. "It cannot be that the consumer takes [power] and does not pay," he noted. Gerus also pointed out that the state is looking for funds to cover debt, including through the revenues of NPC Ukrenergo, but without stopping the accumulation of new debts, these measures do not resolve the problem systemically.

### A blow to the investment climate and repair programs

The problem of debt in the balancing market is already having a direct impact on the operational activities of energy companies. As previously stated by Serhiy Kravchuk, Director of Trading and Supply at KNESS, chronic debts deprive energy companies of funds for the current and capital repair of equipment. This, in turn, threatens the industry's investment climate: potential investors see that a significant portion of revenue goes to cover others' non-payments rather than to modernizing infrastructure.

### Connection to European integration

Settling the issue of non-payments could be one of the conditions for implementing the European Ukraine Facility program for the next budget period, Gerus noted. Earlier, Olha Yevstihnieieva, head of the Ukrainian Association of Renewable Energy, also pointed out that without solving the debt problem, Ukraine would not be able to fully integrate into the European energy market. According to her, the accumulation of debt is driven not only by social circumstances but also by political interests, and unpaid debts are ultimately passed on to other electricity consumers.

### What's next

Thus, the Ukrainian authorities face the challenge not only of finding sources to finance the existing debt but of building a mechanism that prevents its further growth. The review of tariffs for systemic debtors, which began in the summer of 2026, could be a first step, but experts emphasize that without a comprehensive approach – including legislative restrictions and transparent tariff policy – the problem risks persisting for years.

## Fact-Check & Sources

- [Долги на балансирующем рынке растут в три раза быстрее, чем погашают, - Герус](https://www.rbc.ua/ukr/news/borgi-balansuyuchomu-rinku-zrostayut-utrichi-1794504416.html) - Original source: Gerus's quotes, 5/15 billion UAH figures, systemic debtors, water utility tariffs since 2021, review since summer 2026, Ukraine Facility, Yevstihnieieva's quote.
- [Долги на балансирующем рынке оставят энергетиков без средств на ремонт – KNESS](https://www.obozrevatel.com/ekonomika-glavnaya/dolgi-na-balansiruyuschem-ryinke-ostavyat-energetikov-bez-sredstv-na-remont-kness.htm) - Statement by Kravchuk (KNESS) regarding lack of funds for repairs due to debts.
- [УАВЭ: задолженности на балансирующем рынке мешают Украине интегрироваться в энергорынок ЕС](https://www.obozrevatel.com/ekonomika-glavnaya/uave-zadolzhennosti-na-balansiruyuschem-ryinke-meshayut-ukraine-integrirovatsya-v-energoryinok-es.htm) - UARE position on EU energy market integration and political reasons for debts.
- [Долги на балансирующем рынке ставят под угрозу инвестиционный климат отрасли, - эксперт](https://www.rbc.ua/ukr/news/borgi-balansuyuchomu-rinku-pozbavlyayut-energetikiv-1783007338.html) - Confirmation of the thesis regarding threats to the investment climate and resource shortages for repairs.

## FAQ

### What is the scale of debt in the electricity balancing market?

According to Andriy Gerus, debts are growing by approximately 15 billion UAH, while the state allocates about 5 billion UAH to repay them. Thus, the increase is three times the repayment volume.

### Who are the main debtors?

Systemic debtors include water utilities, state-owned enterprises, and mines. Tariffs for water utilities had not been reviewed since 2021, shifting the financial burden onto the energy sector.

### How do debts affect Ukraine's integration into the EU energy market?

Olha Yevstihnieieva of the UARE stated that without solving the debt issue, Ukraine cannot fully integrate into the European energy market. Furthermore, resolving non-payments may become a requirement of the Ukraine Facility program.

### What changes are taking place since the summer of 2026?

Since the summer of 2026, tariff revisions for systemic debtors have been permitted, which, according to Gerus, has begun to mitigate the accumulation of debt.