Over the past two years, an EU-financed twinning project offered support to the National Commission for State Energy and Public Utilities Regulation (NEURC) of Ukraine in the process of electricity market reform, according the EU Neighbours portal, which is part of the OPEN Neighbourhood Programme.
The EU project, which concluded on 15 January 2018, aimed to assist with the implementation of the Law of Ukraine on the Electricity Market, adopted in 2017, ensure access of market participants to electricity networks, and guarantee electricity supply to consumers and consumer protection.
EU4Energy covers all EU support to improve energy supply, security and connectivity, as well as to promote energy efficiency and the use of renewables in the Eastern Partner countries (Armenia, Azerbaijan, Belarus, Georgia, the Republic of Moldova and Ukraine). It does this by financing projects and programmes that help to reform energy markets and to reduce national energy dependence and consumption. Over the long term, this makes energy supply more reliable, transparent and affordable, thus reducing energy poverty and energy bills for both citizens and the private sector.
A few words about reforming Ukraine’s energy sector
According to an analytical article published by Carnegie Europe, Ukraine has intensified its energy reform efforts, partly due to the country’s accession to the Energy Community in 2011. Nonetheless, the reforms remain unfinished.
The authors of the article underline that renewable energy sources (RES) are likely to be the fastest growing source of power in Ukraine over the coming years, as the country will need to comply with EU directives, and that new projects are receiving fairly generous subsidies. Ukraine has undertaken to ensure that, by 2020, the share of RES in overall energy consumption will be at least 11 per cent.
The main conclusion of the authors is that Ukraine has significant work left to do in order to secure its energy future, its economy, and its national security. The article was developed as part of Carnegie’s Reforming Ukraine project and is supported in part by grants from the Centre for East European and International Studies (Zentrum für Osteuropa- und internationale Studien, ZOiS) and the Open Society Foundations.