Page 58 - UKRRptDec18

9.91bn cm, from Hungary 2.835bn cm, and from Poland 1.305bn cm.
Naftogaz Ukrainy in December 2018 will reduce the price of gas supplied to industrial consumers on a prepayment basis by 17%, to UAH 11,153 per 1,000 cubic meters (including VAT). According to the company, this price is relevant for consumers who purchase gas in the amount of more than 50,000 cubic meters per month and have no debts to the company. The price for other industrial enterprises (without prepayment) will be UAH 12,180 for 1,000 cubic meters (including VAT), which is lower than the November price for them by 16.5%. As reported, in November Naftogaz retained the price for industrial consumers at the October level of UAH 13,439 for 1,000 cubic meters (VAT included) on a prepaid basis, and UAH 14,586 for 1,000 cubic meters (including VAT) without it.
None of the 10 European companies seeking a partnership role managing Ukraine’s massive pipeline system wants to actually buy or invest in the system , Naftogaz CEO Andriy Kobolyev said Monday at A7’s Ukrainian Energy Week ’18 in Kyiv. Earlier this fall, Kobolyev valued the pipeline system, known as GTS, at $14bn, implying that a foreign management partner should pay $7bn for 49%. But, Russia is building two pipelines to send gas to Europe by bypassing Ukraine. “With Nord Stream 2 and TurkStream, I cannot see any realistic wish to buy Ukraine’s GTS – maybe it will emerge later,” Kobolyev said Monday. Gazprom’s transit contract with Naftogaz expires in 13 months. After that, it is unclear how much Russian gas will continue to flow through Ukraine’s pipes.
Through September, Ukraine imported 25% less gas than during the same period last year, but ended up paying 25% more , according to analysis of data from the State Statistics Service. Over the first nine months of this year, gas has averaged $289 per 1,000 cubic meter, compared to an average price of $231 last year. With a transparent and free import market, Ukraine’s higher prices mirror higher regional gas prices. Through September of this year, Ukraine paid $2.3bn for 7.9bn cubic meters of gas. Ukraine was paying a very expensive $304.4 per 1,000 cubic meters for imported gas in September.
More than 200 km of the Nord Stream 2 – or almost 20% of the 1,200 km pipeline -- has been laid in German and Finnish waters of the Baltic , Paul Corcoran, CFO of the Nord Stream 2 operating company, told a Berlin gas conference Thursday, according to S&P Global Platts. He said the project is on track to be completed one year from now and predicted that flows will ramp up gradually in through 2022.
9.1.2 Automotive sector news
Sales of new commercial vehicles are up 13% through October, compared to the same 10 months last year, reports Ukravtoprom, the vehicle industry association. Sales hit 10,500 units – utility vehicles and small trucks. By contrast, sales of new cars were down 6% in October. This is largely because imports of high quality used cars are growing, outstripping new cars.
First time sales of imported used cars are up 90% through October , compared to the same 10 months of last year. With 83,900 cars sold, used cars account for 62% of imports sold this year, the first time that imported used
58 UKRAINE Country Report December 2018 www.intellinews.com