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electricity will be UAH5.5 per 1 kWh at a gas price of UAH26,000 per 1 cubic meter without VAT.
The fourth method is the import of electricity from Belarus. “If we can get 400 MW, this will give us about 1.5bn kWh for the entire autumn-winter period", said the CEO of DTEK.
Ukraine enters this winter with a coal shortage because the government keeps prices low to subsidize Centrenergo, the state-owned power producer, DTEK CEO Maksym Tymchenko told reporters yesterday. State-owned mines are forced to sell coal to Centrenergo at $82.50 a ton, when the market price is $134 a ton, said Tymchenko, who runs Ukraine’s largest private power producer. “Why is there no coal in the public sector?” he asked. “The answer is simple: there is no money in the public sector for coal production. Why not? Because we have an artificial price for coal.”
Due to low prices, production from state-owned mines dropped by 40% over the summer, he said. DTEK closed two mines, but raised overall production. Without enough domestic coal, DTEK has signed contracts to import coal from Colombia, Poland and the US for $160 to $250 per ton, including shipping. Over the next four months, DTEK is to receive 1 million tons of imported coal.Looking ahead, he predicted: “Ukraine will become a net importer of coal in the energy sector for at least the next 3-5 years.”
"None of DTEK's TPPs will be shut down due to a lack of coal,” Tymchenko promised, referring to the coal-fired plants. He coal supplies are guaranteed for all DTEK power plants, but Luhansk, which is cut off from rail access to Ukraine. He said he hopes supplies of Russian coal by rail will be restored before stock run out, one month from now.
9.1.10 Renewables sector news
Renewable energy production is up 10% yoy for the first 10 months of this year, according to the website of the Guaranteed Buyer, or ‘GarPok.’ By producing 10,023 MWh, renewable producers accounted for 9% of Ukraine’s total energy production during the January-October period. Of the renewable pie, the breakdown is: solar - 60.4%; wind farms 29.8%; biogas / biomass – 7.6%; and hydro 2.3%. Since January, GarPok says it has paid $1.84 billion in ‘green’ tariff energy bills.
The diversion of $149 million of ‘green’ bond money to nuclear power producer Energoatom now seems inevitable after a Kyiv Appeals Court ruling in November. The court ordered unpaid nuclear power bills to be paid by GarPok, the Ukrenergo unit that mediates between buyers and sellers. The money would largely come from the undisbursed portion of an $825 million ‘green’ Eurobond raised earlier this month by Ukrenergo. All money was paid out to wind and solar producers, but for $112 million owed DTEK Renewables, owned by Renat Akhmetov, an oligarch out of favor with President Zelenskiy.
The European Bank for Reconstruction and Development (EBRD) will finance decarbonization projects in Ukraine. The Minister of Energy, Herman Galushchenko, met with the leadership of the EBRD, announced the Ministry of Energy press service. During the meeting, parties discussed the
68 UKRAINE Country Report December 2021 www.intellinews.com