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Ericsson Ukraine Volodymyr Yereschenko has said. "The number of 4G users relative to the share of all other technologies will increase approximately twice in a year," he told Interfax-Ukraine in Kyiv on Thursday after the presentation of the June Ericsson Mobility Report. The low rate of coverage of users of the 4G network Yereschenko explained, in particular, by limited coverage and the lack of a sufficient number of subscriber terminals. "4G was started to be built only recently, about a year ago. They installed equipment in big cities. At the same time, there is no coverage in small cities, villages, on the highways – this is the first reason. The second is that not all subscriber terminals support 4G. Many terminals are connected to operators' networks without 4G support, as well as some users still have not replaced old SIM cards with eSIM (with 4G support). As practice shows, the terminal is changed once in several years," he said.
9.1.9 Utilities sector news
The regulatory base for the July 1 introduction of a new model of Ukraine’s electricity market is ready, Ukraine’s power sector regulator announced on June 24. This base includes price caps that will enable the state regulator to control electricity prices until April 2020, according to the rules of the new market. The new rules will enable power producers to sell electricity under bilateral contracts with consumers, on the day-ahead market, the intraday market and the balancing market. This new model will replace the existing one-buyer model, in which all the produced electricity is purchased by a single state-controlled operator at mostly predetermined prices.
Ukrainian President Volodymyr Zelenskiy delayed reforms to the power market by one year after he registered with parliament on June 10 a draft of legislative amendments to the law “On the Electric Energy Market,” according to the parliament’s website. The text of the bill is not available at the moment, but Presidential Representative to the Cabinet of Ministers Andriy Gerus commented in his blog the same day that the bill foresees the postponement of launching of a new electricity market by one year.
The original law, adopted in April 2017, calls for launching a new electricity market on July 1, 2019. The new market should replace the existing wholesale electricity market, in which all producers are selling electricity to a single state- controlled buyer at mostly predetermined prices. The new market allows most producers to sell electricity under bilateral contracts with consumers, as well as on a day-ahead market, an intraday market and a balancing market. Over the last couple of months, various international organizations and state bodies called for postponing the new market, referring to lack of readiness of its legal framework and infrastructure for a July 1 launch.
Alexander Paraschiy of Concorde Capital said in a note: “As we highlighted before, the launch of the new electricity market is beneficial for DTEK Energy (DTEKUA), which will face no regulatory limits to pricing its produced electricity. The postponement of the market launch for about three months, as suggested by Ukraine’s Western partners, is also advantageous for DTEK Energy, since such a delay would allow for addressing all the regulatory inefficiencies, at the same causing no harm to the current pricing approach of electricity for DTEK Energy (the so-called Rotterdam Plus approach).”
Ukrainian president Volodymyr Zelenskiy initiates power pricing revision at the cost of DTEK. Zelenskiy will submit to parliament a bill to change the
66 UKRAINE Country Report July 2019 www.intellinews.com