Vladyslav Sokolovskyi: New Green Tariff Rules Must Prevent Abuse and Protect Bona Fide Investors

Vladyslav Sokolovskyi, Chairman of the Board of the Solar Energy Association of Ukraine (SEAU), commented to the online publication EnergyReform on the new rules governing the application of the Green Tariff for owners of residential solar power systems.

The changes in question, introduced by the National Energy and Utilities Regulatory Commission of Ukraine (NEURC) to the Retail Electricity Market Rules and the Procedure for the Sale and Metering of Electricity, clarify the operating rules for private households with solar power systems. The new provisions establish the time periods during which electricity generated by residential solar PV systems is eligible for payment under the Green Tariff.

According to Vladyslav Sokolovskyi, the main rationale behind these changes is to prevent potential abuse and ensure accurate metering of electricity genuinely generated by solar installations.

“If the purpose of these rules is to combat manipulation, we support that. However, it is very important that their practical implementation does not create problems for owners of residential solar PV systems who operate in full compliance with the law,” said the Chairman of the Board of SEAU.

Under the new rules, NEURC has established specific time periods during which electricity generated by residential solar PV systems is paid for under the Green Tariff:

  • from 04:00 to 23:00 – from 1 April to 31 October;
  • from 06:00 to 21:00 – from 1 November to 31 March.

This approach is intended to provide a clearer distinction between electricity directly generated by a solar PV system and electricity originating from other sources.

At the same time, electricity supplied outside the established time periods is not lost to its owner.

“Importantly, electricity supplied outside the time periods established for the Green Tariff is not lost to the owner – it should be paid for at the hourly prices of the Day-Ahead Market,” Vladyslav Sokolovskyi stressed.

According to the Chairman of the Board of SEAU, the Association represents, among others, a significant number of residential solar PV system owners. Therefore, it is a matter of principle for SEAU that changes to the rules governing this segment remain balanced and do not worsen the position of bona fide investors.

Owners of residential solar power systems invested in their own generation facilities based on the rules and guarantees established by the state. Therefore, as Vladyslav Sokolovskyi emphasised, it is important to ensure that the state’s commitments are upheld.

“Our position is simple: abuse must be eliminated, but bona fide investors should not lose their legitimate rights or face additional unjustified restrictions as a result,” he emphasised.

Vladyslav Sokolovskyi also drew attention to another NEURC requirement: the volume of electricity taken into account for settlements may not exceed the generating capacity specified in the contract for each hour of the generating facility’s operation.

This approach is also aimed at ensuring accurate metering and preventing possible manipulation.

At the same time, it is important for SEAU that the practical application of the new rules is clear to market participants and does not create additional difficulties for owners of residential solar PV systems operating within the framework of applicable legislation.

Today, residential solar power systems are already an important component of the development of Ukraine’s distributed and decentralised energy sector.

During the war, their role has become even more significant. On-site solar generation enables households to partially meet their own electricity needs and reduce their reliance on the centralised grid. When combined with battery energy storage systems, it can further strengthen energy resilience.

“Therefore, state policy should not only regulate this segment but also create incentives for the further development of distributed generation and BESS,” Vladyslav Sokolovskyi stressed.

SEAU also emphasises that the development of residential generation should be supported by clear, stable and predictable rules for investors.

Read more in the EnergyReform article.

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