Participation of ASEU at the NUERC meeting

On October 6, 2022, Ukrainian National Energy and Utilities Regulatory Commission  (NEURC) meeting were held with the participation of Vladyslav Sokolovsky – Chairman of the Board of ASEU, Serhii Kravchuk – ASEU Board member, Olga Savchenko – Head of the Committee on Legal Support of the ASEU Solar Energy Industry, Iryna Skazko – ASEU Deputy Director.

General and painful issues in the field of alternative energy sources were discussed at the meeting, as well as preparations for the autumn-winter period in Ukraine. The regulator noted that the energy sector is moving into a “manual” management mode and the situation with payments will depend on further successes of the Armed Forces of Ukraine, as well as on the possibility of further export activities.

The regulator emphasized the importance of the RES industry and its important role in the energy system of Ukraine. The situation of the energy system as a whole was discussed separately.

The participants raised the following questions:

• regarding the decision of the Supreme Court of Ukraine, which annulled the decision of the NEURC regarding the formula for calculating the share of compensation for the cost of settlement of imbalances. The regulator, Ukrenergo, and SE “Guaranteed Buyer” reported that they will decide after receiving an explanation of the court’s ruling and the method of its implementation, as further actions will depend precisely on the court’s clarifications. There were speculations that new formula may be developed, which should suit producers, Ukrenergo and SE “Guaranteed Buyer”.

• regarding compensation for damages caused by military actions, replacement of equipment, and settlement of legal consequences that such replacements may entail. The regulator expressed the position that it will support legislative initiatives that will be proposed by specialized associations. Please note that ASEU is the initiator of such changes and is already preparing relevant developments.

• regarding the development of amendments to the Resolution of NEURC “On the approval of legal acts regulating the activities of the guaranteed buyer and the purchase of electricity at the “green” tariff and at the auction price” №. 641 of April 26, 2019. The regulator noted that they plan to adopt such changes by mid-November 2022.

• The head of the NEURC appealed to specialized associations to support the proposal to include in the budget legislation the requirement to finance the green tariff by 20% at the expense of state funds, justifying that such funds will reduce the burden on Ukrenergo. ASEU is analyzing this initiative to prevent financial risks for RES producers.

The question of canceling the “green tariff” was not raised, however, the Regulator emphasized the search and development of trade strategies that would enable manufacturers to be competitive in the market.

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