Ivan Balytskyi, Head of the Legal Committee of the Solar Energy Association of Ukraine (SEAU), gave a brief interview to EnergyReform, the energy-focused project of the Interfax-Ukraine news agency.<\/i><\/b><\/p>\n
The discussion focused on one of the most pressing issues facing renewable energy producers: <\/span>the settlement of imbalances for the disputed period from January 15, 2021, to September 8, 2022<\/b>.<\/span><\/p>\n Ivan Balytskyi noted that a decision by the Grand Chamber of the Supreme Court is expected in September. It is expected to provide a final determination as to whether the imbalance calculation formula approved by NEURC Resolution No. 46 could be applied during the period when it was formally in force, despite the fact that it was subsequently found by a court to be inconsistent with the law.<\/span><\/p>\n Under this formula, renewable energy producers within the balancing group of the <\/span>Guaranteed Buyer<\/b> were held responsible not only for their own imbalances but also for the enterprise’s trading activities. In September 2022, the Supreme Court ruled that imposing such responsibility on producers was contrary to the law.<\/span><\/p>\n At the same time, different approaches to applying the old formula have emerged in court practice. According to the Head of the SEAU Legal Committee, this is precisely why the decision of the Grand Chamber of the Supreme Court will be of significant importance for the further settlement of these disputes.<\/span><\/p>\n SEAU has been working on the imbalance issue since 2023.<\/b> The Association has developed legal approaches to protecting producers, which were subsequently used in disputes with the Guaranteed Buyer concerning the recalculation of imbalances.<\/span><\/p>\n At the same time, Ivan Balytskyi stressed that even a potentially favourable decision by the Grand Chamber for renewable energy producers would not constitute a universal solution for all market participants. In particular, the recovery of funds by producers who have already made payments under the old formula would require separate legal action.<\/span><\/p>\n \u201cWithout a systemic and comprehensive solution, without legislative intervention, this Gordian knot cannot be untangled,\u201d<\/b> the expert emphasised.<\/span><\/p><\/blockquote>\n This is why SEAU, together with other renewable energy associations, has developed proposals for a legislative solution to the problem and submitted them to <\/span>NPC Ukrenergo, the NEURC, and the Verkhovna Rada Committee on Energy, Housing and Utilities Services<\/b>. According to Ivan Balytskyi, these proposals have also been supported by the <\/span>Energy Community Secretariat<\/b>.<\/span><\/p>\n The Association has proposed <\/span>two settlement models<\/b> that could be acceptable to the market, including to producers who have already made payments under settlement statements prepared using the old formula.<\/span><\/p>\n The scale of the problem is substantial: it involves <\/span>billions of hryvnias<\/b>, while for some producers, during the period from February to May 2022, the volume of imbalances amounted to approximately <\/span>70% of their electricity generation<\/b>.<\/span><\/p>\n Within the framework of its Legal Committee’s work, SEAU continues to consistently raise the issue of the necessary legislative changes and work towards finding a fair and comprehensive solution for renewable energy market participants.<\/b><\/p>\n