DiXi Group Alert: the protocol on Russian gas transit fixed compromises but raised additional questions
Government of Ukraine made public the protocol signed by representatives of the EU, Ukraine and Russia as well as companies of these countries (Gas Transmission System Operator of Ukraine LLC, NJSC “Naftogaz of Ukraine”, Gazprom PJSC).The document sets out the parties’ coordinated political agreement on the conditions of Russian gas transit through Ukraine from January 1, 2020. This arrangement is to be implemented by companies that need to enter into relevant agreements.Given the dynamics of future negotiations, DiXi Group think tank considers it reasonable to make the following recommendations
Pricing in Ukraine’s retail market for petroleum products draws close attention from both consumers and public authorities. Telling facts in this sense are meetings of the President with representatives of filling station chains or the AMCU’s in-depth analysis of actions of petroleum products market participants, which the agency started in January of this year.
If implemented, the preliminary agreement of OPEC+ countries will allow to somewhat stabilize oil prices in the nearest few months, but it remains to be seen whether it will restore the balance of demand and supply in the market.
Back in 2016, the Verkhovna Rada of Ukraine passed the Environmental Impact Assessment Law. From the very beginning, the implementation of this legislative act has bumped into obstacles: the law was vetoed after an appeal by the Association of Pig Breeders of Ukraine, whose representatives believed that it would bring their industry to a standstill.
Today’s crisis in the electricity market is not just a concurrence of circumstances caused by a seasonal factor and by quarantine restrictions. These factors vividly illustrated, and stretched almost to its limits, the vulnerability of the system in which Ukraine’s electricity market functions in its present form.