Russian War Against Ukraine: Energy Dimension | DiXi Group Alert – weekly review 25.07.2023
July 17 – 23
Summary
— Russian intelligence explores the state of Ukraine’s energy infrastructure and prepares new strikes – Defence Intelligence of the Ministry of Defense.
— On July 14, the Cabinet of Ministers determined that the Regulator (NEURC) activity is subjected to coordination by the Cabinet of Ministers directly and through the CoM members. This legislative shift will have a negative impact on the institutional independence of the energy Regulator.
— Gas Supply Company Naftogaz LLC announced the expiration of its functions and responsibilities as a supplier of last resort since July 22. The Law “On the Natural Gas Market” establishes that the supplier of last resort is to be assigned by the Cabinet of Ministers for a three-year period based on the contest results.
— The government approved a resolution on the experimental project of rebuilding the Kakhovka HPP, with a timeline of 2 years. According to Prime Minister Denys Shmyhal, the first stage will involve designing all engineering structures and preparing the necessary basis for restoration. The second phase will begin after the de-occupation of the territory and will include construction work.
— The occupiers plan to shift power unit 4 of the ZNPP from a “cold shutdown” to a “hot shutdown” state, and power unit 5 from a “hot” to a “cold” state. The Ukrainian personnel of the plant refuses to execute the criminal order of the plant’s illegitimate management. During the last week, due to the constant physical and psychological pressure of the occupiers, about 30 licensed personnel of the ZNPP left the city of Energodar and moved to the government-controlled territory. The IAEA mission at the ZNPP did not get access to the roofs of power units 3 and 4.
— Government officials reported that 11.7 billion cubic meters of gas are stored in gas storage facilities, and it is planned to reach 14.7 billion cubic meters by the beginning of the next heating period.
— After a 39 days break, on July 18, Ukraine resumed exporting electricity. Deliveries were made within two days to Moldova with an even schedule of 67 MW. The exports were held during the hours of electricity surplus in the power system: at night – due to low consumption
and during the day – due to the intensive production of PV installations. However, such exporting is occasional while the volumes are insignificant – 0.8 thousand MWh.
— Three more gas distribution operators – Sumygaz, Vinnytsiagaz, and Dnipropetrovskgaz – which were previously part of the Regional Gas Company, joined the Naftogaz group.
