Russian War Against Ukraine: Energy Dimension | DiXi Group Alert – weekly review
August 7 – 13
— As of August 14, 418 settlements in 7 regions were disconnected from electricity supply due to shelling. Also, damage to gas systems was reported in the Donetsk region.
— On August 10, the occupied Zaporizhzhia NPP temporarily lost external power supply from the main 750 kV power line.
— Also, due to the ZNPP Unit 4 being put into a “hot shutdown” state – in violation of the State Nuclear Regulatory Inspectorate license and Energoatom’s requirements – an incident occurred with a water leak from the first reactor circuit to the second one. Occupation management started transferring Unit 4 to the “cold shutdown” state, and Unit 6 – to the “hot shutdown” state.
— Ukraine is working with partners to increase supplies of energy equipment, which would add 2.9 GW of available capacity to the system by December – the PM Shmyhal. Namely, 1.7 GW of available capacity shall be added before the heating season starts, and 504 MW are already
availablethe – the Minister of Energy Halushchenko.
— According to the Ministry of Energy, five NPP units (4.4 GW) have been repaired, and four more (3.4 GW) are under maintenance. In addition, 24 TPP units (4.3 GW) and 32 hydroelectric units (~1.8 GW) have been repaired or are under repair. CHP capacities have been repaired by 70%, and another 30% are under repair.
— Ukrenergo has repaired main grids by almost 80%, and high-voltage substations have already been restored to the pre-war level.
— However, August is the month when power generation is limited. This is especially noticeable in the evening hours, when all available thermal and hydropower facilities have to be used to cover load.
— Under the program of exchanging incandescent lamps for LEDs, the government expanded the range of consumers who can benefit to the cultural, sports, social welfare institutions, as well as homeowners associations.
— The NEURC approved Licensing Conditions for Conducting Business Activities in the Distribution of Electricity by a Small Distribution System. As stated, it will ensure the creation of a new business model for building relations between the main consumers and system operators.
— Also, the Regulator improved the procedure for switching supplier by a non-household consumer. Inter alia, the existence of debt to the incumbent supplier can no longer be an obstacle.
— On August 9, amendments to the “investment nanny law” were adopted, expanding its scope to projects in biogas and biomethane (including liquefied or compressed) production. In this way, new facilities would be exempted from income tax for 5 years, from VAT and import duty on imports of new equipment and components, and from the payment of land tax.
— The government also aims at incentives for bioenergy. Draft laws were submitted to the Verkhovna Rada to set the environmental tax on CO2 emissions at zero level for the installations that produce such emissions as a result of burning biofuels (solid, liquid and gaseous), and to create a register of such installations.
— The Verkhovna Rada adopted in the first reading the revised draft law “On minimum stocks of oil and petroleum products” (No. 9024-d).
— Ukraine and the United States launch a joint project on energy resilience of communities – so the Vice PM Oleksandr Kubrakov. The activities will be performed in three components: using the existing infrastructure to develop small distributed generation, introducing high-efficiency cogeneration, and gradual switching to renewables.