30.04.2024
Russian War Against Ukraine: Energy Dimension | DiXi Group Alert – weekly review
April 22 – 28
- On April 27, the russian federation carried out another massive shelling of energy facilities in the Dnipropetrovsk, Ivano–Frankivsk, and Lviv regions. 4 TPPs of DTEK (equipment was seriously damaged) and gas infrastructure facilities of the Naftogaz Group were attacked.
- The Center for Countering Disinformation called ‘unreliable’ the infographic on the state of the capacity of TPPs and CHPs, which was disseminated allegedly on behalf of the Ministry of Energy of Ukraine.
- The deficit in the Ukrainian power system, caused by enemy attacks, was covered by imports from all available directions (68.3 GWh) and emergency support amounting to 1–3% of daily electricity consumption.
- As a result of trading, the monthly Base BCM index for May was formed at the level of 3,304.0 UAH/MWh (+24.1% compared to April), the Base DAM index increased to 4,207.4 UAH/MWh (+18.1% WoW).
- Naftogaz CEO Oleksii Chernyshov said the company is ready to buy domestically produced biomethane and resell it on foreign markets. He also reported a 12% YoY increase in gas production by Ukrhazvydobuvannya in 1Q 2024.
- The IAEA experts continue to hear the work of the occupiers’ artillery at different distances from the Zaporizhzhya NPP site.
- Ukraine will rapidly deploy a network of mini–CHP to ensure a necessary safety margin by the start of the next heating season – Prime Minister Denys Shmygal.
- The construction of level II protection at 22 facilities of Ukrenergo has been completed or is in the final stages – Oleksandr Kubrakov, Minister of Communities, Territories, and Infrastructure of Ukraine.
- The Ministry of Energy is working on developing financial instruments to enable communities, local governments, and utilities to install additional generation to cover their own energy needs – Deputy Minister Mykola Kolisnyk
- The Cabinet of Ministers has extended for one month the imposing of public service obligations on market participants, which sets a fixed electricity price for household consumers at the level of 2.64 UAH/kWh. Naftogaz of Ukraine extended the “Fixed” tariff plan for another year, the price of natural gas for household consumers will remain unchanged at 7.96 UAH/cm.
- The NEURC decided to start an investigation into abuses in wholesale energy markets based on the notification by Operator GTS of Ukraine LLC. Also, the Regulator approved changes to the gas transmission and distribution system codes, optimizing nominations/renominations submission for interconnectors’ exit/entry points by TSO customers.
- The Regulator has published draft amendments regarding the application of netting (offsetting of counterclaims of the same type in the course of settlements between market participants). The NEURC also plans to adjust price caps on DAM, IDM, and balancing market.
- The Verkhovna Rada adopted draft law #10215 introducing the system of control over oil, gas condensate and solvents circulation.
- Ukraine and Denmark have signed a Memorandum of Understanding on long–term cooperation and the reconstruction of Ukraine, providing for the allocation of EUR 380 million to support critical infrastructure facilities using renewables.
- The UK has allocated almost GBP 150 million to strengthen the Ukrainian energy sector.
