Experts urge for reforms in the energy and environment sectors of Ukraine

The European reforms in gas sector of Ukraine are implemented by 37%, in the area of electricity and nuclear safety –by 28%, in the energy efficiency and social issues – only by 19%, in the environment and renewable energy sector – by 33%, in the oil sector – by 26%, and in business climate – by 56%. Such were the results of the assessment of the progress of reforms presented by the experts of the coalition “Energy reforms” at a press briefing in the Ukrainian Crisis Media Center. The conclusions are based on the results of regular monitoring of Ukraine’s implementation of the Association Agreement with the EU in the areas of energy and environment.

In the gas sector, according to the experts, there is a serious slowdown in reforms. The decision to increase gas price for households creates risk of non-adjustment with tariffs for heat, which will increase debts of heat supply companies. “The government should be aware that such decision needs a transitional period in order to make necessary adjustments with heating tariffs. Also, we understand, that the decision will not become an incentive for some alternative supplies to the population, who may not have time to contract gas for the winter, “said Roman Nitsovych, project manager of the NGO DiXi Group.

In the electricity sector, there are some positive tendencies, as the majority of “oblenergos” have started unbundling (except of “Cherkasyoblenergo”). Among the most problematic issues now is the introduction of the electricity market in Luhansk and Donetsk regions with special regulation regime. “There is a desire to create a special expert commission to address this issue […] or to solve it at the governmental level. As the political situation is not resolved yet, we have some risks for introduction of the market there, “said Svitlana Golikova, the expert of Energy Reforms coalition, chairman of TransEnergoConsulting.

In the area of energy efficiency, experts stress the gap between the available financing and consumption demand for the” warm loans “program. According to the primary estimations, the demand reaches 2 billion UAH, while the government plans to spend only 400 million in 2018. Moreover, The Energy Community Secretariat opened a case against Ukraine in the field of energy efficiency. “So far, there are no details, but we know that this is due to the late and incomplete implementation of the 27th Directive “, – said Denis Nazarenko, expert of DiXi Group.

The event was organised by the NGO “DIXI GROUP”, Civil Network “OPORA”, All-Ukrainian NGO “Energy Association of Ukraine”, Resource & Analysis Center “Society and Environment”, Association “European-Ukrainian Energy Agency” within the project “Enhancing impact of civil society in monitoring and policy dialogue on energy and related sectors’ reforms in line with the Association Agreement implementation”.

The project funded by the EU within the EU4Energy Initiative and co-funded by the International Renaissance Foundation. It aims at strengthening the role of civil society in advocating reforms in the energy and related sectors.

The expert assessment is based on regular monitoring of Ukraine’s implementation of the Association Agreement in the fields of energy and environment. Members of six working groups are responsible for the expertise to unveil the latest information on conducted reforms and reinforce it by analytical products.

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