Naftogaz-Ukraine forced to engage in retail as regional gas companies are not reporting full gas reception – CEO

Source : 112 Ukraine

The company’s chief executive officer has said that he had not yet seen the documents that would confirm the completed transfer of gas for the suggested purposes.
20:32, 9 August 2018

Open source

NAK Naftogaz-Ukraine now has to operate in the retail business, as regional gas companies are not supplying credible data on the transfer of gas for its intended purposes. The CEO of the Ukrainian corporation Andriy Kobolev in an interview for the Yevropeyska Pravda, reports

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While answering a question on the end goal of Naftogaz's claims against regional suppliers, Kobolev said: "We want to get rid of parasites that are stealing money and gas belonging to the state-owned company. If there are other private companies that are able to pay 100% for the gas transferred, we would happily enter into agreements with them under rules of transparency. Our entrance into the retail segment is a necessary action for our company. There are no civilized businesses in this market, while those firms that are present cannot operate and do not pay us duly”.

According to him, the regional subsidiaries explain their outstanding debt to Naftogaz with tariffs and other reasons, but the evaluation by NAK reveals it is not entirely true.

“In their debt to Naftogaz issue, the portion of ineffective management makes up 50%, while the remaining 50% is made up by stolen gas and money. I have numerous facts that indirectly point to the fact that not all of the gas that we transfer to them for it to be delivered to households actually gets to households.

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Andriy Kobolev claims that as of now he has not seen the report that reveals that all the gas delivered to regional gas companies is allocated for purposes that it was designated for.

“I mean a quality audit that would allow to make sure that if you transfer some 100 m2 to a regional gas company, 50 m2 goes to households, 30 m2 goes to the district heating company and 20% goes to local businesses. And it really is divided that way. When I hear something to the effect of those businesses are fully regulated, it is not true. Nobody knows how much gas and whom they give it to.

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