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Court decision on tariffs makes functioning of new market model impossible, - Ukrenergo

Earlier, the court terminated the order of National Commission on State Regulation in Energy and Utility Sector on tariffs for Ukrenergo for the second half-year
15:27, 2 July 2019

finance.bigmir.net

The decision of District Administrative Court of Kyiv on the suspension of the decision of the National Commission on State Regulation of energy and community services on tariffs for transferring and control of electrical energy of Ukrenergo national energy company makes the operation of the new market model, as the company reported.

“The decision of the District Administrative Court of Kyiv will lead to the collapse of the new model of the electric energy market. As the decisions were made to provide new algorithms of the market’s operation,” the message reads.

Related: Ukrenergo warns of risk of emergency in Ukraine’s power system due to heat

Besides, the representatives of Ukrenergo noted that earlier, the losses of electric energy in the backbone network while transportation was not considered. They were covered by the means from Energorynok state enterprise, which does not perform its activity in the new market model.

“Compensation for the electric energy producers which work under guaranteed “green tariff” were paid through Energorynok. Besides, the cost for support services rendered to generation companies of the energy system of Ukraine for provision of the necessary level of reservoirs,” the representatives of the company stated.

Related: General Prosecutor’s Office conducts searches in UkrEnergo

The representatives of Ukrenergo added that the National Commission on State Regulation in Energy and Utility Sectors included the mentioned expenses to provide the operation of the new market model and shifted responsibility from Energorynok to the system operator. Therefore, these tariffs do not influence the calculation of the price of electric energy.

It should be noted that today, the court terminated the order of the National Commission on State Regulation in Energy and Utility Sectors on tariffs for transportation and control of electric energy of Ukrenergo under the lawsuit of fluorite producer in Dnipropetrovsk region.  

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