Ukraine's Verkhovna Rada (Parliament) adopted a draft of the Electricity Market Law N°4493, which will change the existing legislation and set up a more competitive and liberalized market. The draft law was previously approved by the Council of Ministers in March 2016.
The act ends the "single buyer" model which Ukraine implemented in 1996 and its objective is to set up a liberalized market by July 2019. As of today, only generating units with an installed capacity lower than 20 MW can sell electricity directly to the final consumers. State-owned nuclear and hydro production companies sell power with regulated prices. With the new law, consumers will be able to choose their electric supplier and the market will be opened up for newcomers.
The new law will also ensure equal conditions for all players in the markets and enhance the integration of the Ukrainian electricity market within the EU.
The law is linked with Ukraine's international commitments and in particular with the EU-Ukraine Association Agreement.
Interested in Global Energy Research?
Enerdata's premium online information service provides up-to-date market reports on 110+ countries. The reports include valuable market data and analysis as well as a daily newsfeed, curated by our energy analysts, on the oil, gas, coal and power markets.
This user-friendly tool gives you the essentials about the domestic markets of your concern, including market structure, organisation, actors, projects and business perspectives.