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UKRAINE’S ENERGY FUTURE: A PATH TO SUSTAINABILITY OR FURTHER EPENDENCE?

The Energy Community Treaty (ECT), which Ukraine joined in February 2011, creates concrete legal framework, within which Ukraine and the other Contracting Parties implement relevant EU legislation, as to provide in harmonized manner conditions for more investments, for increased energy security and for improving the environment on the ground of competitiveness as a key economic factor.  “Achieving the objectives of the Treaty presupposes active role not only of the state institutions, which have the major responsibility for the reforms – in particular the Government and the Energy Regulatory Authority; this also demands clear understanding and respective involvement of all other key stakeholders e.g. the business community, the social partners, the non-governmental organizations, the media etc. Transparency in this aspect is crucial as at the end of the day the reforms in the energy sector influence on long lasting basis the everyday life of all citizens. And I am very glad to note that our communication with the Ukrainian government, represented by H.E. Minister Boyko, as well as with the other stakeholders, is in clear favour of such an approach”, says Slavtcho Neykov, Director of the Energy Community Secretariat.

 

European-Ukrainian Energy Agency proposes that Ukraine undertakes a series of steps to become an active player in the global energy market and stresses the importance of moving further towards transparency and international legislation standards. Energy efficiency and renewable energy markets in Ukraine are surely requiring specific support and attention. Ukraine should take an active part in the Task Force on Energy Efficiency (EETF) and Renewable Energy (RETF); develop comprehensive incentive systems for energy efficiency and renewable energy within the country (green tariffs, simplification of procedures to obtain necessary permissions for power station construction or providing a possibility to construct small plants by passing only a single registration procedure); public sector should lead by example in promotion and implementation of energy efficiency measures toward other end-use sectors. In the mid-term future, the highest standard of consumer protection and public services has to be implemented, like norms for allowing consumers to change a supplier within three weeks or norms for obliging a supplier to inform a consumer and provide an efficient procedure for processing of complaints. Eventually, as part of the Energy Community Treaty, Ukraine is supposed to separate the structures engaged into transmission and energy generation in vertically integrated enterprises. This is a necessary step for ensuring transparent energy market.

 

It is crucially important that Ukraine continues walking the way towards energy transparency and fulfils the obligations under all related international agreements independently of any internal country administration reforms or political processes. “Supporting Ukraine towards this goal is surely among key priorities for European-Ukrainian Energy Agency. We will further concentrate our effort on brining best practices to Ukraine and encouraging the efficient dialogue between civil society, business and government. It is synergetic combination to boost the market reform”, says Elena Rybak, Director of European-Ukrainian Energy Agency.

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