The IMF demands to raise tariffs in Ukraine to the European level

Our source in the OP said that in the memorandum with the Cabinet of Ministers, the IMF wrote a clause in which Ukraine is obliged to raise tariffs to the European level by 2026. Statements by Bankova's speakers that it is necessary to finance the repair of critical infrastructure are a reason to shift the emphasis in society.

Ukrainians should prepare for possible power outages not only in the summer, but also during the next winter. Such a warning is issued by the company "Ukrenergo", the operator of the energy system. According to the head of the company, Volodymyr Kudrytskyi, it will take months to even years to restore energy facilities that were attacked by Russia this spring, so a sharp increase in generation is not expected. Therefore, power outages are possible.

According to the head of Ukrenergo, these will not be full-scale shutdowns, but controlled measures aimed at preserving the integrity of the energy system.

However, it is worth preparing for the fact that electricity will cost more. Tariffs for the population are not formed on a market basis, but are set within the limits of "special duties". This mechanism, known as Public Service Obligation, is borrowed from the EU and provides subsidies through universal service providers such as electricity. Ukraine entrusted these functions to the state companies "Energoatom" and "Ukrhydroenergo", therefore the decision to increase tariffs is made by the government based on the recommendation of the NCRECP.

Deputy Minister of Energy Mykola Kolisnyk noted that the final decision on raising electricity tariffs for the population has not yet been made, and relevant calculations are ongoing. However, he emphasized that such decisions will be balanced, taking into account the capabilities of the population and the necessary costs for repair works, as well as the needs of industrial consumers.

According to the Ministry of Energy, since the beginning of the conflict, debt for electricity has increased by 40%, and there are fears that the increase in tariffs will only worsen the situation.

On the other hand, it is noted that the increase in tariffs last year made it possible to restore 3 gigawatts of capacity before the start of the heating season. However, this year the destruction is greater, and according to the estimates of the Ministry of Energy, about 8 GW of generating capacity has been lost. Therefore, there is a need for additional funds for restoration.

As the former Minister of Energy Ivan Plachkov explained, if in peacetime the country had a margin of strength of about 40%, then at the beginning of the last winter season this figure was only 5-8%. Now the reserves have decreased even more, to minus 20-30%.

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