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National energy system unbalanced over past two years - expert

Energy misbalance sends uncertainty signals to energy market.

National energy system unbalanced over past two years - expert
Vitaliy Butenko
Photo: Photo: Max Levin

The energy market of Ukraine needs to be reformed in order to achieve energy security, director for business operations in DTEK Energo Vitaliy Butenko told the VI National Expert Forum on Wednesday, 12 October.

"To achieve energy security, we must carry out reforms in key the areas. Firstly, in the short term perspective, it is necessary to balance the energy system to ensure reliable and stable operation of all its components. Over the past two years it has been increasingly imbalanced," Butenko said.

"While the situation with gas is more or less clear, it is not the case with coal mining, because we get mixed messages in the horizon of 6-12 months: we need coal, we don't need it, it's not enough coal, it's too much coal. We need to stock up coal, this is a strategic resource, like matches in case of war."

"We also need a well-planned, technically sound power distribution between different types of generation. It is necessary to adopt market pricing for energy resources. In times of crisis and high geopolitical tensions, the uncertainty of these issues immediately sends vibrations down the whole system," urged Butenko.

He also pointed out that, historically, the power system was balanced for 12 months, where each player knew his place and could do the planning. "The last two years, such a document, although formally issued, but not being executed," said the representative of DTEK Energo.

In the medium-term perspective, said Vitaliy Butenko, the market needs reform, a reform of the regulatory and legislative parts.

The National Expert Forum by Gorshenin Institute is an international communication platform, bringing together the leading Ukrainian and European experts, politicians, businessmen, members of diplomatic missions and non-governmental organizations and the media to discuss the most important issues in the political and economic life of Ukraine.

The theme of this forum - "Key Issues of the Year".