The draft State Budget for 2027 allocates nearly UAH 100bn to support the energy sector. The priority is to protect and restore energy facilities after Russian attacks and to develop distributed gas generation.
This was reported by Ukraine’s First Deputy Prime Minister and Minister of Energy, Denys Shmyhal.
According to him, UAH 60bn is planned to be allocated to protect and restore energy infrastructure, as well as to develop distributed gas generation.
A further UAH 8.8bn comes from international partners to develop Ukrenergo, Ukrnafta and Ukrhydroenergo. It will be used to increase capacity and speed up Ukraine’s integration into the EU’s energy markets and power system.
More than UAH 2.6bn is earmarked for grant projects for businesses and the housing stock. The funds are to be directed towards improving energy efficiency and energy security.
UAH 3.2bn has been set aside for the maintenance of the Chornobyl Nuclear Power Plant. According to Shmyhal, the main task remains ensuring radiation safety and supporting the plant.
A further UAH 2.1bn has been allocated to the coal industry, including the payment of miners’ wages.
In addition, the draft budget sets aside UAH 700m for top-up payments to energy workers involved in emergency repair and restoration work.
Ukraine’s draft State Budget for 2027 has already been registered in the Verkhovna Rada as No. 16000. The government plans total spending — taking into account expenditures, lending and debt repayment — at more than UAH 8tn.
Draft Budget 2027: What the Government Is Proposing
- Among the innovations in the draft budget is the partial restoration of the Road Fund. The government proposes allocating UAH 52.8bn to it. Of this amount, UAH 34.2bn is to go to public roads, UAH 10.1bn to debt repayment, and a further UAH 8.5bn to communities for local public roads, as well as local roads and streets.
- Separately, the government proposes directing funds recovered in cases handled by the Bureau of Economic Security, the National Anti-Corruption Bureau and the State Bureau of Investigation, money from assets managed by ARMA, fines imposed by the State Audit Service and the Antimonopoly Committee, as well as fees for permits to export weapons, towards the purchase of weapons and equipment for the Armed Forces of Ukraine.
- Another proposal is to use UAH 5bn in remaining funds from the Unemployment Contingency Fund exclusively for pensions. In previous years, these funds were directed, among other things, to “cashback” and other business support programmes. The government also wants to independently decide how to allocate funds from the Fund for Eliminating the Consequences of Armed Aggression.
- In addition, the draft budget includes an obligation for Kyiv to repay a debt to the state that arose in 2015. The amount is UAH 332m.
- After the draft budget is presented in parliament, MPs may submit amendments to it until 1 October. The Budget Committee must then prepare the document for consideration at first reading.
- The Verkhovna Rada is expected to consider the draft 2027 state budget at the end of October.