Business news from Ukraine

Business news from Ukraine

DENMARK AND UKRAINE SIGN ENERGY PARTNERSHIP PROGRAM AGREEMENT

Ukraine and Denmark have signed a cooperation agreement that opens up opportunities for companies working with green energy, among other things, the press service of the Ministry of Energy said.

“The agreement between the Ministry of Energy of Ukraine and the Ministry of Foreign Affairs of the Kingdom of Denmark will mark a new stage in deepening intergovernmental cooperation, which will focus on strengthening the environment for sustainable energy solutions and technologies based on Danish experience and technical assistance, as well as opportunities for companies working with ‘green’ energy,” the message says.

According to Minister of Energy of Ukraine Herman Haluschenko, “Denmark is one of the European leaders in the implementation of the transition to ‘green’ energy. Ukraine, in turn, shares the goals of the European Green Deal. Therefore, I see significant potential for deepening cooperation between our states in the development of renewable sources of energy and enhancing energy security.”

The press service of the Ministry of Energy noted that Ukraine is making significant efforts to implement projects aimed at reducing traditional energy consumption, increasing energy efficiency and introducing energy-saving technologies. The draft National Energy Efficiency Action Plan developed by the Ministry of Energy provides for a decrease in final energy consumption by more than 17% by 2030.

In its turn, the Danish Energy Agency will contribute in the form of consultations, technical assistance and mutual training of specialists from the Ukrainian energy sector.

“The energy partnership with Denmark will help improve conditions for the introduction of the latest environmentally friendly energy technologies and attracting investments in sustainable energy,” Haluschenko said.

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DNIPROVSKY INTEGRATED IRON & STEEL WORKS PUT UP FOR SALE FOR UAH 8.4 BLN

Arbitration manager Oleksiy Sokol put up in ProZorro. Sales as part of the bankruptcy of PJSC Dniprovsky Integrated Iron & Steel Works (DMK, Kamianske, Dnipropetrovsk region) its single property complex with an initial price of UAH 8.4 billion.
According to information in ProZorro. Sales, applications are accepted until July 25 inclusively, and the auction is scheduled for July 26.
The materials specify that the possibility of price reduction is not provided, the buyer will be the legal successor of PJSC DMK, which currently employs 8,772 people.
As reported, the DMK was being reorganized as part of the bankruptcy proceedings of the enterprise. In January-June of this year, the company reduced the production of general rolled products, according to operational data, by 1.4% compared to the same period last year – to 1.3 million tonnes. Steel production was kept at the level of the six months of last year – 1.31 million tonnes, pig iron increased by 3.3% – to 1.25 million tonnes, but sinter production decreased by 1.2% – to 2.1 million tonnes.
Last year, DMK increased its production of general rolled products by 13.3% to 2.54 million tonnes, steel – by 15.2% to 2.56 million tonnes, pig iron – by 19.2% to 2.36 million tonnes, agglomerate – 40.2%, up to 4.06 million tonnes.
The company is controlled by the ISD corporation which was founded in 1995. It is an integrated holding company that owns or manages stakes in mining and metals enterprises. The corporation also includes the Alchevsk Iron and Steel Works, over which control has been lost since the end of 2017, as well as the ISD-Dunaferr Iron and Steel Works (Hungary). ISD-Huta Czestochowa (Poland) was sold by the Polish authorities to Liberty Steel as part of the bankruptcy process, and ISD lost control over the enterprise.

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USING CROWN AGENTS ALLOWS UKRAINE TO SAVE $62 MLN IN FIVE YEARS – STUDY

Using the services of the British purchasing agency Crown Agents allowed the Ministry of Health of Ukraine to save more than $62 million, or 40% of the budget funds, in five years.
This is stated in a study conducted by Crown Agents and the Center for the Study of Corruption at the University of Sussex.
According to the study, in the first year of Crown Agents’ cooperation with the Ministry of Health, more than 75% of medicines were purchased at a lower cost than in the previous year.
“The overall amount lost to corrupt practices in healthcare is estimated to be around $500 billion annually, and procurement is the biggest risk area,” Liz David-Barrett, the director of the Center for the Study of Corruption at the University of Sussex, said.
“COVID-19 has provided a window of opportunity to tackle corrupt procurement practices in healthcare systems across the world,” she said.

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RETAIL TURNOVER IN UKRAINE BY REGIONS IN JAN-APR 2021 (UAH MLN)

RETAIL TURNOVER IN UKRAINE BY REGIONS IN JAN-APR 2021 (UAH MLN)

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OPERATOR LIFECELL EXPANDS ITS 4G COVERAGE IN 661 SETTLEMENTS IN MARCH

In March 2021, mobile operator lifecell expanded its 4G network coverage in 661 more settlements of Ukraine with a population of more than 358,000 people.
According to the operator’s statement on Wednesday, in particular, in March the lifecell network was expanded in 655 towns with a population of up to 5,000 people and in six cities with a population of up to 25,000 people in different regions of Ukraine.
The operator also analyzed the consumption of data traffic in March: lifecell subscribers using 4G consumed 82% more mobile Internet traffic compared to the same period in 2020.
At the same time, the total volume of used data traffic in the operator’s network in March increased by 49% on an annual basis.
“One of the main reasons for the traffic growth is the expansion of coverage in the 900 MHz range, which became possible after the operators carried out refarming of the radio frequency spectrum in this range. This made it possible for residents of rural areas and small towns to use high-speed mobile Internet,” lifecell said.
Kyiv became the leader among settlements in terms of consumption of mobile Internet traffic in March in the category of cities with a population of more than 1 million, and then it is followed by Odesa, Kharkiv and Dnipro.
In cities with a population of up to 1 million people, Lviv is in the lead, and with a population of up to 500,000 people – Cherkasy.
The number of voice calls did not change compared to March 2020.

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ALSTOM EXPECTS SIGNING COMMERCIAL AGREEMENTS FOR SUPPLY OF ELECTRIC LOCOMOTIVES TO UKRAINE IN H2 2021

The French concern Alstom welcomes the ratification of an intergovernmental agreement between France and Ukraine on financing the supply of 130 heavy-duty electric locomotives for Ukrzaliznytsia, the company’s press service has said.
“The next important step is the signing of commercial agreements in the second half of 2021,” the company said.
According to the press release, this will allow Alstom to begin supplying locomotives to the Ukrainian market, which will also provide for 35% localization associated with the production and maintenance of electric locomotives.
As reported, Ukraine and France in May signed an intergovernmental agreement on financing the supply by Alstom of 130 heavy-duty electric locomotives for Ukrzaliznytsia for up to EUR 900 million.
This agreement was ratified by the Verkhovna Rada of Ukraine on July 1, 2021.
Alstom is one of the world leaders (along with Siemens and Bombardier) in the production of power equipment and railway transport. It operates in more than 70 countries and employs about 70,000 people.

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