Business news from Ukraine

Business news from Ukraine

Bioenergy projects already operating at seven Ukrainian sugar factories

Bioenergy projects are already operating at seven of Ukraine’s 27 sugar factories that were in operation during the 2025 season, according to Yana Kavushevska, head of the board of the National Association of Sugar Producers “Ukrtsukor,” in an interview with the agency “Interfax-Ukraine.”

“For obvious reasons, not all companies want to focus on this (bioenergy projects – IF-U) today. I can only note that out of 27 operating sugar factories, seven have implemented the production of bioethanol, biogas, or biomethane, and the industry has good potential in this area,” she said.

Kavushevska noted that Ukraine’s sugar industry has good examples of bioenergy projects. They were implemented mainly before 2022, and during the war they were refined and improved. For example, some enterprises switched from biogas to biomethane production.

As reported, biofuel production at sugar factories in Ukraine is a strategic direction, as it allows by-products (molasses and pulp) to be converted into energy. As of 2025–2026, the industry is actively transitioning from the production of simple biogas (for electricity) to biomethane (for export to the EU) and bioethanol.

According to Interfax-Ukraine, the most powerful bioenergy project in the sugar industry, with a capacity of 56 million cubic meters per year, has been implemented at the Teofipol sugar factory (Khmelnytskyi region). It is already connected directly to the gas transmission system (GTS).

The Globyne bioenergy complex of the Astarta agricultural holding (Poltava region), with a capacity of 50 million cubic meters per year, processes sugar beet pulp and uses biofuel to meet the needs of sugar and soybean processing plants.

The Gnidavsky Sugar Plant (Volyn region) produces biogas from pulp to meet its own energy needs and sells it. The plant’s capacity is 6 MW.

The Kapitanivsky Sugar Plant (Kirovograd region) has built a 6 MW biogas complex and has plans to switch to biomethane. The Sezhansky Sugar Plant (Cherkasy region) runs on pulp and molasses and produces biogas to generate 7.5 MW of electricity.

Bioethanol in Ukraine is mainly produced from molasses (syrup), which is a waste product of sugar production at the Gnidavsky Sugar Plant (15–20 thousand tons per year) and the Uzynsky Sugar Plant (10–15 thousand tons per year). In addition, the Haisyn Sugar Plant (Ukrprominvest-Agro) cooperates with the Haisyn Distillery to process its own molasses into bioethanol, while the Trostyanets and Zarubinsky distilleries are key hubs for processing raw materials from sugar plants in neighboring regions.

The industry also includes the Yuzhefo-Mykolaiv Biogas Complex (Vinnytsia region), which cooperates with the Yuzhefo-Mykolaiv Sugar Factory and produces over 11 million cubic meters of biomethane per year from sugar pulp and chicken manure. This is one of the first enterprises in Ukraine to establish the production and export of bio-LNG (liquefied biomethane).

The Zhdanivsky Sugar Factory of the Astarta agricultural holding (Vinnytsia region) provides the raw material base for energy generation. In total, Astarta produces over 50–60 million cubic meters of biogas per year.

,