An additional 591 MW of new generation was created in six months of 2025 in the regions of Ukraine, most of which – 320.2 MW – was due to connected capacity through cogeneration, said Deputy Head of the Presidential Office Viktor Mykyta.
“Communities and regions are confidently pursuing energy decentralization… Innovative projects will make it impossible for the enemy to destroy the new decentralized energy system,” he wrote in a telegram on Sunday.
Mykyta clarified that the total amount also includes 84 MW of connected capacity from wind farms, 101.4 MW from solar power plants (SPPs) and 84 MW from SPPs installed in private households, and another 1.2 MW from mini-CHPs.
As reported, at the end of 2024, the Ministry of Energy reported that the total capacity of distributed gas-fired generation units connected in Ukraine last year amounted to 967 MW, of which 835 MW were commissioned in 2024.
According to Vladyslav Sokolovskyi, Chairman of the Board of the Solar Energy Association of Ukraine, in 2024, approximately 800-850 MW of solar power plants will be built in Ukraine at the expense of businesses and households, while wind farms added only 20.6 MW of new capacity last year, according to Andriy Konechenkov, Chairman of the Board of the Ukrainian Wind Energy Association.
The Organization of Petroleum Exporting Countries (OPEC) has published a long-term forecast for the period until 2050, according to which oil and natural gas will remain the main sources of energy, occupying more than half of the global energy balance. This confirms the importance of hydrocarbons in the global economy and the strategic nature of energy policy.
Oil and gas demand forecast
The key drivers are:
Contradictions with other forecasts
This outlook indicates that oil and gas will retain its prominent position for at least the next 25 years. And while renewable energy is rapidly gaining momentum, the transition away from the traditional energy system must be smooth and gradual, taking into account real economic and social factors.
The rise in energy prices as a result of the conflict in the Middle East could weaken economic growth in the eurozone and thus smooth out inflation, said Luis de Guindos, deputy head of the European Central Bank (ECB).
“The emergence of the Iranian-Israeli conflict adds some uncertainty to the dynamics of oil prices,” The Wall Street Journal quoted him as saying. It is therefore important to keep a close eye on developments in the real economy as an indicator of inflation prospects.”
According to de Guindos, the increase in duties on European exports to the United States will certainly slow down inflation in the currency bloc, including because it will weaken economic growth.
“Higher duties are expected even if bilateral negotiations are successful,” the deputy head said. The ECB cut its key policy rate in June and made it clear that it was nearing the end of its monetary easing cycle. In May, inflation in the euro area was below the 2% target.
However, de Guindos’ comments suggest that the rate may have to be cut further to keep inflation around 2%, the WSJ writes.
Source: http://relocation.com.ua/rising-energy-prices-could-weaken-economic-growth-in-europe/
The Poltava Oil Extraction Plant (POEZ) of the Kernel agricultural holding has officially switched to renewable energy sources certified by the international organization Bureau Veritas Group, the company’s press service reported on Facebook.
According to the report, the agricultural holding will fully supply POEZ with renewable energy from sunflower husks, thereby reducing its dependence on fossil fuels and cutting greenhouse gas emissions by more than 11,000 tons per year. In addition, autonomous power generation will ensure continuity of production and reduce risks to food security.
“This is another step towards transforming Ukraine into a sustainable, energy-independent, and innovative country that knows how to turn agricultural resources into strategic advantages. Now our consumers can make an informed choice and contribute to the green recovery of the country’s economy by supporting a producer of certified sustainable oil,” Kernel emphasized.
It is specified that POEZ became the first company in Ukraine’s food sector to join the Science Based Targets Initiative (SBTi). In addition, it intends to support communities and supply surplus “green” energy to Ukraine’s power grid.
“This step is part of Kernel’s efforts to decarbonize and ensure climate resilience at every stage of our work: from the field to logistics,” the agricultural holding summarized.
The Poltava OEZ of the Kernel agricultural holding specializes in the production of sunflower oil under the Stozhar trademark. Previously, oil under this brand was produced in Vovchansk (Kharkiv region). With the start of the full-scale invasion of Ukraine by the Russian Federation, the work of the SEZ in Vovchansk was suspended and its capacities were transferred to the Poltava region. Before the war, the processing capacity of the Vovchansk SEZ was 330,000 tons of sunflower seeds per year. In turn, the Poltava SEZ is designed to process up to 430,000 tons of sunflower seeds per year and produces unrefined, refined, and hydrated vegetable oil, as well as meal.
Before the war, the Kernel agricultural holding company ranked first in the world in the production of sunflower oil (about 7% of world production) and its export (about 12%). It is one of the largest producers and sellers of bottled oil in Ukraine. In addition, it is engaged in the cultivation and sale of agricultural products.
In the first nine months of 2025, Kernel increased its net profit by 7% to $218 million, with revenue growing by 19% to $3.092 billion and EBITDA increasing by 4% to $398 million.
Since the beginning of 2025, the state-owned Oschadbank has signed loan agreements with large corporate businesses worth EUR 87 million for the implementation of energy projects, which is almost twice as much as in the whole of last year, according to a press release issued by the bank on Friday.
“While in 2024, 70% of the projects we financed were gas piston generation, in 2025, 50% of the projects will be energy storage facilities and 40% will be wind power generation,” said Yevhen Myachyn, director of the corporate business development and support department at Oschadbank, at the Energy Club forum ” Consumer-Oriented Energy System” in Kyiv.
According to him, the stabilization of the energy system, changes in gas prices and reserves have encouraged businesses to shift their focus to technologies that look more promising in the long term.
Oschadbank estimates its share of the energy loan market in Ukraine at 30% according to NBU statistics, which show that from June 1, 2024, to May 25, 2025, banks provided loans and opened limits for energy projects worth UAH 18.2 billion, or more than 705 MW of generation capacity.
“Oschadbank also continues to maintain its leading position in financing companies in the energy sector. According to the results of the first four months of 2025, Oschadbank’s share is 32%,” the state-owned financial institution emphasizes.
According to the National Bank of Ukraine, as of the beginning of 2025, Oschadbank ranked second in terms of total assets (UAH 963.39 billion, or 12.4%) among 61 banks in the country.
The Concorde Capital investment group plans to invest EUR120 million in energy projects by the end of this year and expects to build an energy company worth more than $1 billion in “a couple of years,” according to founder and owner Igor Mazepa.
“By the end of the year, we will invest EUR120 million. The market is a ‘blue ocean’ with no competition, so it’s just a matter of getting started. The IRR in this case is 35%, which means a return on investment in 2.5-3 years,” Mazepa said at the Forbes Money forum in Kyiv.
According to him, the market expects gas prices to rise and electricity prices to fall, but with a projected payback period of 2-3 years, investors will already feel more confident.
Mazepa noted that he first invested in the energy sector in August 2024, investing EUR 32 million in a pilot project, and is already seeing the first results of this investment, which confirm the correctness of this strategy.
In his opinion, such prospects are related to the fact that 10 GW of power capacity has been destroyed by the aggressor, and this is mainly maneuverable capacity, which is the most expensive and for which the market pays a premium price.
“There has never been such a price, not once, not in a single year that I can remember in the last 25 years.
It is even higher than in some Eastern European countries. It’s an amazing market, huge, worth billions of dollars!“ emphasized the owner of Concorde Capital, adding that gas and electricity prices are expected to rise further.
”I think that in a couple of years we will build just such a billion-dollar company in the energy sector,” he concluded.
As reported, Mazepa, with the help of four unnamed partners, acquired a 50 MW energy storage system for EUR 32 million in early 2025 and plans to then contract equipment for a gas-fired power plant worth EUR 30 million to create a single energy complex.
Alexei Timofeev, a member of the board of directors of BGV Group Management, who spoke alongside Mazepa, agreed that there are attractive investment opportunities in the energy sector, where the group has also accepted five projects – wind, batteries, gas cogeneration, and investments in the energy efficiency of utility networks through an energy service company. At the same time, he stressed that these are short-term and relatively small projects, and that this “hot” market is not about billions in investments.
“This is simply an illustration of the approach that exists, which does not work in the long term. Because it is impossible to make long-term forecasts based on peak prices without taking into account factors such as the return or non-return of the Zaporizhzhia Nuclear Power Plant, the restoration or non-restoration of coal-fired power generation… In general, when you jump above zero in three years, you can afford such things, but no billions will come here – there is nowhere to go,” the expert believes.
He added that Ukraine does not need to restore 10 GW of destroyed energy capacity because it does not have such a deficit. “Ukraine’s energy sector was in surplus before the war, and everything that has been destroyed is reflected in the fact that we have deindustrialization, loss of territory, and loss of population,” Timofeev said.
