Business news from Ukraine

Business news from Ukraine

“Ukrzaliznytsia” created “UZ Energo” for construction of gas-fired power plants

JSC “Ukrzaliznytsia” (UZ) has created a separate legal entity – “UZ Energo” LLC, which will be engaged in the construction of gas-fired power plants. construction gas-fired power plants with a total capacity of up to 250 MW in the regions, the company’s press service reported.

“A decision has been made to construction of dozens of gas-fired power plants with a total capacity of up to 250 MW. As of today, Ukrzaliznytsia is holding active negotiations with suppliers and international financial organizations for the rapid implementation of this project,” the press release quoted Yevgeniy Lyashchenko, head of the UZ board, as saying.

According to the press release, UZ Energo will be 100% owned by Ukrzaliznytsia through Sales Energy Ltd, which is also owned by UZ.

Lyashchenko reminded that UZ is among the top 5 largest distribution companies in Ukraine in terms of network length and volumes of electricity flow.

The report says that UZ, as one of the largest consumers of electricity in Ukraine, is experiencing a significant deficit in its supply on an equal footing with everyone else. The introduced limits for electricity consumption cover the real needs of the company only by 75%.

They pointed out that with the approach of the fall-winter period, the increasing deficit in electricity supply may affect the uninterrupted movement of trains and adversely affect the provision of public services for household consumers. “UZ” is also the operator of water supply distribution for a number of consumers.

According to the report, gas-fired power plants will first of all be installed in regional centers and connected to the company’s networks, from which are powered railway transport facilities, social sphere, as well as critical infrastructure facilities of other sectors of the economy.

 

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