Business news from Ukraine

QATAR AND UKRAINE TO DISCUSS RELATIONS IN ENERGY AND AGRICULTURAL SECTORS

Ukraine and Qatar intend to discuss opportunities for developing relations in the energy and agricultural sectors, as well as in military-technical cooperation and investments, Ukraine’s Minister of Finance Serhiy Marchenko said following an online conference with Ambassador Extraordinary and Plenipotentiary of Qatar to Ukraine Hadi Nasser Al-Hajri.
“Soon, as the head of the Intergovernmental Commission on Economic, Trade and Technical Cooperation between the government of Ukraine and the State of Qatar, I will initiate a discussion of new opportunities for the development of relations between our countries,” Marchenko said.
“In particular, we’ll pay attention to the energy and agricultural sectors, military-technical cooperation, investments,” the minister stressed.

, ,

DMZ TO SPEND OVER UAH 15 MLN ON ENERGY SAVING PROGRAM

PrJSC Dniprovsky Metallurgical Plant (DMZ, formerly Evraz-DMZ), a member of DCH Steel of DCH Group of businessman Oleksandr Yaroslavsky, will allocate more than UAH 15 million for the implementation of the energy saving program in 2020-2021.
According to a press release from the company, major repairs were carried out last year on the combustion plugs of excess blast furnace and coke oven gas, thus avoiding energy leaks. To date, the work on replacing outdoor lighting on the territory of the enterprise has been practically completed.
In rolling shop No. 2, seven frequency converters were installed on the fans for blowing off the electric motors of stands Nos. 1-8, about 70 lamps were replaced with energy saving ones in three spans. The lighting on conveyors S-4 and U-1 of the coke plant was also replaced.
“The modernization of lighting will significantly reduce energy consumption. In addition, working conditions will improve, as the illumination from LED lamps is much higher,” the press release said.
The plant specializes in production of steel, pig iron, rolled products and coke.
On March 1, 2018, DCH Group signed an agreement on the purchase of Dniprovsky Metallurgical Plant from Evraz.

, ,

UKRAINIAN ENERGY MINISTER ESTIMATES COMPENSATION TO ‘GREEN’ GENERATION UNTIL 2029 AT $ 10-20 BLN

An overstated tariff for energy from renewable sources (RES) in comparison with the market rate leads to significant and problematic payments to investors for Ukraine, which are estimated at $ 10-20 billion until 2029, acting Energy Minister Yuriy Vitrenko has said.

“If to look at the difference between the feed-in tariff and the market price, at least now, and multiply this by conservative estimates of production from renewable sources and multiply this by the term of the feed-in tariff – until 2029, then the amount of compensation from the state budget to investors in green energy will be from $ 10 billion to $ 20 billion,” he said while discussing the economic strategy until 2030.

Vitrenko noted that the feed-in tariff is several times higher than the market price.

“For a developing country like Ukraine, $ 10-20 billion is a significant amount, which is a problem,” he stressed.

The minister also criticized the current system of payments through the energy system operator Ukrenergo, which has no interest in paying for renewable energy sources, since their uneven generation brings it additional problems. According to Vitrenko, such payments should be made through the state budget as a public good in the form of clean energy.

,

PRESIDENT OF UKRAINE AND PRIME MINISTER OF SPAIN DISCUSS COOPERATION IN ENERGY, INFRASTRUCTURE

President of Ukraine Volodymyr Zelensky and Prime Minister of Spain Pedro Sánchez discussed areas of cooperation between the countries, including energy, infrastructure, digitalization and cybersecurity.
“Energy, infrastructure, digitalization, cybersecurity – there are many areas in Ukraine for cooperation with Spain. I am glad to speak with Spanish Prime Minister Pedro Sánchez, our mutual understanding is a step towards warm and effective relations between the two countries. I wish you health! I will be glad to see you in Ukraine!” Zelensky wrote on his Twitter page.
The interlocutors noted the importance of holding the fourth meeting of the Ukrainian-Spanish Joint Intergovernmental Commission on Economic and Industrial Cooperation this year in Kyiv, the presidential press service reported.
The leaders also discussed the development of trade and economic cooperation between the two states.
“Spain is one of Ukraine’s main trading partners in the European Union and maintains its position as Europe’s largest importer of Ukrainian grain. We are ready to continue being a reliable strategic supplier of grain products to Spain,” the Ukrainian President said.
The Spanish Prime Minister said that he would assist Ukraine in obtaining the vaccine both at the level of bilateral relations and at the EU level.
In addition, particular attention was paid to the signing of the Common Aviation Area Agreement between the European Union with Ukraine. “I am grateful to the Spanish party for its efforts and willingness to facilitate the signing of this long-awaited and mutually beneficial agreement. I expect a positive decision from the EU in the coming weeks,” Zelensky said.

, ,

EIB READY TO PROVIDE FUNDS TO UKRAINE TO IMPLEMENT ENERGY AND ENERGY SAVING PROJECTS

The European Investment Bank (EIB) is ready to provide funds to Ukraine to implement energy and energy saving projects if the risk factors can be controlled, Head of the EIB Resident Representation for Ukraine Jean-Erik de Zagon said.
He said that the EIB is ready to provide the funds if the Ukrainian government can convince the bank of the economic viability of the potential projects. .
He said at the 11th Energy Day organized by the European-Ukrainian Energy Agency on Thursday.
At the same time, the Head of the EIB Resident Representation in Ukraine said that the bank sees many opportunities for cooperation with the government of Ukraine, specifying that “the EIB in Ukraine has a portfolio totaling EUR 6.5 bln. It includes many project in energy sector, social and economic infrastructure, transport and connectivity, local private sector development, and innovation. ”
At the same time, according to de Zagon, with regard to international projects on energy efficiency, Europe highly values a clearly defined time frame for achieving climate change.
Speaking about projects that may be of interest to the bank in the future, he pointed out among the others the need to develop bioenergy. As for the diversification of projects, it is likely that biomass will deserve new attention. It is one of the decarbonization tools. It is challenging, but this is the need to process those resources that are raw materials for renewable energy in Ukraine, de Zagon said.
He also focused on that Ukraine has a good existing gas transmission system (GST). It offers a vast potential where development is most necessary by ensuring that the transmission system is supportive of renewable energy (like transport of hydrogen) the EIB representative said.
At the same time, he explained what donors pay attention to when making decisions on financing certain projects and what Ukraine needs to take into account and do in order to receive international funding. This is about the need to balance positions on the energy market and promote legislative initiatives so that legislation of Ukraine met European requirements and standards, he said.
As for the National Action Plan, the EIB is pleased to cooperate with the government of Ukraine in its implementation, de Zagon said.

,

UKRAINE AND SPAIN WILL STRENGTHEN COOPERATION IN ENERGY

Ukraine and Spain will strengthen cooperation in the fields of energy, digital economy and healthcare, Ukrainian Foreign Minister Dmytro Kuleba has said.

“We talked about energy, digital economy, and healthcare. These are the areas in which Ukraine and Spain will soon be very actively deepening interaction in the interests of our peoples,” the Ukrainian Foreign Minister said at a joint press conference with the Spanish Foreign Minister in Madrid.

Kuleba also explained the meaning of four documents signed earlier by Ukraine and Spain during his visit.

“We have signed four important documents that meet the interests of both Ukraine and Spain. The convention on avoidance of double taxation will help attract Spanish investments in Ukraine. The convention on cooperation in the customs sphere will facilitate trade between our countries. The memorandum of understanding in the field of agriculture will strengthen our agricultural trade,” he added.

At the same time, Kuleba recalled that Spain is “number one importer of Ukrainian grain in Europe.”

Also, Ukraine and Spain signed a memorandum in the field of cybersecurity.