Business news from Ukraine

Ukraine will focus on construction of small-scale generation facilities for cities

As part of its preparations for the next heating season, the Ukrainian government will focus on the speedy construction of small-scale generation facilities for Kharkiv and other cities, with a further transition to the construction of large gas turbine plants in the medium term.

This was announced by Oleksandr Kubrakov, Vice Prime Minister for Recovery of Ukraine, on the air of the national telethon “United News” on Friday evening.

“We will try to build urgent low-capacity facilities for cities such as Kharkiv before the next heating season together with our partners. There are cogeneration units already provided by some governments. This may be the main solution for Kharkiv for this season,” he said.

According to the Vice Prime Minister, an action plan is currently being drawn up at the government level and in close consultation with local authorities, which should be implemented by the beginning of winter.

“In the medium term, large gas turbines with high efficiency are our future. We need several gigawatts of such capacities across the country,” Kubrakov said.

As he explained, gas turbine construction projects are quite attractive to investors due to, among other things, their high efficiency and low cost of electricity production.

“I hope that the export credit agencies of those countries that produce such equipment – the United States, Germany, and Japan – will be able to provide us with financing for their equipment, and we will be able to implement this plan,” the Deputy Prime Minister stated.

As reported, more than 85% of Ukraine’s thermal generation capacity and about 50% of its hydroelectric generation capacity have been destroyed as a result of enemy massive attacks.

According to former Energy Minister Olha Buslavets, in May of this year, the electricity deficit in Ukraine may reach about 3 GW.

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Nova Group has set up company to develop its own generation

Due to Russia’s strikes on the power grid, Nova Group has decided to set up Nova Energy to develop regular power generation, ensuring the autonomy of the company’s facilities, said Volodymyr Popereshnyuk, co-owner of Nova.

“When the Russians have recently started to hit the power generation, we realized that we needed to strengthen the autonomy of energy supply. We created Nova Energy, which will generate energy on a regular basis, including electricity generated by the sun and gas,” Popereshnyuk wrote on Facebook on Thursday.

He expressed hope that other companies would do the same.

“If regulations and bans do not interfere, entrepreneurs will very quickly create the capacities necessary for the economy. Because there are no problems that entrepreneurs are not able to solve,” Popereshnyuk wrote.

He recalled that at the beginning of the full-scale war, when Russia attacked Ukrainian refineries and oil depots, which led to an acute fuel shortage on the fuel market, Nova began purchasing fuel trucks, tanks, tanks, and fueling complexes to strengthen its fuel security and autonomy.

“Now we provide 60% of the fuel we need with our own resources,” said Popereshnyuk.

During the first wave of attacks on energy facilities in Ukraine in the fall and winter of 2022, Nova provided generators and batteries to its network of branches and sorting centers.

Earlier, Volodymyr Kudrytskyi, Chairman of the Board of NPC Ukrenergo, said that it would be advisable for industrial electricity consumers to consider providing themselves with their own generation to strengthen their energy resilience in the face of Russian attacks on the power system.

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UKRAINE INCREASES ELECTRICITY GENERATION BY 6% IN JAN-APR 2021

Electricity generation in the Integrated Power System of Ukraine in January-April 2021 increased by 5.8% (by 2.978 billion kWh), year-over-year, to 54.616 billion kWh, according to the Energy Ministry.
According to the calculations of Interfax-Ukraine, nuclear power plants (NPPs) have increased electricity generation by 0.4% in four months, to 29.7 billion kWh. In particular, electricity generation at Zaporizhia NPP amounted to 13.569 billion kWh (more by 22.5% compared to January-April 2020), Yuzhnoukrainsk NPP some 5.810 billion kWh (less by 24.2%), Rivne NPP some 5.32 billion kWh (less by 26.6%), Khmelnytsky NPP some 4.597 billion kWh (more by 39.5%).
Thermal power plants (TPPs), as well as combined heat and power plants (CHPPs) and cogeneration plants increased their output by 9.1%, to 18.39 billion kWh. In particular, TPPs increased generation by 15.9%, to 13.29 billion kWh, while CHPPs and cogeneration plants cut it by 5.2%, to 5.11 billion kWh.
Hydro power plants and pumped storage power plants increased generation by 60.9%, to 3.676 billion kWh, while block stations cut it by 6.5%, to 587 million kWh.
Electricity generation by alternative sources (wind farms, solar power plants, biomass) decreased by 0.1%, to 3.306 billion kWh.
The share of NPPs in the structure of electricity generation was 53.1% (55.9% in January-April 2020), TPPs, CHPPs and cogeneration plants some 33% (32%), hydro power plants and pumped storage power plants some 6.7% (4.4%), block stations some 1.1% (1.2%), alternative sources some 6.1% (6.4%).
In April 2021, electricity generation in Ukraine increased by 11.9% (by 1.342 billion kWh), year-over-year, to 12.607 billion kWh.
In addition, the supply of thermal energy in January-April 2021 increased by14.8% (by 1.608 million Gcal), year-over-year, to 12.450 million Gcal.

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UKRAINE INCREASES ELECTRICITY GENERATION IN JAN

Electricity production in the Integrated Power System of Ukraine in January 2021 increased 1.1% compared to January 2020, to 14.259 billion kWh, the Ministry of Energy has told Interfax-Ukraine.
Nuclear power plants (NPP) last year reduced electricity generation by 8.4% compared to the same period last year, to 7.151 billion kWh. In particular, production of electricity at Zaporizhia NPP amounted to 2.716 billion kWh (9.8% less compared to 2019), Yuzhnoukrainsk some 1.9 billion kWh (13.9% less), Rivne NPP some 1.815 billion kWh (1.1% less), and Khmelnytsky NPP some 720 million kWh (4.5% less).
Thermal power plants (TPP), as well as combined heat and power plants and cogeneration plants increased their output by 12.6%, to 5.611 billion kWh. In particular, TPPs increased production by 20.9%, to 4.067 billion kWh, while combined heat and power plants and cogeneration plants cut it by 4.6%, to 1.544 billion kWh.
Hydro power plants and pumped storage power plants increased production by 12.6%, to 729 million kWh, and block stations cut by 6.3%, to 142 million kWh.
Electricity production by non-traditional sources (wind farms, solar power plants, biomass) grew by 21.5%, to 626 million kWh.
The share of nuclear power plants in the structure of electricity production accounted for 50.2%, thermal power plants, combined heat and power plants and cogeneration plants 39.4%, hydro power plants and pumped storage power plants 5.1%, block stations 1%, alternative sources 4.4%.
In addition, the supply of thermal energy in January 2021 decreased 9.6% compared to the same period last year, to 3.272 million gigacalories.

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NATIONAL ENERGY COMPANY UKRENERGO LIMITS LOADING GENERATION OF WIND FARMS AND SOLAR POWER PLANTS

National Energy Company Ukrenergo on January 7, 2020 due to abnormally warm temperatures for this period of the year restricted loading generation of six large wind farms by 384 MW and eight solar power plants (SPP) by 545 MW in the period from 12:09 through 13:00, the company’s press service has reported.
Ukrenergo said that on that day, the average daily air temperature was -2.4°С, which is 4°С higher than the one on January 7 last year. Accordingly, consumption on January 7, 2020, decreased by 47.6 million kWh or 10.6% compared to the same period of the previous year (394 million kWh versus 441 million kWh).
Prior to this, all applications of balancing market players were used, electricity imports to the Integrated Power System (IPS) of Ukraine from Belarus and the Russian Federation were limited to zero, and the thermal power plants (TPP) generation was also limited by 1,350 MW.
Besides, at the moment of a sharp leap in the renewable energy generation from 12:09 to 13:00, there has already been no possibility to switch to the pumping mode the hydroelectric generators of pumped storage power plants (PSPP) since at that moment their reservoirs have already been filled.
At the same time, it is worth noting that due to the short-term nature of the balance deviations nuclear power plants (NPP) loading was not restricted.
“Therefore, in order to balance the power system and ensure its operational safety, NPC Ukrenergo dispatchers had to restrict the loading of powerful wind farms and SPPs,” the company said.
After that, from 13:00 to 13:46, all wind farms and SPP generation restrictions were rescinded.

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UKRAINE INCREASES ELECTRICITY GENERATION FROM RENEWABLE ENERGY SOURCES BY 2.8 TIMES

Ukraine in June 2019 increased electricity generation from renewable energy sources by 2.8 times (by 378.3 million kWh) compared to June 2018, to 585 million kWh.
According to data from the Ministry of Energy and Coal Industry, available to Interfax-Ukraine, production of electricity from renewable energy sources in January-June 2019 increased by 1.9 times compared to the same period last year, to 2.372 billion kWh.
The share of renewable energy in the structure of electricity production in June 2019 reached 5% against 1.8% in June 2018, while the share of renewable energy in the first half of this year was 3% against 1.5% in January-June 2018.
As reported, as of the end of the first half of the year, the installed capacity of renewable energy facilities reached 3,634 MW, in particular that of solar plants some 2,640 MW, wind plants 776.6 MW, biomass plants 51.3 MW, and biogas stations some 66.4 MW.

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