Energy is particularly significant in Ukraine. This is not only a topic of securing consumers, and businesses have the strength they want at the right price. Or that the country is satisfying its international obligations in changing towards a further sustainable, renewables-based, strength system. Power is also completely fundamental to our national security and the nature of our associations with our neighbors.
Real development has been made in Ukraine over recent years to alter the energy market and to confirm that it works in the interests of Ukraine and its citizens. That is why it was so worrying to see the decision taken in the Ukrainian Parliament in September to permit electricity imports from the Russian Federation and Belarus for the first time since 2015.
The rationale for the amendment to the law “On Electricity Market”, determined by the Chairman of the relevant energy committee Andriy Herus, is that a rise in supplies from these countries will help to increase competition and decrease prices for consumers. Whilst this argument has some value, the decision is flawed and deeply concerning for a number of critical explanations.
One of the chief beneficiaries of this alteration will be Igor Sechin’s company RAO UES JSC. Sechin is presently under international sanctions in link with the annexation of Crimea and Russia’s military aggression in the Donbas region. This verdict, therefore, undermines Euro-Atlantic unity in relation to the application of these approvals and will compromise Ukraine’s standing with our western associates.
Additionally, the new Belarusian national power manufacturer (NPP), Ostrovets, is also likely to source electricity to Ukraine.