Arseniy Yatsenyuk: The Government to submit to Parliament a bill to demonopolize electricity market

The Government of Ukraine approves and submits to the Parliament a draft law on the electricity market, which allows to demonopolize the market, enables enterprises to conclude direct contracts with power producers while citizens to independently choose their electricity provider. Prime Minister of Ukraine Arseniy Yatsenyuk said at the Cabinet meeting on Wednesday, 2 March.

The draft law on the electricity market, which shall introduce clear, transparent and fair mechanisms of market relations in electric power industry, was presented at the Government meeting by the Minister of Energy and Coal Industry of Ukraine Volodymyr Demchyshyn.

Arseniy Yatsenyuk highlighted that the adoption of this bill would facilitate demonopolization of the electricity market of the country.

The document contains that the citizens of Ukraine will have an opportunity to choose an electricity provider. Thus, Arseniy Yatsenyuk said, there will be a chance to select the provider offering the most attractive tariff plan. Large enterprises, in turn, will have an opportunity to conclude direct contracts with producers.

The Head of Government stressed that the bill would also create competition among the electricity producers: "All of them will be engaged in tough competition for better price and volumes (of delivery)".

The adoption of this law, the PM added, will afford to increase the investment attractiveness of the Ukrainian power industry: "It will affect the price of energy companies that will undergo privatization. They will go up in price at once".

Arseniy Yatsenyuk noted that this draft law had been approved by the western partners as whole.

The Prime Minister noted the importance align the law on the electricity market with European standards and to prevent an opportunity for the government-run monopoly on the market.

Arseniy Yatsenyuk instructed the Ministry of Energy and Coal Industry together with the Secretariat of the Cabinet of Ministers to complete the bill in 24 hours: "We approve the law, submit it to the Parliament and expected to receive overall support by the Ukrainian Parliament of the reform process".