A reform of the gas market in Ukraine is gaining momentum, which allows our country in the medium term to create an Eastern European gas hub in its territory. Vice Prime Minister of Ukraine Volodymyr Kistion stated while presenting a government vision of how to enhance the development of the gas sector of Ukraine as the basis for Ukrainian energy independence at a session of the Cabinet of Ministers of Ukraine on Wednesday.
According to him, over the three years since the adoption of the Law "On the Natural Gas Market", Ukraine has made a number of achievements, what has been commended by the European Union.
Among the adopted strategic plans for the development of the gas industry are Energy Strategy-2035, Concept for the development of the gas industry-2020, EU laws are being implemented. This allows Ukraine to consistently advance towards establishing an interregional gas hub through the opening of the gas market and its integration into the EU market.
"Our objective is an international gas hub. This is a perfect promising model of the Ukrainian gas market. An Eastern European gas hub opens up excellent prospects for Ukraine. First and foremost, it means Ukrainian gas production performance at 35 billion cubic meters year-on-year, the amount of gas pumped in the underground gas storages making up 30 billion cubic meters per year, loading of the Ukrainian gas transport system to satisfy consumers' needs in the EU 150 billion cubic meters per year, gas exports for the needs of EU consumers from the domestic resources - 5 billion cubic meters per year. We will preserve our status as a strategic gas transit partner for the EU and open up opportunities for the export of the domestic gas," stressed Volodymyr Kistion.
Meanwhile, the Vice Prime Minister added that by introducing a single price for gas the Government provided a solid precondition for increasing the production of Ukrainian gas - SE Ukrgazvydobuvannya obtained a considerable financial resource for the repair and putting in exploitation of new wells, exploration drilling, and infrastructure modernization.
"We have introduced a free gas market for our industries, endorsed a resolution to monetize subsidies at the level of utility providers and are gradually approaching the full opening of the gas market. The Government of Ukraine expresses commitment to fully de-monopolize the gas market, as the monopoly, unfortunately, is rather costly for Ukrainian taxpayers", summed up the Vice Prime Minister.