Address by the Prime Minister of Ukraine Denys Shmyhal at a Gov't session

russia’s full-scale invasion has been the striking challenge in the history of the Ukrainian state over the past 30 years. Therefore, today all the objectives of the Government and other authorities are taking place amid unprecedented conditions. This spring, we still managed to successfully conduct the most difficult sowing campaign in the history of the state. The country's logistics routes have been completely rebuilt. Now we need to prepare for the most difficult heating season in the history of Ukraine, which awaits us this winter.

Today, the government is setting up a headquarters to prepare for the heating season on a daily basis. It will be headed by Minister for Communities and Territories Development Oleksii Chernyshov. The tasks are clear: to balance the system, to carry out repair works, to promptly solve all problems, to form the necessary level of communication between all levels involved. We involve representatives of local authorities, heat suppliers, representatives of the regulator, and the state "Naftogaz".

Our specialists have already made the first calculations to understand how much gas and coal we need, as well as what repairs need to be carried out.

russian troops destroyed more than 200 boiler houses and severely damaged the Kremenchug, Chernihiv, Okhtyrka, Luhansk, and Severodonetsk thermal power plants. Hundreds of power lines and transformer substations were damaged. Losses of energy infrastructure and energy have already reached tens of billions of hryvnias. In these conditions, the Government is doing everything to ensure that all Ukrainians have light and warmth this winter.

Repairs and upgrades of equipment and networks are now a key task for the Government, local authorities and businesses to do together. Repair work has already begun where possible. The Ministry of Communities and Territories Development is responsible for the implementation of reconstruction projects. We are assured that everything will be done on time at the heat supply facilities in Chernihiv, Kremenchuk and Okhtyrka, and hundreds of thousands of our citizens will be provided with heating in winter.

Regarding the gas situation. We have completed the heating season with 9 billion cubic meters in our gas storage facilities. The injection of blue fuel began immediately. As of June 1, 10 billion cubic meters of gas are already stored in our underground storage facilities. This is 7.5%, or 700 million cubic meters more than, for example, the average of 2014-2018.

The Government is assesing several scenarios for maximum winter readiness. This year's gas production is estimated at 16 to 19 billion cubic meters. Consumption from 21 to 24 billion cubic meters. Accordingly, part of the gas will be imported.

There is capacity for this. We also have agreements with our Western neighbors. Today we instructed Naftogaz to have at least 19 billion cubic meters of natural gas in our gas storage facilities at the beginning of the heating season.

Regarding coal and electricity. Zaporizhzhia NPP, Kakhovka Hydroelectric Power Plant, three thermal power plants and about 40% of all our renewable energy facilities are currently occupied. At some of our stations, coal is blocked due to the threat of shelling, as well as logistical problems and destruction.

Coal production in state-owned mines fell by about a third due to the occupation of some facilities. But we have alternatives, so at the beginning of the heating season, we expect to increase the volume of coal in warehouses to at least 2 million tons. This will ensure the stability of supplies for both individuals and businesses. The maximum figure we intend to accumulate is about 3 million tons of coal at the beginning of the heating season. We have such a task before the Ministry of Energy.

Regarding electricity. Consumption fell by about 30%. This gives the opportunity to provide the country and export electricity to European countries, through which our companies receive additional income and export earnings. Increasing the export potential of electricity to the EU is one of the key priorities in the field of energy and our European integration. The potential there is hundreds of millions of dollars in profits each year and reducing Europe's dependence on russian gas.

Announced repair plans and accumulation of resources for the heating season are priorities for the Ministry of Energy and the Ministry of Communities and Territories  Development. Ministers are commissioned to report every two weeks on their implementation.

Ukrainian energy has a huge potential for development. After our victory in the war, this sector will be one of the drivers of recovery and growth of our economy. Ukraine's accession to the European grid opens up opportunities for the transformation of our energy infrastructure, green transition, and the implementation of energy efficiency programs. Ukraine can become one of the key elements of the European Union's energy security.

Finally, I want to thank our power engineers who are exerting every effort. In the darkest times, you give Ukraine light and warmth. This is a feat that deserves great respect. Thank you for that.

We continue to work and move forward with faith in our victory.