Energy sector of Ukraine: overview of the situation on 22 March 2022

The actual state of the unified power system of Ukraine

The network operates in synchronised mode with ENTSO-E maintaining a 50 Hz frequency. The synchronised work has made it possible to restore the entire operation of the Dnistrovska pumped storage power plant, which was previously not possible due to the potentially negative impact on the frequency and stability of the power system. Regional distribution companies have managed to reconnect more than 190,600 consumers to the electricity supply in Kharkiv, Kyiv, Zaporizhzhya, Mykolaiv, Sumy and Donetsk regions. More than 1,377 settlements remain off the line, equal to 865,500 consumers.

The actual situation in the oil and gas sector

The Gas Transmission System Operator of Ukraine maintains operational and technological control over the Ukrainian gas transmission system. 40 out of 1,389 distribution stations remain disconnected in Donetsk, Luhansk, Kyiv, Zaporizhzhya, Mykolaiv, Kherson and Kharkiv regions. More than 281,000 consumers are left without gas supply. The underground gas storage network facilities are operating in the standard mode under heightened security.

The Shebelinsky oil refinery in the Kharkiv region remains stopped due to the threat of shelling with several gas processing departments (LPG production) operating.

The actual state of nuclear facilities in Ukraine

All four nuclear power plants in Ukraine are operating in a stable mode. Radiation, fire and environmental conditions at the facilities and adjacent territories are within the current norms.

Russian troops still occupy Europe’s largest nuclear power plant in Zaporizhzhya and the Chornobyl NPP, posing a significant risk of environmental catastrophe. The situation at the Zaporizhzhya NPP remains unchanged: the Russian nuclear energy corporation Rosatom representatives are illegally located on the site. The operation is carried out exclusively by the staff of Zaporizhzhya NPP.

The radiation situation in the Chornobyl Exclusion Zone is deteriorating due to forest fires in radioactively contaminated areas. Fires cannot be extinguished due to the occupation of the Exclusion Zone by Russian troops. The automated radiation monitoring system in the Exclusion Zone is not working.

As of 20 March, a full rotation of operational staff detained at the occupied Chornobyl NPP was carried out.

Regulatory changes

On 17 March 2022, the National Energy and Utilities Regulatory Commission adopted a resolution allowing accounting for the costs incurred by the licensees during martial law when conducting the state control measures. The following costs relate to:

  • the restoration of critical infrastructure;
  • supporting the Armed Forces of Ukraine;
  • the expenditures to ensure the country’s defence capabilities;
  • the implementation of measures to ensure the support of mobilised workers, as well as measures related to the evacuation of the population from areas where hostilities took place;
  • other actions related to the elimination of the consequences of hostilities.

On 15 March 2022, the Cabinet of Ministers of Ukraine approved a resolution amending the Technical Regulation on the requirements for motor gasoline, diesel, marine and bunker fuels. The resolution provides for:

  • the simplification of customs procedures for the petroleum products supply;
  • the introduction of motor gasoline and diesel fuel under Euro 3 and Euro 4 standards.

Information contained in this article is for general informational purposes only, does not constitute legal or any other professional advice and should not be relied upon as a substitute for specific professional advice adapted to the specific circumstances. 

Authors: Maryna Hritsyshyna, Nataliia Hutarevych, Sergiy Bovkunovych

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