approximately €90 million. This has the potential to facilitate several billion Euro of investments by European and international financial institutions in energy efficiency in Ukraine. The leaders encouraged other donors and institutions to participate in this partnership.
Kiev, 4 December 2009
17145/09 (Presse 366)
Kiev, 4 December 2009
Установка з генерації електричної енергії WEB VETRNA ENERGIE, Чехія
More info - www.windkraft.at Video - eu4ukr
Relations between Ukraine and Russia over energy supplies are often tense, especially over prices, as Ukraine is highly reliant on Russia for supplies, while Ukraine is important to Russia in that it carries 84% of its gas supply to European markets. Years of cut-price Russian gas came to an abrupt end in the winter of 2005-06 when Moscow briefly cut the gas supply for Ukraine's use in a dispute over payments and announced it would be raising its prices towards market rates. Starting January 1, 2009, Russia is expected to charge Ukraine the market rate of $410 per 1000 cu metres of gas, a jump from the 4 179.50 it charged in June 2008, marking a turning point for energy security in the region as a whole. With roughly two-thirds of all Ukraine's gas coming from Russia, this crisis reinforced thinking in Kiev and beyond about how the country could diversify its supply. The government of Prime Minister Yulia Tymoshenko has been trying to restructure the way in which gas is brought into the country and then redistributed. She is seeking to establish joint ventures with a view of giving Ukraine a say in the provision of gas to the border and the possibility to directly sell gas inside the country. Meanwhile, the Ukrainian government, aware of its insecurities in hydrocarbons, is seeking to boost domestic output, with a stress on exploration and production. The government is urging companies to upgrade facilities and equipment and move away from high-energy consumption, while concentrating on extracting from more difficult deposits, such as deepwater in the Black Sea. With surging global oil and gas prices, there is plenty of incentive for more difficult deposits to be explored and developed. Due to some of these issues, coal and nuclear energy are experiencing a renewal of interest. Indeed, coal is the only energy source that Ukraine possesses in large amounts, although Soviet era infrastructure prevents cost-effectiveness.
Annual Business Economic and Political Review: Ukraine, OBG
ISSN (Online): 1759-3263
ISSN (Print): 1759-3255