Ukrenergo may receive €90 million from EBRD to strengthen energy system
The National Commission for State Regulation of Energy and Public Utilities (NCREPU) has created the legal preconditions for NPC Ukrenergo to secure a €90 million loan from the European Bank for Reconstruction and Development (EBRD).
This was reported by Censor.NET with reference to a statement by NCREPU.
Why the regulator’s decision is needed
During its meeting, NCREPU adopted a resolution on signing an agreement on the repayment of debt to the state for the fulfillment of guarantee obligations under the guarantee agreement between Ukraine and the EBRD.
The commission explained that the document was adopted at Ukrenergo’s request.
The regulator also authorized the NCREPU chairman to sign the relevant agreement on behalf of the commission.
"The conclusion of this agreement is one of the necessary conditions for signing a loan agreement between Ukrenergo and the EBRD ," NCREPU said.
What the funds will be used for
The funds raised are planned to be used to improve the reliability and resilience of power transmission grids.
This includes the reconstruction and construction of electricity transmission system facilities, in particular 330 kV substations.
In addition, the project is considering the possibility of attracting grant funding to purchase backup equipment and increase the capacity of cross-border interconnectors.
How this will affect the energy system
NCREPU noted that the implementation of the project should improve the reliability of the electricity transmission system and strengthen Ukraine’s energy security.
Further integration of Ukraine’s energy system into the European energy network is also expected.
