Ukraine: DTEK energy company overhauls TPPS and stock coal for winter

Published on 6. August 2015., SEE Energy News

Stocks of coal at power plants of energy company DTEK reached a critical winter reserves minimum. This is stated in the report on the preparation of thermal generation of DTEK for the heating season.

To date, the stocks of DTEK Dnieper TPP is 10 thousand tons of coal (at the same time in 2014 – 276 thousand tons), Krivoy Rog TPP – 6 thousand tons (in 2014 – 355 thousand tons). In Lugansk TPP accumulated about 460 thousand tons of coal, but the station is limited in power output due to damage to overhead power lines owned by NEC “Ukrenergo”. Restoration work will be done.

The required reserves of coal for the passage of RFP for the Dnieper, Krivoy Rog, and Lugansk TPPs are 160, 280 and 160 thousand tons respectively. Deliveries of hard coal from the area of Donetsk is still limited. Import of coal is impossible because of the high prices, which is not covered in the tariff for thermal power plants stated DTEK in the report.

The company complained to the unsolved problem of the export of coal from the territory uncontrolled by the authorities. Railway infrastructure in that area is badly damaged, also there are problems of shortage of locomotive traction and empty wagons.

According to the company, the electricity tariff established for thermal power plant, does not cover the cost of its production, not even at 85%. Thermal power plants in first 6 months of this year ended with a loss of 134MEUR and profitability -15% reported DTEK.

In 2015, DTEK is forced to cut investment in repairs for 22 units of thermal power plants totaling 27.39MEUR.Just for repairs in thermal power plants DTEK in 2015 will invest 98MEUR. As recalled in DTEK in 2013, the company invested in the repair of 10 units of TPPs 159MEUR, in 2014 – 126MEUR..

According to the company, UA needs a systematic approach to the problem of the export of coal from the uncontrolled territory of the authorities: to restore the railway infrastructure on the line of contact with the area of ​​hostilities, to redirect more mainline locomotives and empty cars from other sectors of the railways of Ukraine for the Donetsk railway.

In addition, DTEK’s call for the restoration of damaged main electric networks of TSO company NEC “Ukrenergo” to allow full operation of Lugansk TPP Zuevskaya TPP, TPP Kurakhovskaya, Mironovskaya TPP, TPP and Starobeshevskaya Vuhlehirska power station in the united energy system of Ukraine.

DTEK reported that as of July 27, 2015 in warehouses Burshtyn TPP complex accumulated 340 thousand tons of coal, Dobrotvorskaya TPP – 98 thousand tons, Ladyzhynskaya TPP – 67 thousand tons, Kurakhovskaya TPP – 50 thousand tons, Zaporizhzhya TPS – 114 thousand t, Luhansk TPP – 460 thousand tons. Total coal stocks of DTEK inTPPs as of July 27, 2015 are 1.2 million tons of coal.

DTEK owns and operates 10 power plants. Luganskaya TPP, Dnieper and Krivoy Rog TPPs use in their production the scarce anthracite coal. Kurakhovskaya, Zaporizhia, Burshtyn, Dobrotvorskaya, Ladyzhinskaya, Zuevskaya TPPs run on coal gas combination. Myronivsky power station can run on gas, and the anthracite coals.

DTEK holding, which manages three operating sub holdings and assets in conventional energy production. DTEK part of the financial-industrial group “System Capital Management” (SCM) whose main shareholder is Rinat Akhmetov.