Ukraine: DTEK markets net loss from electricity exports

, SEE Energy News

Existing conditions in the Ukrainian energy market make unprofitable exports of electricity, so the net loss of the largest private energy holding of Ukraine, DTEK, from the supply of electricity abroad in January – April 2016 reached 10 million euros only.

This was announced by Director of Business Operations “DTEK Energo” Vitaly Butenko.

“If the trend continues like this until the end of the year, the loss from exports to Poland will amount 15 million euros, Hungary -25 – 30 million euros. This business is currently not profitable… We are on the verge of losing the European market “, – he said during the conference” Energy Spring 2016 “in Kyiv on Thursday.

Butenko said that if the purchase price of 1 MW in the Ukrainian wholesale market is 43 euros, the price of its sale in Hungary is around 31 euros, and it recently fell and up to 29 euros.

DTEK is forced to continue unprofitable exports to ensure coal purchases from the state mines.

“Make the price competitive – it is a question of survival of the country’s energy market,” – said Butenko, recalling that last year Ukraine has lost Belarus and Moldova markets, which were more focused on the delivery of electricity from Ukrainian nuclear power plants.

He explained that the entire Ukrainian power generation system condition , with the exception of legally protected producers from high rate paid “green” energy, for the past two years has deteriorated to critical, and the way out is to create conditions for increasing exports.

“It is obvious that, as domestic consumption fell, the Crimea and the East is not present, exports is the only way to provide at least some support for producers of electricity: the nuclear and thermal” – said the representative of DTEK, transmits