Energy Community statement on unbundling of gas transmission in Ukraine

European Union
European Union

The Energy Community has issued a statement on the recent developments in Ukraine’s gas sector.

As announced by the Ukrainian company Naftogaz, the supervisory boards of Naftogaz and Mahistralny Gazoprovody Ukrainy have agreed on a Memorandum of Understanding concerning the unbundling of gas transmission in Ukraine.

In response to the press release by Naftogaz, the Energy Community Secretariat underlined that it had not been consulted on the final version of such a document. The Energy Community is responsible for improving the legislative and regulatory environment for the energy sector in Ukraine, in line with its EU and Energy Community Treaty obligations.

The statement said that, during the last meeting of the Energy Reform Coordination Council, which was chaired by Prime Minister of Ukraine Volodymyr Groysman, it had been agreed that the Secretariat and NEURC (the Ukrainian regulator) would be involved to ensure that the model and agreed actions result in the certification of the transmission system operator.

“It is important that the designated partners, and ultimately Government, take responsibility of the unbundling process rather than delegating it to the supervisory boards of two companies,” the statement said. “Accountability and transparency will be crucial not only in rectifying the breach of the Energy Community rules on unbundling, but also to create certainty and reliability for domestic and international partners.”

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Press release

EU4Energy Programme