Policy Win: Parliament Adopted Crucial Draft Laws on the National Energy Regulator, Gas Stock Reserve and Electricity Market Supported by the Chamber
During the recent plenary week the Verkhovna Rada of Ukraine adopted a package of Draft Laws, advocated by the Chamber, which are crucial for the liberalization of the energy markets, namely:
1. Draft Law #2966-d "On National Commission for State Regulation of Energy and Public Utilities" – is one of the Chamber's White Paper key priorities. The Draft Law is the key factor in the existence of the independent National Regulator, and for the proper functioning of the energy markets. In addition, adoption of the Draft Law opens the way to finally resuming the issuance of licenses for gas supply, which was "blocked' for over a year;
2. Draft Law #3617 "On Amendments to the Law "On the Natural Gas Market (regarding Gas Stock Reserve)" – establishes a gas stock reserve obligation of up to 10%. The Chamber advocated for reduction of the amount of the gas stock reserve for private suppliers, which will reduce financial pressure on companies and eventually ensure security of gas supply;
3. Draft Law #4493 "On Electricity Market" – was passed in the first reading, still its full adoption is Ukraine's obligation according to the Third Energy Package. The Draft Law introduces a new model for the electricity market. While supporting the adoption of the Draft Law, the Chamber encourages the Parliament to take into consideration our proposals regarding balancing costs provisions before the 2nd reading.
The Chamber welcomes the Parliament's great step towards implementation of the Third Energy Package. Adoption, and following proper implementation, of these important Draft Laws will be a great contribution towards liberalization of the energy markets. Lots of work still needs to be done as Ukraine's energy sector still requires elimination of gaps and collisions in order to become real, transparent and well-functioning.
Therefore, the Chamber will continue working with the Energy Committee of the Verkhovna Rada of Ukraine and all the stakeholders in this sphere on improving the legislative environment in the energy sphere.