Investment Potential of Ukrainian Energy Sector Is Estimated at $200 Billion

November 29, 2018

28 November 2018, Washington DC

To reach the objectives set forth by the Energy Strategy of Ukraine till 2035, the level of investment in Ukrainian energy sector is estimated at the level of $200 billion.

The most attractive directions for investing include: energy savings, expansion of the renewable’s sector, gas production build-up, upgrading the energy network and establishing the Central European gas hub on the basis of Ukrainian underground storage facilities.

This message was shared by the participants of the Conference “The State of Ukraine’s Energy Sector”, which was held in Atlantic Council Headquarters (Washington DC) and was devoted to role of Ukraine in the global energy processes.

According to Volodymyr Omelchenko, Director of Energy Programmes at Razumkov Centre, nowadays the investment climate in Ukraine remains unfavorable for investment. This is due to non-compliance to the rule of law and inefficiency of the state institutions. However, there is a marked boost in the investment activity in certain spheres.”

“This refers mainly to RES sector, because of its high guaranteed tariffs”, - emphasized Mr. Omelchenko. He has highlighted that for improving the investment situation in the country, it is imperative to demonopolize the markets, protect the property rights, open access to geological information and make tax legislation sustainable.

The key Speakers were: Ambassador Richard Morningstar, Founding Director and Chairman of Global Energy Center (Atlantic Council), Mr. Edward Chow, Non-resident Senior Associate, Energy and National Security, Center for Strategic and International Studies, Dr. Ariel Cohen, Senior Fellow, Eurasia Center, Atlantic Council. The Conference Moderators were: Dr. Anders Aslund, Senior Fellow, Eurasia Center, Atlantic Council and Melinda Haring, Editor, Ukraine Alert, Atlantic Council.

The Conference included two panel discussions based on the paper presentation “The Role and Place of Ukraine’s Energy Sector in Global Energy Processes” delivered by experts of the Razumkov Centre’s Energy Programmes: Volodymyr Omelchenko, Victor Logatskiy, Svitlana Chekunova and Maksym Biliavskyi.

The first one was concentrated on discussing the Ukrainian Energy Sector: Opportunities for Expansion and Investment and the second one – on Ukrainian Energy Sector in the Global Context.