Prices for All Energy Resources Must Be Determined Using Market Model

November 20, 2017

Prices for all energy resources must be determined using market model. However, Ukraine has currently got neither a retail natural gas market, nor a coal market. Therefore, in order to determine a price close to the market one, we should use European exchange prices as guidance.

In the nearest 2-3 years, it will be hard for Ukraine to stop importing coal, so we need to invest some serious money into its extraction. For this, we need to reform the coal industry. Privatise uneconomic mines. And, generally, we need to establish a coal exchange and an investment programme to increase production. The state must create appropriate pricing and investment conditions, and, most likely, conditions for privatisation of state mines, in order to increase our own coal production.


Volodymyr Omelchenko

Director, Energy Programmes

Born in 1967 in Kyiv.

Education: Kyiv Politechnic Institute, Department of Chemical Engineering (1992).

Author of over 50 scientific works and op-ed publications. Took part in development and implementation of international energy projects and scientific research in international energy policy.


1992–1996, worked in different positions in the mechanical engineering industry;

1997–1998 — head expert of the division of oil, gas and petroleum refining industry of the Ministry of Economy of Ukraine;

1998–2003 — Naftohaz Ukrayiny National Joint-Stock Company, in charge of oil transportation section;

2004–2007 — chief consultant at the National Institute of International Security Problems of Ukraine’s NSDC;

since February, 2007 — Leading Expert, Razumkov Centre. Director since 2013.

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