In January 2019 Ukraine does not launch monetisation of subsidies per se, but rather starts adopting relevant provisions to regulate this process. Currently about 5 million households receive subsidies in Ukraine.
Upon the government’s initiative, it is planned to undertake monetisation based on experiments conducted in 2017–2018. The first stage will cover those who first applied for a subsidy (from January 2019); the second stage will involve monetisation outside the heating season (from May 2019), and finally, the monetisation will reach all eligible Ukrainians starting from October 2019.
Initially, the draft State Budget included UAH 55 billion on subsidies. According to experts, however, we need at least UAH 90 billion, not including increased heating tariffs. For example, heating tariffs in Kyiv are set to rise by 32%, therefore it is highly likely that relevant funds in the State Budget will be insufficient for monetisation.
