The paper presents analysis of the place of biomass in Ukraine’s energy balance and the role of bioenergy in achieving the goals of the National Renewable Energy Action Plan. The potential of biomass for energy in Ukraine is analyzed. Problems of heat tariffs setting and main problems of biofuel market are considered. Ways for creating the competitive heat and biofuel markets in Ukraine are suggested.State of the art and prospects for bioenergy development in Ukraine. Georgiy Geletukha, Tetiana Zheliezna. Journal “Industrial heat engineering”, 2017, vm. 39, №2 (p. 60-64).