New price caps in Ukraine’s electricity market
New price caps in Ukraine’s electricity market: A significant step towards private investment in distributed generation.
We’re excited to share that new price caps will be introduced in Ukraine’s electricity market in June, a decision fully supported by our team at UABIO.
The Regulator has set new price caps on the day-ahead, intraday, and balancing markets, following a NEURC meeting on 20 May, coming into force on 31 May 2024.
These changes will create favorable conditions for private investment in distributed generation, particularly relevant given the cancellation of Order 206 and the reduction of revenues for producers of electricity from biomass and biogas with the “green tariff”.
The new price caps will encourage producers to transition from the Guaranteed Buyer balancing group to the market premium mechanism, fostering a more dynamic and competitive electricity market in Ukraine.
Approved price caps
on the day-ahead and intraday markets:
maximum price caps:
- from 00:00 to 07:00 and from 11:00 to 17:00 – UAH 5,600.00/MWh;
- from 07:00 to 11:00 and from 23:00 to 24:00 – UAH 6,900.00/MWh;
- from 17:00 to 23:00 – UAH 9,000.00/MWh.
minimum price cap:
- 10.00 UAH/MWh.
on the balancing market:
maximum price caps:
- from 00:00 to 07:00 – UAH 6,600.00/MWh;
- from 07:00 to 17:00 and from 23:00 to 24:00 – UAH 8,250.00/MWh;
- from 17:00 to 23:00 – UAH 10,000.00/MWh.
minimum price cap:
- 0.01 UAH/MWh.
