The National Commission for State Regulation in the Spheres of Energy and Public Utilities (NERC) plans to review a draft resolution regarding the increase of tariffs for services related to the use of underground gas storage facilities in Ukraine at its meeting on May 5.
This is reported by Finway
Main changes in UGS service tariffs
As part of the proposed changes, tariffs for injection, withdrawal, and storage of gas in underground gas storage (UGS) facilities are set to rise. The main indicators are as follows:
- Gas storage: 0.45 UAH per 1,000 cubic meters per day (excluding VAT), which is higher than the current tariff of 0.4 UAH per 1,000 cubic meters.
- Gas injection: 360.02 UAH per 1,000 cubic meters (excluding VAT), representing a 48% increase compared to the current tariff of 253.03 UAH.
- Gas withdrawal: 360.02 UAH per 1,000 cubic meters (excluding VAT), which is 42% higher than the current level of 243.52 UAH per 1,000 cubic meters.
Purpose of tariff increases and market impact
The increase in tariffs for storage, injection, and withdrawal services is aimed at ensuring the financial stability of underground storage operators and supporting the investment attractiveness of the energy sector. At the same time, for consumers and businesses, this will mean a potential rise in costs for using UGS services.
“The National Commission for State Regulation in the Spheres of Energy and Public Utilities (NERC) plans to review a draft resolution regarding the increase of tariffs for gas injection, withdrawal, and storage in Ukrainian underground gas storage facilities at its meeting on May 5.”
If the new tariffs are approved, the changes may come into effect very soon. This is an important step towards further modernization of the gas transportation infrastructure and ensuring the reliability of energy supply in Ukraine.