Ukraine has announced the establishment of a Strategic Reserve for the energy sector within the Energy Support Fund of Ukraine. This decision was made following negotiations in Brussels, as reported by Energy Minister Denys Shmyhal.
This is reported by Finway
Reserve Mechanism and Funding
Denys Shmyhal noted that the current available budget of the Strategic Reserve amounts to 197 million euros. This will allow Ukrainian energy companies to accumulate the necessary equipment in advance for the next winter. If needed, the formed reserves will be directed towards repair works and the restoration of energy facilities.
“The available budget of the Reserve currently stands at 197 million euros. Thanks to this mechanism, Ukrainian companies will be able to accumulate energy equipment for the next winter and then, if necessary, use the formed reserves for repairs,” he explained.
Energy Needs and International Cooperation
According to the minister, the Ukrainian government, together with international partners, has identified the financial needs for preparing for the winter period. The total amount of these needs is estimated at 5.4 billion euros. Work on securing full funding is ongoing.
During the visit to Brussels, the Ukrainian delegation held a series of meetings with representatives of the European Commission, including with the head of diplomacy, Josep Borrell, and Commissioners Marta Kos and Dan Jørgensen. The main topics of the negotiations were issues related to the restoration and protection of energy facilities, provision of equipment for repairs, and strengthening sanctions against Russian energy resources.
Shmyhal expressed gratitude to the European Commission, the countries participating in the energy “Ramstein,” the Secretariat of the Energy Community, and the donors of the Energy Support Fund of Ukraine, whose contributions have already exceeded 1.87 billion euros.
Since the beginning of the full-scale invasion by Russia in February 2022, Ukraine’s energy infrastructure has been subjected to regular attacks. The bombardments from Russia intensified particularly from the autumn of 2025. According to UN estimates, as of January 2026, Ukraine has lost more than half of its pre-war electricity production capacity, retaining only 11 GW of generation, which is significantly less than the required 18 GW to cover peak winter consumption. This has led to prolonged power outages in the country.