Ukraine: 978 days of war

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Voices from the energy sector in Ukraine

Expert Articles - "Ukraine: 978 days of war" simple text imageExpert Articles - "Ukraine: 978 days of war" simple text image

978 days since Russia’s unprovoked, full-scale invasion of Ukraine, and in the aftermath of some of the country’s darkest days, we’re dedicating our October article to Ukraine. 

As the 1,000th day of conflict nears, and winter comes closer, there is perhaps a risk that the catastrophic situation has become in some way normalised in the minds of some in Europe. Miroslav Jenča, the UN’s Assistant Secretary-General for Europe, Central Asia and the Americas characterised September 2024 as the month with the highest number of civilian casualties in Ukraine this year.  Furthermore, Mr. Jenča reported that “systematic Russian attacks on Ukraine’s energy infrastructure have become one of the defining, abhorrent hallmarks of this war”.

As Ukraine faces a third winter at war, we must not lose the momentum to keep supporting the country in its time of desperate need. 

Action vs reaction 

With the new Commission not set to take office until 1 December at the earliest, and in a year of uncertainty with US elections looming, a Trump victory could see aid for Ukraine wane. We can be hopeful about the EU’s targeted support for Ukraine’s energy security for the winter with planned action to “Repair, Connect and Stabilise”, but we must not lose sight of the reality on the ground and it is imperative that political will is sustained in these uncertain times.

The Ukrainian energy company DTEK (of which subsidiary D.Trading is an Energy Traders Europe member) recently launched the “Fight for Light” exhibition in Brussels highlighting the untold story of Ukraine’s energy frontline. The exposition provides a stark reminder of the destruction and devastation inflicted on the country. 

Source: DTEK

Energy’s role in redevelopment

The energy sector will play a hugely important role in Ukraine’s reconstruction and redevelopment. The IEA’s recent report on Ukraine’s Energy Security and the Coming Winter outlines key actions such as expanding electricity transmission capacity with the EU and laying the foundation for a modern, resilient, and sustainable energy system integrated with the EU. These measures will be essential to reinforcing the country’s energy security, but also, it’s overall security.  

Valeriya Izhyk, EU Policy Officer on Ukraine's reconstruction at CEE Bankwatch Network and European Climate Pact Ambassador reflects on the impact Ukraine’s energy sector reconstruction could have:

"Ukraine will have to reinvent its energy sector and role as a European energy player. Not the biggest Russian gas transit country for Europe, not the world’s 19th largest carbon dioxide emitter… Ukraine can become a role model for other countries bouncing back from man-made and natural disasters. For this to happen, the energy sector should become highly decentralised and based on indigenous green energy sources well-balanced and sustainably stored."

Energy Traders Europe will play our part in supporting these efforts, as we have done through historic projects like developing a Customs Warehouse approach to improve the usage of Ukrainian gas storage assets.

Resilient responses

The charitable foundation, REPower Ukraine has been working tirelessly to overcome the relentless attacks on Ukrainian infrastructure with a resilient, green approach. The foundation aims to overcome the challenges faced by Russian aggression by providing energy supply and storage solutions using renewable energy sources and the most energy-efficient technologies. Some of the projects RePower Ukraine have worked on have included providing emergency and back-up power for hospitals by installing photovoltaic plants and energy storage systems at hospitals across the country.

Progress in power markets

Ukraine should also be commended for the incredible progress made in its energy reforms, which has drastically impacted its generation capacity and network infrastructure. More positive steps can be seen with the recent registration by Members of the Ukrainian Parliament of a draft law that transposes key provisions of the Electricity Integration Package (EIP) into Ukraine's national primary legislation. This progress is hugely significant for both EU electricity market integration and for ensuring Ukraine’s energy resilience and security of supply. 

Commenting on the importance of such advancements, Energy Lawyer Oleksandra Verheles shares her views:

"The last two years have been remarkably challenging for Ukraine’s energy infrastructure due to the numerous Russian attacks. The forecast for the upcoming winter is optimistic, in hope that it will not be freezing cold, and the bombardment of the electricity facilities will cease.

However, Ukraine is doing its best not only to save its energy system, but to become integrated into the EU internal electricity market. The first step was through ENTSO-E membership. At present, two editions of draft bills on the implementation of the Electricity Integration Package (including Clean Energy Package acts) are under consideration in the Ukrainian Parliament. Governmental bodies, the Regulator, and entities are actively preparing to work on the updated electricity market both legally, and technically. A significant number of people is involved in the various processes linked to the transposition of EU energy acquis, as this concerns Ukraine’s future.
The EU and the Energy Community provide valuable support to Ukraine in this way though different means, inter alia, knowledge, skills, and money (via the Ukraine Facility Plan or the Ukraine Energy Support Fund) for which Ukraine is immensely grateful, as it helps us to continue our fight and our daily lives.”

How to help

The Ukraine Energy Support Fund (UESF) was set up by the European Commission and the Ministry of Energy of Ukraine in 2022 with the goal of repairing and upgrading Ukraine’s energy infrastructure. Administered by the Energy Community, in cooperation with the Ukrainian Ministry of Energy, the UESF is urgently in need of further contributions to ensure rapid progress can be made for the upcoming winter season. Further information on the UESF can be found here.

Artur Lorkowski, Director of The Energy Community Secretariat further explains the significance of the fund:

"The Energy Community Secretariat (EnCS) is focused on supporting Ukraine through urgent war-related actions, such as the Ukraine Energy Support Fund (UESF), which has secured EUR 758 million for the rapid repair of energy infrastructure and the installation of new energy capacities, with EUR 240 million allocated specifically to winterisation projects. We have also established the Ukraine Energy Market Observatory to closely monitor developments in the energy market. Simultaneously, our efforts are dedicated to fostering a stable regulatory framework that facilitates the accelerated integration of Ukraine and Moldova with the EU’s energy markets, aimed at attracting investments, while enhancing energy security and promoting environmental sustainability."

The REPower Ukraine Charitable foundation is also playing a pivotal role in helping those in most need of energy to have access to power, both during the war, and in a post-war setting, while also ensuring a green recovery for the country. Details on how to make a financial donation to the foundation can be found on their website

As winter draws in, we must keep the struggles Ukraine faces each day at the front of our minds, and on the darkest of days, we must guarantee that there’ll always be light.