In Kyiv, the European Commission has offered a new support package to Ukraine to secure its energy system and enable its full integration within the European energy market.
This package will allow for the full coupling of Ukraine’s electricity market with the EU by early 2027, together with Moldova, as well as further integration in the EU gas sector, provided that Ukraine significantly accelerates the necessary market reforms. It will also boost the security of supply in Ukraine and the wider region, as the Commission will assist with the necessary purchases of gas. Crucially, with a massive acceleration of domestic renewable power production, this package will increase the overall resilience of the Ukrainian energy system.
Ukraine’s civilian energy infrastructure has been the target of relentless Russian attacks over the past three years, with half of the country’s energy infrastructure destroyed. Only a fully independent energy system can shield Ukraine from current attacks and future pressure. Ukraine’s full integration with the EU energy market will act as part of the overall security guarantees the EU can provide, as well as an effective pre-condition for reconstruction as energy security is key to allow for investments to flow across the country.
Commission President Ursula von der Leyen said: “For three years, Russia has sought to plunge Ukraine into darkness by relentlessly targeting the energy infrastructure. This needs to stop for good. With the package we offer today Europe will ensure Ukraine has a resilient, secure and competitive energy system. More renewable energy and full energy markets integration will bring to greater energy security both for Ukraine and the European Union.”
An energy security and integration package for Ukraine
The package offered in Kyiv today consists of:
- The package will facilitate electricity market integration with the EU by spring 2027, together with Moldova, as well as further integration in the EU gas sector. This will be possible if Ukraine speeds up the implementation of existing commitments under the Ukraine Plan and the Energy Community in relation to legal, regulatory and public service obligation frameworks. This includes establishing a support mechanism for vulnerable households.
- The Commission will assist in funding gas purchases, especially through the Ukraine Facility together with its implementing partners. This will result in ample gas reserves to ensure security of supply, benefiting both Ukraine and the wider region.
- The package will accelerate investments in renewable energy, adding up with up to 1.5 GW of generation capacity. This represents approximately a 25% increase of total renewable energy generation capacity in Ukraine. Support will be channelled from the Ukraine Facility.
These new measures will build on over €2 billion of EU support delivered over the past three years to increase the resilience of Ukraine’s energy system and to guarantee people’s access to energy. Support was primarily delivered via the Ukraine Energy Support Fund, the Union Civil Protection Mechanism, as well as humanitarian aid and proceeds from Russian immobilised assets.
Substantial support delivered
The EU has delivered on each of the three priorities set out by President von der Leyen in September when she presented a €156 million package to address the immediate needs of the Ukrainian population ahead of winter while strengthening energy systems:
- Repair: 1.8 GW of power capacity from thermal power plants repaired.
- Stabilise: Wind and solar projects rolled out across Ukraine to bring energy security to critical services as well as households and businesses, including via the “Ray of Hope” project which is allowing for the installation of solar panels to power hospitals.
- Connect: EU electricity exports for winter increased with commercial capacity reaching 2.1 GW and an emergency buffer extra capacity of 250 MW.
In Kyiv, the Commission and Ukraine also agreed on a roadmap to step up cooperation on renewable gases. By providing alternative and cleaner supplies, this will strengthen energy security in the EU and in Ukraine, while supporting development and investments in the renewable gas sector in Ukraine.