Cabinet approves concept of coal industry reform, development until 2020
The Cabinet of Ministers of Ukraine at a meeting on May 24 approved the concept of coal industry reforming and development for the period until 2020.
"The purpose of our concept is to increase coal production with a simultaneous complete transfer of mines to non-subsidization and self-sufficiency, solving environmental and social problems," Energy and Coal Industry Minister Ihor Nasalyk said, when representing the document.
According to him, the ministry plans in the coming years to fully replace the use of anthracite coal at the country's power stations with gas coal. Thus, it is planned in 2017 to reduce anthracite consumption by thermal power stations (TPP) to 7 million tonnes compared with 10 million tonnes in 2016. At the same time, in 2019 it is expected to completely abandon the burning of anthracite at TPPs.
The minister said today all state mines are unprofitable and the implementation of the concept will allow by the end of the year to bring 70% of the mines to a break even level, of which 50% will be profitable. The ministry expects all state-owned mines to work profitably by the fall of 2018.