Kyiv, July 4 (Interfax-Ukraine) - The Association of Alternative Fuel and Energy Market Participants (APEU) opposes the adoption of a decision to cut the feed-in tariff for solar power plants, which ignores Ukrainian law.

"The initiative, which actually kills the investment attractiveness of the sector, was a surprise for market players, as we have the law on electricity which guarantees that investors who invested in the alternative energy have certain guarantees on the feed-in tariff," APEU President Vitaliy Daviy said at a press conference at Interfax-Ukraine.

He also expressed indignation that the cabinet passed the resolution to cut the feed-in tariff without discussing the initiative with market players who invested own funds in the construction of solar power plants and raised loans.

"If we speak about the transparency of the model of the economy and political system formation, reforms, how in the said conditions it is possible to speak about the formation of the sound investment climate if someone using old proved schemes presents with an accomplished fact and is involved in legislative manipulations," he said.

Director of Rengy Development, Hennadiy Fedorovsky, whose company raised loans to build solar power plants from the European Bank for Reconstruction and Development (EBRD), said that representatives of the profile ministry were to discuss the future of alternative energy with market players and not to unanimously make decisions that could destroy it.

"I hope that jointly we'll find a compromise, as everything should be calculated and discussed, and this cannot be closed in one move," he said.

As reported, the Cabinet of Ministers of Ukraine proposed that the peak coefficient used for the calculation of feed-in tariffs is cut from 1.8 to 1.01.

The recommendation to the National Commission for Energy Regulation of Ukraine (NCER) is stipulated in cabinet resolution No. 589-r. The NCER has set feed-in tariffs for solar power plants for July, not taking into account cabinet resolution No. 589-r.