Energy commission pegs cost of coal in CHPP tariffs to future quotations
The National Commission for Energy, Housing and Utilities Services Regulation (NCER) has pegged the upper cost of coal in the tariffs of combined heat and power plants (CHPPs) to the future quotations for the next six months.
The methods for forming the tariffs for electricity and heat generated by CHPPs and thermal power plants (TPPs, apart from those operating with price bids) and cogeneration units was approved at a meeting of the regulator in Kyiv on Tuesday.
According to the document, the upper indicative price of coal will be calculated using futures in the European Energy Exchange AG, Platts and Argus publications.
The indicative cost of coal will take into account the cost of its delivery from Amsterdam, Rotterdam and Antwerp to Ukraine, the cost of handling at Ukrainian ports and transportation by rail to CHPPs. The cost of transportation will be calculated using the data for the past year.
The new methods include the revision of the cost of coal if its quality is lower than basic figures.
As for natural gas consumed by CHPPs its cost in the tariffs will be reflected as pegged to future quotations for next six months (taking into account transportation from Germany's NCG gas hub).