11:24 26.10.2021

Naftogaz to supply gas to household customers of SoLR at UAH 7.96 per cubic m, budget-funded entities at UAH 16.8 in Oct-Nov

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Naftogaz to supply gas to household customers of SoLR at UAH 7.96 per cubic m, budget-funded entities at UAH 16.8 in Oct-Nov

The Cabinet of Ministers of Ukraine obliged the winner of the bidding on the supplier of last resort (SoLR), which is Naftogaz Ukrainy, to supply natural gas to household consumers at a price not exceeding UAH 7.96 per cubic meters, budget-funded entity not exceeding UAH 16.8 per cubic meters (including VAT and excluding delivery) in October and November 2021.

The decision to equalize the prices of the supplier of last resort with the current gas prices of Naftogaz Ukrainy for the population and budget-funded entities was enshrined in Cabinet of Ministers Resolution No.1102 dated October 25, 2021, the text of which was made public on the government portal.

In addition to amending Resolution No.809 dated September 30, 2015 on the supplier of last resort, by which the winning bidder agrees with such delivery prices for two months, these cut-off prices for SoLD are also enshrined in "quarantine" Resolution No.1236 dated December 9, 2020.

The gas price for SoLD customers, previously announced by Naftogaz, was UAH 16.56 per cubic meter in October (including VAT and excluding delivery), which is 38% higher than the September price (UAH 12 per cubic meter).

In addition, the Cabinet of Ministers of Ukraine has changed the formula by which SoLD supplies natural gas. The formula previously prescribed in Resolution No.809 is limited to the period until September 30, 2021, and the new one is valid from October 1, 2021.

The government of Ukraine also introduced into the "quarantine" resolution a requirement for the Ukrainian GTS Operator with the participation of the Gas Transmission System Operators to automatically include in the SoLD portfolio the volumes of natural gas consumed by budget-funded entities (including municipal and state-owned medical facilities), which were not supplied from October 1, 2021 by any suppliers.

The GTS Operators were instructed to enter data on all protected consumers into the GTSOU information platform: the population, budget-funded entities, municipal and state-owned medical facilities, as well as heat producers for the above consumers.

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