Ukraine simplifies procedures for the development of distributed generation: the Ministry of Energy told about programs to support citizens and businesses

Ukraine simplifies procedures for the development of distributed generation: the Ministry of Energy told about programs to support citizens and businesses

Kyiv  •  UNN

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The Government of Ukraine has simplified licensing procedures for the development of distributed generation. Financial incentives have been introduced, grid connection and commissioning of generating facilities have been simplified.

Ukraine has significantly simplified licensing procedures for the development of distributed generation. Financial incentives for businesses and citizens have been introduced, the Ministry of Energy said, UNN reports

According to the agency, to support citizens and businesses in purchasing energy equipment:

  • a financial support program for households was introduced, such as a 0% loan for individuals to purchase energy equipment;
  • expanded the “Affordable Loans 5-7-9%” program for the purchase of energy equipment for condominiums, housing cooperatives, and businesses, and established special conditions for state-owned and municipal enterprises;
  • the loan program for condominiums and housing cooperatives can be used in conjunction with the Grindim program.

 The conditions for the implementation of distributed generation projects have also been significantly simplified:

  • Procedures have been developed to simplify the connection of distributed generation sources to electricity, heat and gas networks, and the conditions for the location, construction and commissioning of generating facilities have been regulated.
  • Decisions have been made to remove customs duties and value-added tax on renewable energy equipment, simplify procurement procedures for small distributed generation facilities without tenders, and ease the process of approval and commissioning.

 The state actively promotes the construction and placement of gas piston and gas turbine plants, including cogeneration plants:

  • The list of documents for their construction and placement has been shortened. Today, it is possible to install generation facilities in parallel with the preparation of project documentation, and operation can be carried out without a certificate of acceptance for operation.

 To prepare for the 2024-2025 heating season, state-owned and municipal enterprises are allowed to purchase generation equipment without holding tenders. An additional safeguard is the requirement to report in the Prozorro electronic system, the Energy Ministry said. 

 The government's telephone line "STRUM" 15-49 with counseling support is available.

 Ukraine has also introduced the practice of pilot auctions for the distribution of support quotas for renewable energy producers. The development and attraction of investments in the development of new generating capacities, energy storage facilities and grid infrastructure is being comprehensively promoted. 

 In addition, the Ministry of Energy has approved the Roadmap for the Development of Smart Grids, which provides for the introduction of automation and digital solutions at all levels of the energy system. Negotiations are underway with partners to invest in modern energy storage systems.

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