Cabinet resolution #777-p of September 5, 2023
Decision-maker: the Cabinet of Ministers of Ukraine
Status: in effect since September 6, 2023
Who is affected: all Ukrainian consumers of electricity — both households and legal entities, — the Ministry of Energy, the Ministry of Finance, and the National Power Company Ukrenergo
Summary of the resolution:
- 9 billion 740 million UAH from the Fund for Liquidating the Consequences of the Armed Aggression are allocated to the Ministry of Energy for a new budget program. The money will be used “to fund the construction, repair, and other engineering and technical measures to protect the critical infrastructure of the fuel and energy sector”
- the Cabinet approved a list of facilities, repairs, and other engineering and technical measures necessary to protect the critical infrastructure and the volume of budget funding (classified information).
What is right: the Cabinet is preparing the Ukrainian energy system for a potentially increased load during the fall and winter periods. It is especially important due to possible attacks on the energy infrastructure of Ukraine.
What is wrong: since there is no unified reconstruction plan, funds from the Fund are allocated ad hoc. As a result, they will be used with questionable efficiency and there are risks of power abuse. Because of the restrictions imposed under martial law, including the closure of state registers and restrictions on freedom of speech, media and NGOs cannot effectively control the use of public money by the Fund.
Alternative solution: to develop a unified strategy for the reconstruction of Ukraine and plan the work of the Fund accordingly. Reconstruction should be timely, efficient, just, and data-driven. Our position on the issue is outlined here.