The government reduced gas prices for cogeneration units in frontline regions

The Cabinet of Ministers of Ukraine reduced the price of natural gas for electricity producers at thermal power plants, combined heat and power plants, gas turbine and gas piston units in frontline regions. This was announced by the Prime Minister of Ukraine Yulia Svyrydenko, confirming the information published in ExPro Gas&Oil Weekly.

The new price is 19,000 UAH/tcm (including VAT), 2,000 UAH lower than the previous one – 21,000 UAH/tcm. The price will be valid for one year, until the end of 2026.

According to Svyrydenko, many power plants in frontline regions operate on gas and ensure the balancing of the energy system during peak loads. A stable and predictable gas price allows them to plan work, conclude new contracts, and provide electricity when it is critical. Importantly, the new prices will apply only to new generating capacities.

Only companies concluding a contract with Naftogaz Trading for the first time within the PSO framework will be able to receive the price of 19,000 UAH/tcm (including VAT).

In addition, the government simplified the rules for the installation of gas piston, gas turbine units, and block-modular boiler houses of any capacity. Previously, capacity restrictions (from 1 MW) created difficulties for communities, hospitals, schools, and enterprises.

This rule applies to all types of units: gas and diesel generators, cogeneration modules, gas turbine and gas piston units, and energy storage systems.

According to Svyrydenko, these steps will allow connecting cogeneration units to the general grid as quickly as possible. A

s reported by ExPro, in October the government raised natural gas prices for electricity generation under the PSO, in particular for cogeneration units, to 21,000 UAH/tcm. The gas supplier will remain Gas Supply Company Naftogaz Trading LLC.