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Ukrenergo's re-subordination from the Ministry of Energy and Coal Industry to the Finance Ministry is due to the need for distribution of control over power generating companies and electricity transmission.
The state-owned operator of Ukraine's united power grids, Ukrenergo, has come under the control of the Ministry of Finance of Ukraine.
"The Commission on the transfer of Ukrenergo's property complex has signed a statement of transfer and acceptance of the company's integral property complex from Ukraine's Energy and Coal Industry Ministry to the management of Finance Ministry. This means the actual completion of Ukrenergo's unbundling and ensuring the independence of the transmission system operator from activities on production and supply of electric energy," the company's press service said in a statement on February 6.
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It is noted that the Ukrenergo's re-subordination from the Ministry of Energy and Coal Industry to the Finance Ministry is due to the need for distribution of control over power generating companies and electricity transmission.
This approach is enshrined in EU Directive 2009/72, which Ukraine has implemented into its legislation as part of fulfillment of its international obligations to the Energy Community.
"It ensures independence of the transmission system operator and guarantees the absense of discrimination of market participants in terms of access to power grids, monitoring of the company's financial condition, and at the same time, the absence of political pressure and interference in its work. In turn, this will contribute to the growth of investor confidence in both the company and the industry as a whole," the press service said.
As UNIAN reported earlier, in November 2018, the Cabinet of Ministers transferred control over Ukrenergo from the Ministry of Energy and Coal Industry to the Finance Ministry.
UNIAN memo. The national energy company, Ukrenergo, operates trunk and inter-state transmission lines and is in charge of centralized control over Ukraine's integrated power grids. It is wholly owned by the state and subordinate to the Energy and Coal Industry Ministry.