Power supply suspended to Ukraine's major regional water operator

To have the supply of electricity from power grids restored, the water utility company must conclude an agreement with a new electricity supplier, as well as settle the issue of debt settlement.

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Ukraine's electricity distribution system operator, at the request of the Ukrainian state-owned enterprise Ukrinterenergo ("last resort" supplier), has partially disconnected the Voda Donbasa water supply utility company, which delivers water across pipes laid in Donetsk region, Eastern Ukraine.

"The power supply was limited due to the fact that a 90-day contract between Voda Donbasa and Ukrinterenergo had expired, while no contract had been concluded with a new supplier. According to Law of Ukraine 'On the Electric Energy Market' and the Electricity Retail Market Rules, the distribution system operator is obliged to fulfill the demand of Ukrinterenergo, the so-called 'last resort' supplier, and cut power supplies to consumers who have failed to conclude an electricity supply contract," DTEK PEM-Energovuhillia's press service said in a statement April 3.

It is noted that the following facilities have already been disconnected from electricity: Bilokuzmynivka pump station and Kleban Byk substation (110 kV) in Konstiantynivka district, as well as a river intake pump station in the city of Mariupol.

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To have the supply of electricity from power grids restored, the water utility company must conclude an agreement with a new electricity supplier, as well as settle the issue of debt settlement.

As UNIAN reported earlier, on March 31, 2019, Ukrinterenergo completed power supplies to consumers who joined the contract for the supply of electricity by the "last resort" supplier from January 1, 2019.

There are more than 1,300 such consumers in Ukraine, according to Ukrinterenergo's website. Many of them have issues with payments: in the first two months of 2019, consumers' total payments for electricity did not exceed 40%.

Among the biggest debtors are district-level central heating providers, state-owned mines, industrial and state-run enterprises, as well as water-pumping enterprise, the most problematic of which are Voda Donbasa and Lysychanskvodokanal utility companies, which supply Donetsk and Luhansk regions with water.

In mid-April 2017, the Verkhovna Rada, Ukraine's parliament, passed draft law "On the Electric Energy Market." Under the document, an agreement with the "last resort" supplier guarantees power supplies if a consumer has not entered into an agreement with a universal service provider. The agreement with the "last resort" supplier guarantees the supply of electricity within 90 days. The Ukrainian government identified Ukrinterenergo as the "last resort" supplier.

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