PM Groysman guarantees reform boost in Naftogaz

"I guarantee that the reforms will be continued and accelerated in order for Naftogaz to be a modern, high-quality company, where necessary principles of corporate governance are implemented, as well as that Naftogaz ceases to be the country's monopolist, that is to demonopolize the market," Groysman said.

Speaking about the monopoly position of Naftogaz on the market, the prime minister stressed that he would not allow any monopolies to influence gas prices in Ukraine.

"Monopolies always try to exploit their position to unreasonably increase prices or costs. I will not allow any monopoly to somehow approach unreasonably the gas price change in our country," Groysman added.

Read alsoEuropean Energy Community criticizes Ukraine’s "latest steps" - mediaAs UNIAN reported earlier, the division of Naftogaz is one of the key reforms of Ukraine's energy sector. The issue has been under discussion since 2014. During this period, the Energy Ministry, as well as the Economic Development Ministry as the main authority supervising Naftogaz, represented different models of the company's operation.

The Cabinet of Ministers of Ukraine in July last year approved an unbundling plan for NJSC Naftogaz of Ukraine, which provides for the transfer of activities related to gas transmission, storage, and extraction to a separate jurisdiction.

As UNIAN reported earlier, the Nomination Committee of the Economic Development Ministry in 2016 defined three candidates for the positions of independent members of the Naftogaz Supervisory Board, namely Marcus Richards, Paul Warwick, Charles Proctor. The Ukrainian government added Yuliya Kovaliv and ex-energy minister Volodymyr Demchyshyn as their representatives to the board.

Read alsoPM Groysman urges Verkhovna Rada to adopt pension, judicial reforms this weekIn mid-April 2017, Kovaliv, who chaired the supervisory board, resigned. Early in September, Proctor announced his plans to resign as well.

In September 2017, the remaining independent members of the Naftogaz Supervisory Board Paul Warwick and Markus Richards also said they intended to quit. They claim the decision is a result of the government curtailing the reforms.