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According to the explanatory note, passing the new law will allow attracting loans from international financial institutions.
The Cabinet of Ministers at its meeting on Wednesday supported the draft law expanding the range of areas where state guarantees could be provided in 2020 to ensure the fulfillment of debt obligations to international financial institutions by state-owned companies producing and transmitting electricity.
"The draft law allows the government to act as guarantor for attracting funds from international organizations by state energy companies," said Prime Minister Denys Shmyhal, presenting the draft law.
According to the explanatory note, passing the new law will allow attracting loans from international financial institutions (including that from the European Bank for Reconstruction and Development) for energy generators to replenish their working capital.
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As UNIAN reported earlier, on June 17, the Verkhovna Rada passed at second reading a bill debt settlement on the electricity market.
According to Parliament's energy committee chair Andriy Gerus, the bill introduces the following mechanisms for debt repayment: mutual settlements; repayment (write-off); assigning a right of claim or replacing a party to an obligation.
The main reasons for the arising debt include the lack of full coverage of the cost of coal to coal mines from the state budget; poor payment discipline at water supply and sewerage enterprises; and poor payment discipline of electricity consumers in the temporarily occupied territories of Donetsk and Luhansk regions.