Naftogaz of Ukraine NJSC together with the government representatives has developed a new mechanism for determining the regulated price, which allows not only to avoid increasing the cost of gas for the population and thermal generation on May 1, 2019, but also to reduce it to UAH 8,247 per thousand cubic meters (final retail price )
This is stated in the report of the Naftogaz.
This approach and this level of prices were agreed today at the meeting with the Prime Minister of Ukraine Volodymyr Groysman and the chairman of the Naftogaz Andriy Kobolev.
This mechanism implies the following approach to price formation: if the market price of gas for industrial consumers is lower than that set by the resolution of the Cabinet of Ministers of Ukraine of 19.10.18 No. 867, the price for the population shall decrease accordingly. If the market price of gas for industrial consumers rises above the government-defined level, then the price for the population will remain at that level.
It is expected that amendments to existing contracts for the sale of gas between the Naftogaz and all contracting parties that purchase gas will be made during May of this year.
Earlier, the Ministry of Energy and the Coal Industry said that the Naftogaz of Ukraine could reduce gas prices for the population without abolishing the Cabinet of Ministers’ resolution on special commitments.
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