• August 2024: The Government has approved the National Renewable Energy Action Plan for up to 2030. This plan includes solar, wind, biogas, and micro and small hydropower plants. We are testing the green auction system to make it fully operational in 2025. The Action Plan envisages the following development of renewable energy sources in Ukraine from the beginning of 2024 to 2030 (the figures as of 2024 do not take into account facilities located in the temporarily occupied territories):
  
  • Solar power plants — from 7327 MW to 12200 MW (7200 MW from producers and 5000 MW from consumers).
  • Onshore wind farms — from 512 MW to 6214 MW.
  • Offshore wind farms — from 0 MW to 100 MW.
  • Bioenergy facilities (biomass and biogas) – from 319 MW to 876 MW.
  • Geothermal power plants — from 0 MW to 40 MW.

As a result of the introduction of renewable energy sources, the following growth is planned to be achieved by 2030 (starting from 2025), and the following targets for the share of renewable energy in gross final energy consumption (by sector) are to be achieved:

• Electricity — from 20.9% to 29.4%.
• Heating and cooling — from 20.8% to 32.5%.
• Transport — from 4.9% to 17.2%.

To achieve these targets, the Plan envisages the implementation of 38 measures structured around the following objectives:

• Development of RES in electricity generation | Financing: USD 12.6 billion, of which for the development of RES generation capacities based on the use of biomass and biogas: USD 1681 million);
• Development of RES in heating and cooling systems | Financing: USD 6.7 billion, of which USD 3,419 million for the development of heat generating capacities from RES.
• Increase in the use of energy from RES in the transport sector | Financing: USD 1.25 billion, including USD 450 million for the use of bioethanol in the transport sector, USD 19 million for biodiesel, and USD 2 million for biomethane.
• Regulatory and organisational support for the development of renewable energy sources.

• August 2024: The Law of Ukraine, “On Amendments to Certain Laws of Ukraine Regarding the Settlement of Certain Issues of the Use of Terminology in the Field of Implementation of Smart Grids”, was adopted. The Law amends the Laws of Ukraine ‘On Energy Efficiency’ and ‘On the Electricity Market’ to improve the term ‘smart grids’ and define such terms as ‘microgrid’, ‘microgrid user’, ‘microgrid island mode’, ‘microgrid energy management system’, ‘demand response’, ‘demand management’. Defined and agreed-upon legislative terms will facilitate the development of microgrid projects in Ukraine. This is particularly important in terms of attracting investment in the implementation of smart grids. A common understanding of terminology reduces regulatory risks assessed by potential investors and market participants.

• August 2024: On August 13, 2024, the CMU adopted Resolution No. 757-r, “Some issues of pilot auctions for the allocation of support quotas in 2024”. 

The Order on the quota allocation auction provides for the following RES support quotas to be allocated during the first pilot auctions:

• Solar power plants — 11 MW (to be located on the left bank of the Dnipro River) at an auction scheduled for October 2024.
• Wind power plants — 88 MW (throughout Ukraine) at an auction scheduled for November 2024.
• Power plants using other alternative energy sources that are eligible for support — 11 MW (throughout Ukraine) at the auction scheduled for November 2024.

• August 2024: The Memorandum of Understanding on Improving Energy Resilience of Communities was signed during the Congress of Local and Regional Authorities. The main goal of the cooperation is to bring Ukraine closer to energy independence and to meet EU energy efficiency standards, including the implementation of measures to improve the energy efficiency of buildings, develop alternative power sources, support energy service contracts and attract investment in the energy sector.  The Memorandum on Enhancing Energy Resilience of Ukrainian Communities between the Ministry of Communities, Territories and Infrastructure of Ukraine, the Ministry of Economy of Ukraine, the Ministry of Energy of Ukraine, and the State Agency on Energy Efficiency and Energy Saving of Ukraine was signed during the Congress of Local and Regional Authorities chaired by the President of Ukraine. The document was also signed by the heads of the Ukrainian Associations of Local Governments: ‘Association of Ukrainian Cities, Ukrainian Association of Rayon and Oblast Councils, Ukrainian Association of Communities, and Association of Amalgamated Territorial Communities.

• May 2024: The Ministry of Energy of Ukraine approved the Roadmap for the development of smart grids. It envisages the introduction of automation and digital solutions at all levels of the power system. This is necessary to make it more balanced and secure, and more resilient to military risks. According to the Roadmap, the restoration of facilities damaged by Russian attacks is planned to be carried out using smart technologies. In particular, microgrid technologies are more resilient to military factors and natural disasters. The introduction of smart grid technology will reduce electricity losses in the power grids in Ukraine by 6 billion kWh annually. It will also reduce the annual SAIDI index (a measure of the duration of power outages) to around 100 minutes, which is in line with the EU average.

• February 2024: development of the National Energy and Climate Plan (NECP). The development of the NECP has become necessary in the context of adaptation to European Regulation (EU) 2018/1999 of 11 December 2018, which sets out clear requirements for the content and procedures for the approval, adoption and validation of the plan. The plan is defined as a key roadmap for decarbonising the country, achieving carbon neutrality and meeting energy and climate goals.

• February 2024: The Cabinet of Ministers of Ukraine adopted Resolution No. 227 dated 27 February 2024 ‘On the Introduction of Guarantees of Origin of Electricity Generated from Renewable Energy Sources’. The Resolution provides for: approval of the Procedure for issuing, circulating and redeeming guarantees of origin of electricity produced from renewable sources, as well as approval of the Procedure for determining the environmental value of this electricity. A register of guarantees of origin will be created and administered by the NEURC. The guarantees will be generated electronically in MWh in accordance with the volumes of electricity supplied from renewable energy sources provided by the commercial metering administrator.

• January 2024: The Draft Hydrogen Strategy until 2050 is presented. The document contains up-to-date data on the development of hydrogen energy in the world, hydrogen classifications, and an analysis of international legislation. The draft Strategy also contains planned pilot ideas for the production of renewable hydrogen.

• December 2023: At the UN Climate Change Conference COP28, the G7+ countries and Ukraine launched the Clean Energy Partnership for the sustainable recovery and reconstruction of our country’s energy system.

• July 2024: The Distributed Generation Development Strategy for up to 2035 was approved by the CMU Resolution No. 713-r dated 18 July 2024.  The priority tasks in the short and medium term are to ensure the security of the electricity supply, namely the construction and commissioning of new generating capacities — distributed generation — in a short time. This includes power generation facilities that provide guaranteed output of available power and use natural gas as a fuel, as well as renewable energy facilities and energy storage facilities. Objectives of the Distributed Generation Development Strategy until 2035:
  • Increase the total installed capacity of shunting generation using gas turbines, gas pistons, and cogeneration units; renewable energy facilities by producers and active consumers; and energy storage capacity. 
  • Modernising the grid infrastructure, including creating microgrids based on the principles of ‘smart grids’. 
  • Promoting the need to develop distributed generation in society and train qualified personnel.

On 16 August 2024, data entry into the register of guarantees of origin of electricity produced from renewable energy sources began. As of the beginning of October 2024, more than 900 accounts have been created in the Guarantee Register. According to the rules, renewable electricity producers must enter data into the Guarantee Register by October. The National Regulator has approved the relevant resolution. According to the document, by 01.10.2024, business entities that sell electricity to a Guaranteed Buyer at a feed-in tariff or provide it with a service using the market premium mechanism are required to acquire the status of a user of the Guaranteed Buyer Register.

• July 2023: adoption of Law of Ukraine No. 3220-IX ‘On Amendments to Certain Laws of Ukraine on the Restoration and Green Transformation of the Energy System of Ukraine’.One of the most important innovations is the introduction of a market premium mechanism for electricity generators from renewable energy sources (RES). This alternative incentive system gives renewable energy producers the opportunity to choose to use renewable energy, abandoning the feed-in tariff mechanism. Under this system, a guaranteed buyer pays the difference between the feed-in tariff and the estimated market price. This innovative solution introduces the concept of flexibility for renewable energy producers, giving them the opportunity to choose the optimal support system. This approach will contribute to a more efficient and flexible integration of renewable energy into Ukraine’s energy system, stimulating green development and providing a stable environment for investors in the renewable energy sector.

• May 2023: The Cabinet of Ministers approves the Energy Strategy of Ukraine until 2050, which reflects the goals of the European Green Deal and the achievement of carbon neutrality in the energy sector by 2050. The document envisages the development of modern and safe nuclear and ‘green’ generation, as well as the modernisation and automation of transmission and distribution systems