Ukrainian energy minister: Unbundling to be completed on time

"Yesterday, Putin said that gas transit via Ukraine could be continued only if we managed to complete the unbundling of Naftogaz on time. Unbundling will be done! We have proved it today! The bill on unbundling No. 2239-1 is passed! Congratulations! We thank all the lawmakers who defend the interests of Ukraine!" Energy and Environmental Protection Minister of Ukraine Oleksiy Orzhel wrote on Facebook.

He stressed that the gas transmission system (GTS) of Ukraine remains 100% owned by the state.

As reported, the draft law on amendments to certain laws of Ukraine on separation of natural gas transportation activities was passed on October 31.

Today, on November 15, the lawmakers voted to eliminate the inconsistencies in the wording of the document. The amendments to the bill were finalized for two weeks.

The purpose of the law is to ensure the fulfillment of Ukraine's obligations regarding the separation of activities related to the transportation of natural gas, electricity and ensuring the functioning of the gas transmission system operator, delivery system operator under the protocol on Ukraine's accession to the Energy Community Treaty and the relevant provisions of the EU-Ukraine Association Agreement.

The document prohibits privatization and alienation in any form of the GTS of Ukraine or part of its assets.

Unbundling will be carried out according to the ISO (Independent System Operator) model with the transition to OU (Ownership unbundling).

After the unbundling (separation), the ISO model will be transformed into OU from January 1 and thus Naftogaz will lose the ownership of the gas transmission system so that the state represented by the Ministry of Finance will become its owner.

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