May 22, 2019, Kyiv - We welcome today’s decision of the Government of Ukraine to amend CMU Resolution No. 496 on the implementation of the “unbundling” model proposed at the Coordinating Council meeting on May 16, 2019.
The model is based on the ownership unbundling principle, application for certification, signing of a transit agreement by PJSC “MGU” and transfer of the property necessary for gas transportation to PJSC “MGU”. This decision does not require additional changes to the existing laws, for example the adoption of the Law on concession that is needed for implementation of ISO model.
The long-awaited decision enables to really start fulfilling Ukraine’s commitments to the EU and, most importantly, the commitment to create a liberalized natural gas market to end consumers, industry and market participants.
We would like to note separately that the successful implementation of the resolution and the “unbundling” project as a whole depends on close cooperation with NJSC “Naftogaz of Ukraine” to facilitate the creation of an independent TSO before January 1, 2020. Prime Minister V. Groysman has instructed to develop a detailed step-by-step action plan, coordinate the inclusion of safeguards with the European Commission, the Energy Community Secretariat, the World Bank and other international partners. We will make every possible effort to properly implement this decision and hope for cooperation with all participants in the process.
#World Bank Ukraine