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Orzel considers the use of gas at the current price for it is more profitable than coal mining

Mining industry / Ukraine

As earlier reported, President of Ukraine Volodymyr Zelensky called for a guaranteed market for Ukrainian coal, and the creation of the State Committee for coal industry.

Orzel considers the use of gas at the current price for it is more profitable than coal mining

due to the significant reduction in gas prices it is more profitable than coal mining, according to the Minister of energy and environmental protection Alexey Orzhel.

"as Needed to speak frankly with people working hard labor of the miner, that their production is unprofitable. With the cost of gas in the summer, it is easier to burn gas than coal mine", – he said at the Ukrainian energy forum 2020 on Tuesday.

At the same time, he says, the decline in gas prices will allow to make important decisions in the energy sector, in particular, the phasing out of subsidies for the population on the consumption of gas.

"It gives a chance to abandon subsidized gas prices. We have a very important historical moment to take advantage of it. To Ukrainians felt the advantage of market prices that we ceased politically to influence the price. And we look not only on the price of gas and price of electricity," - said Ariel.

however, he noted: low gas price may be a factor in the failure of investors from investing in the extraction of this resource at the same time will provide an opportunity to build gas generation for balancing renewable energy sources.

As earlier reported, President of Ukraine Volodymyr Zelensky called for a guaranteed market for Ukrainian coal, and the creation of the State Committee for coal industry

"Must be a guaranteed market, and this market – Ukrainian thermal power plants. The state must protect Ukrainian coal, it requires the energy balance for the next 10 years, where it would be displayed, how much coal is going to produce" he said at a meeting of workers of the coal industry in Kyiv on Tuesday. However, he demanded Argelia to provide energy for the next 10 years in order to understand how much coal will be mined Ukraine.

At the same time, as reported by the head of the parliamentary Committee on energy, housing and utilities Andrei Gerus, work continues on bill to energy storage systems, which will introduce the necessary flexibility for the Ukrainian energy system tools.

"it is Possible that the bill will be revised. Is Yuri Omelchuk, he is the author of this bill, he holds, "round tables" are defined weaknesses. Thus, we are working on a bill," said Gerus in comments to the Agency "Interfax-Ukraine" on the sidelines of "Forum of reforms: on the way to Vilnius" on Tuesday.

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