Ukraine can dramatically increase the price of electricity because of the limitations of nuclear capacity

NNEGC Energoatom appealed to the NEC "Ukrenergo" and Minamaneho of Ukraine in connection with intention of the system operator to reduce in January 2020 load capacity from nuclear power plants (NPPs).

"In connection with the intention of NEK "Ukrenergo" to reduce in January 2020 load nuclear capacity to the value 9 500 – 10 000 MW, SE "NNEGC "Energoatom" considers it necessary to note that such actions will lead to a significant increase in prices for end consumers", - said in a letter to the company.

According to the company, will increase the size of the tariff of the transmission system operator (OSP) for services on transmission of electricity, since it includes the residual amount of the compensation payment GP "Guaranteed buyer" for the purchase of "green" electricity, and the decline in sales volume of electricity produced at nuclear power plants "Guaranteed buyer" to perform specific duties, will lead to an increase of the amount of such payment.

"secondly, the limitation of the production of cheap electricity nuclear power plants and, as a consequence, a reduction of the placing on the market "day ahead" will lead to higher prices on this market segment, which is indicative of prices in all segments of the market," the letter reads.

in addition, it is noted that the limit load nuclear units will be economically encouraged to participate in the market "for days forward" importing electricity from Russia and Belarus, which in turn will displace the thermal generation market (regulating power) due to its lack of competitiveness on price while working only in the evenings price load (from 16.00 to 22.00), which is impossible to offset the costs of starting and stopping their units.

"in view of the above, please take measures to prevent unreasonable restriction of power units of nuclear power plants", - said in a letter to the company.

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