Ukraine to deliver electricity to Crimea on full prepayment basis

16 December 2014 15:20
(QHA) -

Ukrinterenergo has approved regulations on the organization and conduct of auctions for the sale of electricity to Crimea, according to which private companies will be able to supply electricity to consumers on the peninsula, Interfax reports.

According to the regulations, auctions will be held monthly. Potential bidders, in particular, must have the license for power transmission at a regulated tariff or its supply at a non-regulated tariff.

Ukrinterenergo will sell electricity only if suppliers make advance payments in full or provide guarantees from state banks as for payment. Thus, Ukraine's state-owned banks under this regulation undertake paying for electricity to the peninsula if the payment is not made by the supplier.

According to the document, the winner of the auction will be the bidder, who will offer the highest price for 1 kWh of electricity and it should be higher than the price of electricity bought by Ukrinterenergo on the wholesale electricity market of Ukraine.