Burshtyn TPP downsizes staff

Burshtyn TPP reduces power generation and goes into idle mode. The company's employees have already been transferred to a four-day working week, scheduled repair work has been stopped.

In the video, the mayor of Burshtyn, Roksolana Dzhura, spoke about the situation around the shutdown of the thermal power plant.

“For 3 days now we have not received funds for utilities from DTEK for heat. This means that a utility company cannot pay wages to people, cannot pay for light in the city, and, probably, they will turn it off. Treatment facilities, pumping, water supply. Therefore, I turn to the indebted Burshtyns: we save ourselves”, said Dzhura.

So, 7 stations in Ukraine have already switched to the operation mode of one unit. This means reducing people, not getting funds from local budgets.

She also said that she had received official information about the transfer of employees of Burshtyn TPP to a four-day work week, contractors to a three-day week, and most repair crews simply stopped work.

Kosatka.Media asked DTEK to clarify how the company’s management plans to solve the problem, but did not receive a response.

Meanwhile, photos of the station’s newspaper appeared on social networks explaining the reasons for the shutdown of the TPP. The main thing is that the station has no money to work.

On November 22 the official website of Burshtyn city council published an appeal of acting Director of DTEK Burshtyn TPP Oleh Ivakhiv.

“The separate division Burshtyn Thermal Power Plant of JSC DTEK Zakhidenergo (hereinafter - TPP) reports on the introduction from November 22, 2019 of forced downtime of the station, as the only way to prevent the complete cessation of the TPP”, the letter says.

It is further explained that this decision is due to “a combination of negative technological, financial and economic circumstances that objectively impossible the further operation of thermal power plants in normal mode”.

Ivakhiv’s letter is about violating the principles of competition in the new electricity market.

It is indicated that on September 18, 2019, with the support of the Verkhovna Rada Committee on Energy, Housing and Public Services, the Law of Ukraine “On Amending Certain Laws of Ukraine in the Field of the Use of Nuclear Energy” was adopted, the provisions of which allow Russian companies to sell electric energy to Ukrainian consumers for long-term bilateral treaties.

“It was these legislative changes that opened up unimpeded and unlimited access of Russian electricity to the national market of Ukraine, and led to the substitution of imports on the market for national heat generation. The growth in the share of imports led to a change in the operating modes of TPP power units by NPC Ukrenergo, unloading of TPPs was carried out by dispatcher teams, and significantly reduced the amount of TPP electricity sold.

This all provokes a decrease in demand for electricity from TPPs, together with an increase in the market share of cheap electricity produced by domestic NPPs, leading to a critical reduction in the price level for TPPs. So, the price of electricity on the day-ahead market, which is an indicator for other market segments, on some days of the current month fell to the level of 91 kopecks/kWh, which makes the production of electricity at TPPs unprofitable at market prices for coal”,  it is explained in a letter to DTEK.

The response to Kosatka.Media request from DTEK has not yet been received, even after repeated calls.

Tags: DTEK, tariffs, legislation, electricity, TPP, electricity market, debt, import

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