Naftogaz announced market prices for gas for industrial consumers in April 2019, they will be lower than gas prices for population by more than 1.1 thousand UAH.
Such a low market price is the result of the fact that in March Naftogaz purchased imported gas in Slovakia at very low prices.
The market price of gas, at which the industry buys it from Naftogaz, has decreased by about 20% over the month and in April 2019 it will amount to 7188 UAH per thousand cubic meters (excluding transportation costs on the territory of Ukraine). For comparison, for population, gas in April will cost 8,380 UAH per thousand cubic meters, more than 1,100 hryvnia more expensive.
NJSC Naftogaz of Ukraine sells gas to the population at lower prices than for industrial consumers. Gas prices for population are set by the government (imposing on Naftogaz the obligation to sell gas to consumers at 8550 UAH ($314) per thousand cubic meters). The market price of gas, at which industry buys it, is usually higher.
In the autumn of 2018, the government made a decision according to which it was offered to raise gas prices in Ukraine in 3 stages. From May 1, 2019, the price of gas for population should have been 9.850 UAH ($ 362) per thousand cubic meters, from 1 January 2020 – up to 12.300 UAH ($ 452) per thousand cubic meters.
Raising gas prices for households to market levels is a key requirement of the International Monetary Fund to continued cooperation with Ukraine.
It was reported earlier that Andriy Kobolyev proposed the Cabinet of Ministers to consider the possibility of full liberalization of natural gas supplies for all categories of consumers from April 1, 2019. Liberalization provides for the abolition of the imposing of special obligations regime and the removal of the existing restrictions for changing the supplier of natural gas, which are now used by private gas sales companies.
Naftogaz is preparing to transfer the gas transmission system to the reverse mode if there is no gas transit contract with the Russian Federation
Naftogaz reduced net profit by 64% to 13.6 billion UAH
Naftogaz increased gas prices for industrial consumers