Vitrenko is against the unbundling model proposed by the government

The Executive Director of Naftogaz, Yuriy Vitrenko, opposes the ownership unbundling model proposed by the government.

During the meeting of the Coordination Council on reforms in the fuel and energy complex, Volodymyr Groysman stated that he insists and demands that Naftogaz of Ukraine adopt and implement the necessary decisions that will allow the state company to complete the unbundling process by the end of this year  adopted in July 2016.  It was reported by the press service of the Cabinet of Ministers.

Як подарувати Газпрому 3 мільярди доларів замість того, щоб отримати понад 11 мільярдів доларів від Газпрому....

Posted by Юрий Витренко on Friday, 17 May 2019

In turn, Yuriy Vitrenko reacted to this and said that such a model could lead to a loss in the new arbitration, which Gazprom had already initiated.

“I do not know the criteria for this “acceptability”, but I can responsibly assert that we provided the authorized representatives of the Cabinet the opinion of lawyers and experts with whom we won in the Stockholm arbitration against Gazprom, the result of choosing this particular model of unbundling may be the loss of Gazprom in the new arbitration... approximately $3 billion instead of winning $11-14 billion dollars from Gazprom”, he said.

Recall, Naftogaz plans to conduct unbundling according to the ISO model (Independent System Operator), such a model, unlike OU (ownership unbundling), allows vertically integrated companies to keep the networks owned, but obliges them to transfer assets to the management of an independent system operator.  



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Tags: The Cabinet of Ministers, Gazprom, gas, Naftogaz, contracts, Nord Stream 2, Stockholm arbitration, court, Groysman

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