DTEK reacted to the statement of Centrenergo: it does not reflect the real situation regarding the fulfillment of the terms of the contract

DTEK reacted to the statements of Centrenergo regarding the volume of coal supplies in July and stated that Centrenergo's position does not reflect the real situation with regard to the fulfillment of the terms of the coal supply contract, the press service reports.

The company emphasized that fulfilling the terms of the contract, as of July 31, D.Trading shipped 35 thousand tons of coal to the address of Centerenergo in the amount of UAH 79 million.

“In accordance with the terms of the signed contract for the supply of coal, Centrenergo had to pay the full cost of the supplied coal by August 3, 2020. Also, Centrenergo was obliged to provide a bank letter of credit to continue shipments of coal to Centrenergo's TPPs on a deferred payment basis. In fact, at the end of the day 05.08, Centrenergo paid only UAH 13 million, which is 16.5% of the obligations under the contract. The bank letter of credit has not been provided and the management of Centerenergo cannot specify the terms of its provision,” the message says.

D.Trading sent notification letters to Centrenergo with a request to promptly repay the debt and provide a bank letter of credit to continue coal shipments to Centrenergo’s TPPs in accordance with the terms of the signed contract.

The company also notified the Ministry of Energy of Ukraine and the State Property Fund of the current situation regarding non-fulfillment of the terms of the contract by Centrenergo.

As a reminder, Centerenergo reported that on August 4, 2020, DTEK Dobropillyavuhillya sent a statement to the heads of trade unions of Donetsk region coal industry, in which it warns of the possibility of restoring mine downtime.

According to the statement, the enterprise in July received 26,357 tons of coal products from DTEK, of which half - in the last days of the month. At the same time, the terms of the contract provided for the supply of 100,000 tons. The company also said that DTEK is currently in active negotiations with the State Property Fund of Ukraine to terminate the lease agreement for the Dobropolyeugol mine.

Tags: The Cabinet of Ministers, DTEK, contracts, hydrocarbon production, court, legislation, electricity, energy market, TPP, ETL, electricity market, Centrenergo, coal mining, agreement, power system balance, infrastructure, energy sector, electricity transmission, IPS, coal mine, generation, crisis, Buslavets, The Ministry of Energy, economy, market, power grid

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