Zelensky signs into law bill on guarantees for Ukrhyrdoenergo's IBRD $211 mln loan to build hybrid power systems

MOSCOW. June 10 (Interfax) - Ukrainian President Volodymyr Zelensky has signed into law a bill ratifying $211-million treaties of guarantees between Ukraine and the International Bank for Reconstruction and Development (IBRD) as part of investment projects to install hybrid electricity generation systems at PJSC Ukrhydroenergo, the Ukrainian media said, citing the company.

"It is important today to continue implementing the project in light of the Ukrainian energy system's need for electricity frequency regulation. Its key goal is to ensure the additional stability, safety and reliability of the Ukrainian power grid's operation and the ability to meet ENTSO-E's frequency support reserve requirements," Ukrhydroenergo said on its website on Thursday, when commenting on the new law.

According to the company, the project enables the installation of 212MW power-accumulation systems to broaden the capacity to offer auxiliary services for regulating and restoring frequency through the hybrid operation mode of power-accumulation systems and hydropower plants and 63.9 MW solar photovoltaic power plants as an additional source for covering hydropower plants' own needs and for power-accumulation systems.

Accumulator-based hybrid power generation systems will help considerably enhance the company's capacity to rapidly ensure frequency support reserve (4 seconds-5 minutes) and frequency regulation reserve (10 minutes-105 minutes), Ukrhydroenergo said.

The company has also estimated that the presence power-accumulation systems will bolster the company's capacity to offer frequency regulation reserves, thus facilitating integration into the European Union's energy system ENTSO-E.

The installation of hybrid power generation systems, including hydropower plants' ability to cover their own electricity needs with the help of photovoltaic power plants, is an innovative solution for Ukrhydroenergo, it said.

As reported, the Ukrainian government in June 2021 approved a decision to take out a $211-million loan for PJSC Ukrhyrdoenergo from the IBTD and the Clean Technology Fund, which the IBRD represents, as part of an investment project to increase the sustainability of Ukraine's power grid ahead of its integration with the European energy system, including through installing power generation hybrid systems.

The company signed a loan agreement on September 13, 2021 and a $1- million grant agreement with the Clean Technology Fund.

The guarantees legislation, proposed by Zelensky, was ratified by the Ukrainian Verkhovna Rada on May 11, 2022.