Rada registers bill liquidating Mahistralni Gazoprovody Ukrainy via merger with Gas Transmission System Operator
MOSCOW. Sept 23 (Interfax) - Bill No. 8068 On Measures to Reform Corporate Governance of the Ukrainian Gas Transmission System Operator registered by the Verkhovna Rada on September 22 proposes merger of Mahistralni Gazoprovody Ukrainy (MGU) and Gas Transmission System Operator of Ukraine (GTSOU).
"The bill has been drawn up for the purpose of legally regulating a special one-time procedure for merging Mahistralni Gazoprovody Ukrainy with Gas Transmission System Operator and is aimed at eliminating the complex two-level system of managing the Ukrainian gas transmission system companies," Ukrainian media said with reference to an explanatory note to the bill.
According to the document, under the merger MGU is to terminate its operations and transfer of all of its property, rights, and duties to GTSOU in line with a transfer act.
The merger procedure shall result in transferring the ownership of the 100% share in GTSOU's charter capital to the state.
As reported earlier, the establishment of MGU envisioned that this company would act as the operator of the Ukrainian gas transmission system. At the same time, the unbundling process of Naftogaz of Ukraine resulted in establishing GTSOU, which took over Ukrtransgaz's functions of operating the gas transmission system.
GTSOU was transferred to MGU's ownership. Simultaneously, the state placed the national gas transmission system under the new operator's management for 15 years. Since January 1, 2020, the company has officially acted as a licensed operator.
Energy Community Secretariat Director Janez Kopac said back in October 2021 that MGU had fulfilled its function and could be liquidated.