Ukraine and IFIs discussing investments for energy sector's restoration and development
MOSCOW. April 28 (Interfax) - Officials of Ukraine's Energy Ministry, representatives of major Ukrainian energy and oil and gas companies and international financial institutions (IFIs) are discussing ways to raise investments to finance the restoration and development of the country's fuel and energy sector.
In particular, Ukrainian Deputy Energy Minister Farid Safarov met with officials of the World Bank, the European Bank for Reconstruction and Development and the European Investment Bank on the sidelines of the Ukraine Recovery Conference in Rome, Ukrainian media said, citing the ministry's press release.
Safarov briefed the participants in the meetings on the financial needs of the Ukrainian energy sector from the point of view of recovery and preparations for the next fall-winter season and key energy priority, also focusing on the progress of the sector's corporation reform.
The meetings with senior officials of IFIs and Italy's Eni and Ansaldo Energia were also attended by representatives of the Ukrenergo power grid operator, the Gas Transmission System Operator of Ukraine, Naftogaz, Ukrnafta, DTEK, Ukrhydroenergo, and Energoatom.
Among other issues, the parties discussed potential cooperation in hydrocarbon production, oil supplies and the implementation of a strategy for the development of decentralized generation.
"The Energy Ministry created the direct communication opportunity for the top managers of Ukraine's energy companies, who presented their key performance results and investment projects for which they'd like to raise foreign capital," Safarov said.
The DTEK press service, in turn, said that at the meetings the company's general director Maxim Timchenko emphasized the importance of providing reliable investments to the Ukrainian energy sector and introducing comprehensive risk insurance measures, because investors need guarantees and risk reduction measures for long-term investments.
"Our goal is an integrated program for rebuilding the energy sector of Ukraine. It requires consolidation of international assistance, government support and the possibility of borrowing from IFIs. Only state-owned companies now have access to IFI funding for recovery. We hope that this approach will be reconsidered soon, which will help speed up reconstruction and improve power supply. The most valuable form of support for our energy sector at this point would be investments in Ukraine's green energy," Timchenko said.