Ukrenergo to hold first joint auction to export of 200 MW of electricity to Slovakia

MOSCOW. July 21 (Interfax) - Ukrenergo will hold a first joint auction on July 21 to allocate 200 MW of cross-border capacity to export electricity to Slovakia with a delivery from 9:00 to 14:00 on July 23.

"Ukrenergo and the Slovakia's transmission system operator SEPS have signed an agreement on the procedure for conducting and distributing proceeds from auctions for access to interconnectors between the operators of the two energy systems. Ukraine has the opportunity to start exporting electricity to Slovakia after the necessary changes are made to legislation and approved by the NEURC regulator," Ukrainian media quoted Ukrenergo as saying on social media.

Cross-border capacity is distributed only for short periods at daily auctions given the crisis.

Ukrenergo said Ukrainian electricity will be exported only during those hours of the day when there is a surplus of it in the energy system.

"For example, export is possible in the morning and afternoon hours, when generation by solar power plants is higher. There is still a need for imports in the evenings, when solar power plants do not operate, and the ability to meet a high level of electricity consumption is limited in the energy system," the system operator said.

ENTSO-E has limited capacity for Ukraine and Moldova to export electricity to Europe to 400 MW, and to 1200 MW for imports.

Ukrenergo has not been offering electricity export capacity to Slovakia, which used to be 200 MWh and was always bought entirely by traders, since April 21. Export to Slovakia resumed on April 17, and for the first three days, cross-border fees amounted to about UAH 11.7 million, unlike other destinations where traders pay nothing for it.

The reason for the suspension of exports was the position of the Slovak side, which insists on holding joint auctions for capacity distribution, which would give it some of the payment for it.