To avoid Crises in Electricity: DSOs asks Government not to fine them in Quarantine
25 June, 2020
Oleksandr Visir

Oleksandr Vizir, CEO of the Public Association SMART GRIDS OF UKRAINE (SGU) appealed to Prime Minister Denis Shmigal with a proposal not to apply sanctions to electricity distribution system operators (DSOs) during the quarantine period in connection with the COVID-19 pandemic threat.

According to the CEO of the Association, payments to electricity consumers have fallen sharply, and with them revenues from electricity suppliers for its distribution. “At the same time, DSOs, at present, are deprived of the mechanisms of protection and have not received the mirror rights that consumers have received,” Vizir emphasized.

He predicted that if the situation did not change, the DSOs would be in serious crisis, which could have unpredictable consequences.

Therefore, the SMART GRIDS OF UKRAINE asks the Head of Government to amend the legal acts aimed at stabilizing the electricity industry and not to apply penalties and sanctions for violation of the license conditions in the DSOs. “Distribution system operators, in their turn, will direct all resources for reliable and uninterrupted power supply to Ukrainian consumers,” Vizir assured.

According to Oleksandr Vizir, the Public Association is actively working and working out steps to stabilize the operation of the electricity market under quarantine and restrictive measures.

The Head of the SGU also announced the prepared changes to the legal acts.

“I am in favor of complex problem solving – we need to unite and approach them professionally. There are no hopeless situations, so let the problems unite us and not disconnect us, ”said the Head of the Association.

Oleksandr Vizir also noted that the electricity market, despite its dynamic development, needs significant changes and refinements. “In particular, this concerns the regulation of the DSOs activities. In addition, it is necessary to address the issues that have reached the “new market” from the “old” – in particular, the debt of the DSO to the  “Energorynok” and the corresponding debt of the DSO to the electricity producers “- he summed up. 

We will remind that the Public Association SMART GRIDS OF UKRAINE (SGU) was created at the end of March 2020. Currently, the organization brings together 14 distribution system operators (DSOs).


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