Ukraine and the IMF agreed on new terms of revision of gas prices for population

Ukraine and the international monetary Fund (IMF) have agreed on new terms of revision of gas prices for households from 1 April 2017, according to “Ukrainian news” with reference to a new edition of the Memorandum on cooperation between Ukraine and the IMF, which have a copy.

As noted, in accordance with the document, revision of the price according to changes in the cost of imported gas will be conducted from April 1, not quarterly as previously assumed, and every six months.

The basis will be taken the average price of imported gas for 6 months.

“Given the increase in the period to determine the price point decreases the probability that the average price of imported gas in April, will change significantly. It is not excluded that the price may increase slightly due to the devaluation of the hryvnia,” reads the message.

As reported, in 2016, natural gas consumption in Ukraine decreased decreased by 0.6 billion cubic meters, of 33.8 to 33.2 cubic meters, accounting for 2% of the total consumption. As specified in NAK “Naftogaz” for 2016, the volume of natural gas consumption by the population increased to 11.9 billion cubic meters, which is 0.6 billion cubic meters more than in 2015. The use of gas companies Teplokommunenergo for the production of heat for industry and budget organizations increased by 0.4 per cubic meter, with 1.2 to 1.6 billion cubic meters.