In Ukraine the price of gas is generated on import parity depends on the price of natural gas in Europe. Last year the government bought gas for $ 185, this year for 245 dollars, also during this time devalued the hryvnia. As a result, experts believe, the government will have to revise the gas tariff for the population. In the draft Memorandum with the International monetary Fund (IMF), which is published in the media, provided for quarterly revision of tariffs at the moment are discussing the possibility to revise the price of gas every six months. “Today” figured out how and when Ukraine will rise in price of blue fuel.
When and why might appreciate the gas
In October last year, Ukraine signed a Memorandum with the IMF, which States: “by April 2017 to start the mechanism, allowing to adjust the gas tariffs for the population and hold quarterly indicators”. At the moment the rate plan to review on a quarterly basis, and every six months, report “Ukrainian news” with reference to the draft Memorandum, which is planned to be signed in the coming weeks.
Gas tariff for the population is determined by the formula: cost of imported gas × dollar exchange rate + VAT + transport + distribution + mark-up of Naftogaz, explained in the Ministry of economic development. When we adopted the current gas tariff, the cost of imported gas was at $ 185. And in this year’s budget gas Ukraine will buy for 246 dollars.
Photo: lvivexpres.com
As a result, the government would have to increase gas tariff for the population, said a member of the Supervisory Board of the Institute of energy strategies Yuri Korolchuk. The ex-the head of Department on public relations of “Naftogaz” Valentin Zemlyansky estimated gas, according to the formula of the Cabinet, will cost 9600 hryvnia per thousand cubic meters (currently 6800 UAH). At the same time, Yuri Korolchuk sure that it is economically reasonable price of gas will rise by 25-60% (8.5-11 thousand UAH). “If the price is minimal for 1,500 hryvnia will not grow, it means only one thing – the market is further manually adjusted, the government controls prices, and no market. And this difference, the state will cover from the budget”, – says Yuri Korolchuk.
Experts suggest: the gas price will rise after the heating season in late April-early may this year. By the way, the commercial Director of “Naftogaz of Ukraine” Yuriy Vitrenko said that gas prices could rise by 40% in the case that will not be renewed placed on “Naftogaz” special obligations to sell gas to the population on preferential terms. In the official statement sharply reacted to Prime Minister Vladimir Groisman.
“I will not allow any raise of gas tariffs for the population. And those who claim about a possible price increase by 40%, have a responsibility to work, or to write the application on dismissal”, – quotes the Ukrainian press service of the government.
“I will not allow any raise of gas tariffs for the population. And those who claim about a possible price increase by 40%, have a responsibility to work, or to write the application on dismissal”, – quotes the Ukrainian press service of the government.
What else more expensive
Gas tariff sets the Cabinet on other utilities – national Commission carrying out regulation in the sphere of energy and utilities (NKREKU). The head of the national Commission Dmitry Vovk in the broadcast of a television said heating rate is 90% of the cost of gas. “If we talk about the centralized heating – we can influence 10% of the fare. 90% of the rate is natural gas, which is determined by decision of the government,” – said Vovk. In proportion to gas will also rise hot water and heating.
Tariffs for heating and hot water expect providers after these calculations passed the national Commission, which adopted the final decision on increase of tariffs.
In addition, this year also more expensive electricity. In 2015 the national Commission decree №220 approved a gradual increase in the cost of electricity. The last stage falls on March of 2017. Now each kWh when the consumption is less than 100 kW is 71.4 cents, and the first of March – 90 cents. If consumption more than 100 kWh each kWh is worth 129 cents, and after Mar – 168 cents. For example, if the family uses 200 kWh per month, until the first of March will have to pay for electricity to 200, 4 hryvnia, and after March 2017 – 258 hryvnia.
Prices will not stop. In 2017, as stated in the presentation NKREKU, on average, for Ukrainians, the cold water will rise by 9%. Kyivvodokanal plans to raise the rate of 16.4%, the largest rise in prices is planned in the “Zhytomyrvodokanal” – 18.2%. At the same time in the southern water will rise by only 6.2%.
As explained in the Commission, businesses must submit applications to establish new tariffs up to August 10. After that NKREKU new tariffs approved. At the end of last week, city officials –Deputy mayors – presented to the Commission the new tariffs. Almost all officials unanimously endorsed higher tariffs in their cities.
“The new rates are approved by local authorities. The rate should correspond to the costs incurred by the company. Should not be social populism,” – said the Deputy mayor Dmitry South-Loving. After the phrase repeated dozens of colleagues and officials from different cities of Ukraine.