September 26, 2017 the Antimonopoly Committee of Ukraine held a meeting on: "Solutions to the problematic issues hampering the formation of competitive relations in the electricity markets".
The meeting was attended by deputies of Ukraine, representatives of Presidential Administration of Ukraine, Cabinet of Ministers of Ukraine, the Ministry of energy and Coal Industry of Ukraine, the National Commission exercising the state regulation in the spheres of energy and communal services, the European Union delegation of the Secretariat of the Energy Community, market participants and their associations, representatives of exchange market, market experts, in particular experts and analysts of the Argus news agency, European experts on the issues of state aid and economic competition in the electricity market.
During the opening remarks, the Chairman of the Antimonopoly Committee Iurii Terentiev said: "The energy market is extremely important to the economy of Ukraine, and therefore, public policy must be prudent and progressive. Much can be said about the conflict in the legislative field or fighting one or another business groups for spheres of influence, but the government should adjust the vector of development of the market so that to ensure protection of all participants of process".
Discussion between participants was organized in the format of short presentations for everyone, where everyone had an opportunity to draw attention to certain selected issues that were bothering him. However, the most widely discussed topic was coal products trading on the market.
The representative information - analytical agency Argus briefly described the indicative price calculation mechanism of coal in Ukraine on the principle of API 2 + the cost of delivery and handling. The question arose in the context of the logistics component of the formula. He noted that even abroad, the formation of the weighted average rates, are taken into account, several ports, or the port of delivery, so it is impossible to fix rigid pricing and shipping and handling cost.
During his speech, UEEX Chairman of the Exchange Committee Oleksii Dubovskyi said: "We can say that there are different alternative mechanisms for calculating the market price, but in developed markets the market is considered to be the exchange price formed on a liquid and competitive environment. The formation of a civilized market of LPG, oil and oil products, we spent a year and a half and I really want to see this process to go faster in the coal market."
According to the results of the round table, first Deputy Chairman of the Antimonopoly Committee Mariia Nizhnik noted that the Antimonopoly Committee sincerely glad that market participants supported format of the discussion, actively participated and paid attention of participants that exchange trading in the world is a proven and reliable tool for identifying the market price. She also noted that the first step for the formation of full-fledged Ukrainian coal market may be the introduction of exchange trading mechanisms, and therefore, the AMC will actively work to ensure that the exchange market in the energy market shall be introduced as quickly as possible. According to the results of activities undertaken, the AMC will integrate and summarize all the proposals and comments that were heard during the meeting and uses when working to reform the energy market of Ukraine.