UEEX opens trading section on electricity export - ENERGY TRADING Conference | EUROPE UKRAINE

On May 19, the Energy Club online conference was held, dedicated to electricity trading and the prospects for entering European markets ENERGY TRADING | EUROPE UKRAINE. Leading experts and representatives of the energy sector presented their vision of the development of the electricity market after Ukraine’s accession to the energy networks of continental Europe ENTSO-E.

The Ukrainian Energy Exchange was introduced by Development Manager Lisse Geert van Vliet. He demonstrated promising opportunities for the export of electricity, which today is a surplus resource for Ukraine and in buying which Europe is interested. This will allow the Ukrainian economy to receive much-needed financial revenues during the war.

According to him, the export potential should be considered in terms of the prospects for the volume of permitted exports, the interest of non-residents in the Ukrainian resource in terms of price and technical capabilities of the power grid. So far, there are no obstacles to electricity trade with Moldova, which is completely dependent on the Russian energy sector and is in diversification of supply routes. Since May, such exports have already begun, because the situation there required urgent decisions.

The Ukrainian Energy Exchange has previously held auctions for the sale of electricity from Ukrainian producers for export, and now it is ready to open a separate direction for holding auctions for the sale of electricity for further export. UEEX has already developed a separate mechanism and it is proposed to open a special section for this.

The centralized of bilateral contracts market at the UEEX has shown its effectiveness and we believe that if the export of electricity through the exchange has significant advantages over direct agreements, since the possibility of abuse is excluded. The public and transparent sale of Ukrainian state-owned generation is a tool for market price determination.

Consolidation of supply and demand on the exchange platform will ensure market relations, high liquidity and equal access to the resource.

“The consolidation of supply and demand on the exchange platform guarantees marketability and high liquidity,” - says Lisse Geert van Vliet. In the end, this removes a number of questions regarding equal access to the resource, for example, why this particular counterparty was chosen, were the price offers more profitable, etc. - And answering the questions of the meeting, I want to say that export is a friendly help that is necessary for both parties, since this is a good joint business!”.