Energy ahead of winter: Ukraine and Finland agree on power generation
This was announced by the Prime Minister of Ukraine, Denys Shmyhal, and the Ministry of Energy of Ukraine.
Ukraine and Finland have agreed on a new phase of cooperation in the field of distributed generation.
During a meeting with Finnish Prime Minister Petteri Orpo, a framework agreement was signed for the supply of complete equipment for gas piston plants.
The agreement was concluded between JSC “Ukrnafta” and the Finnish company Wärtsilä.
This involves a phased programme to roll out gas piston distributed generation. It will be implemented in conjunction with the Finnish-Ukrainian Investment Facility, JSC “Ukrnafta” and with the participation of the Ukrainian side.
As part of the first phase, an EBRD loan of €80 million has already been secured. A loan agreement has also been signed, a state guarantee has been confirmed, and procurement is ongoing in accordance with EBRD procedures.
For the subsequent phases, Ukraine plans to utilise funding from the Finnish-Ukrainian Investment Facility. This should help to scale up the programme, in particular through the installation of gas piston power stations based on Wärtsilä equipment.
The Ministry of Energy noted that such projects are needed to rapidly strengthen the energy security of the regions.
They should also help balance Ukraine’s integrated power grid and secure critical infrastructure.
The Ukrainian side thanked Finland for its support.
As reported by ThePublic, Finland has agreed to provide Ukraine with $300 million in defence support. According to President Volodymyr Zelenskyy, most of this package is planned to be directed towards strengthening Ukraine’s air defence.
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