In another letter of intent to the International Monetary Fund, the Ukrainian authorities confirmed plans to further increase tariffs for housing and communal services. The increase in tariffs will depend on the situation in the country. Clause on additional tariff increase turned on to the updated Memorandum with the IMF.
“Potential reform measures, as soon as conditions allow, include additional gradual tariff increases (taking into account the new tariff methodology and social considerations)”, — stated in the document.
It is also envisaged to attract external financing and ensure transparent direct budget support of state energy companies — within the limits of the state budget’s available capabilities. The document states that after the end of martial law, Ukraine will require a gradual increase in gas and electricity tariffs.
“Based on the proposals of the Ministry of Energy and other stakeholders, the Cabinet of Ministers will adopt a road map for the gradual liberalization of the gas and electricity markets within 6 months after the end of martial law,” – says the text.
In addition, in the near future, the government plans to adopt a law on the unification of energy markets, which will contribute to the acceleration of the integration of the energy market of Ukraine into the European one.
The updated Memorandum with the IMF was signed by President Volodymyr Zelenskyi, Prime Minister Denys Shmyhal, Minister of Finance Serhiy Marchenko and Chairman of the National Bank Andriy Pishnyi. The document outlines the voluntary commitments of the Ukrainian authorities regarding the planned reforms.
We would like to remind you that in Ukraine there is a moratorium on raising tariffs for gas, hot water and heating. At the same time, the restrictions do not apply to electricity, cold water and some other services. According to the National Bank’s assessment, the current tariffs for gas, heating and hot water will remain unchanged throughout 2025. An increase is possible from 2026.
