The competition works: the price of electricity in the new market fell almost 30%

Конкуренция работает: цена на электроэнергию на новом рынке упала почти на 30%

According to the head of GP “market Operator”, the downward trend in prices will continue until the end of the month

As reported by the Commander in chief, in trading on the market “for days forward” July 12, the price of electricity in the United energy system fell by almost 30% compared with the previous trading day and made up 1149.843 UAH/MWh.g. This was stated by the Director of GP “the market Operator” Vladimir Evdokimov.

“Now we can see how there is competition. This suggests that the market. And I don’t think that trend will continue (price reduction, — ed.). Perhaps not such a rapid decline as it is today, because the reason for today’s falling — weekends or holidays when, as a rule, consumption is falling. Served fewer applications, so that the system surplus. When the system’s surplus, the tariff falls. Here is really works competition,” he said.

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According to the head of GP “market Operator”, the downward trend in prices will continue until the end of the month. “This, I think, will have a significant impact on the final price to the consumer, primarily for industry. We have a tendency each day, is to reduce prices, even at 0.5%, but still the trend is on a decline. And it says what? This suggests that the price will fall,” — said Vladimir Evdokimov.

We will remind, on 1 July in Ukraine launched a new electricity market operating in today’s competitive European models.

According to media reports, the main beneficiaries of the introduction of the new electricity market are the state of the company. Despite entrusted to the state company NAEK “Energoatom” function PSO, the company raised average prices to 0.70 UAH/kWh. The products price is another major public company “Ukrhydroenergo” — rose in the market by 47% — from 0.7 to 1.1 UAH/kWh. The rate of heat generation in the market decreased by 12% to level of the tariff of July 2017.