Over 285% increase in gas prices and 50% in electricity bills in Ukraine from April 1

Over 285% increase in gas prices and 50% in electricity bills in Ukraine from April 1, 2015


Kiev, Ukraine: From April 1, 2015, Ukrainian will pay the average price of gas with an increase of over 285% while the lower slab rate for electricity will increase by 50%, reports daily The Frontier Post.

It may be mentioned that complete data on the new chart price increase is yet to be officially announced by the government.

The minimum rate for residential gas for heating will increase to 3,600 USD per 1 thousand cubic metre while the price of gas that people use for cooking and heating water will get an increase from 1,182 USD per thousand. Cubic metre (cu.m) to 7188 USD per 1 thousand cubic meters.

This decision was taken by the National Commission, which regulates energy and utilities (NKREKP). These decisions are in accordance of Ukrainian commitments to International Monetary Fund (IMF) for getting recent $17 billion loan.

The rate of 7,188 USD per 1 thousand cubic meters is for those who consume 200 cubic meters or above for heating system and pay only the minimum slab rate for those who consume less than 200 cubic meters per month in winter.

According to decisions taken by the commission, the rate for per unit of electricity will also increase from April1, 2015. The lower rate for electricity for people will increase by 19% (5.8 kopecks. Per kW / h) – up to 36.6 kopecks. per kW / h). The corresponding rate will is for those who utilize only 100 kW / h per month.

The average consumption rate (from 100 kW / h to 600 kW / h per month) will increase by 50% – from 21.1 kopecks. per kW / h to 63.00 kopeks. per kW / h. The maximum rate of consumption (600 kW / h per month) is expected to increase by 5% (6.7 kopecks. Per kW / h) – up to 140.7 cop. per kW / h.

In general, for two years, until March 2017, tariffs for electricity will rise in five stages and will grow 3.5 times.

When contacted by the Dispatch News Desk news agency, officials in ministry of Gas said with the condition of anonymity that Ukraine agreed with the International Monetary Fund (IMF) raising utility tariffs for consumers “to market levels”. Consequently, the price of gas, heat and light will soon increase further. Until the end of 2015 gas prices will rise by almost four times – up to 280%, and the heat in half – 66%.

It may be mentioned that official data on the new chart price increase is yet to be officially announced by the government. However, Energy Minister Vladimir Demchishin noted that rates will rise gradually, and soon rise in price already “just around the corner”.

According to gas ministry sources, first increase will be announced on April 1 while next price increase will occur in either late 2015 or early year 2016.

In general, prices will increase in the next two or three years, and during that time the tariffs will increase by 6-7 times. Electricity National Commission exercising the state regulation in the areas of energy and utilities, electricity price increase schedule painted for two years. Electricity price increase will occur every six months in five stages. And if today the average rate for the population is 35.58 kopeks per kW / h, then after two years will be the 122.83 cop.

National Commission published the following average figures are increasing the cost of electricity for the population in the first stage, provided consumption per month: 50 kW / h – 3 USD; 100 kW / ch 6 UAH; 150 kW / h – 22 UAH. Except as required by the IMF to tariffs, led the National Commission and other arguments in favor of raising them.

It decided to raise tariffs from April, rather than March, as previously announced Energy Minister Vladimir Demchishin. In the National Commission was assured that this was done in order to mitigate the shock of the population from increasing costs, because weather will much better in April and spring will already arrive therefore usage of gas for heating purposes will go down by people.

Officials in gas ministry expressed hope that the Ukrainians would be able to take energy-saving measures for the next autumn-winter period.

Energy experts offer several energy saving measures, including, in particular, the establishment of a two-band meter, which allows twice to save on electricity consumption at night.