Oleksiy Chernyshov urges local authorities to increase payments and intensify debt restructuring process for Naftogaz

During the current heating season, heat producers only paid 41% of the cost of the gas used. To ensure Ukraine is prepared for the next winter season, these debts need to be paid.

Naftogaz CEO Oleksiy Chernyshov topped the agenda during a March 3 meeting with the Board of the Association of Ukrainian Cities (AUC).

In spite of the difficult winter season, gas supply remained uninterrupted despite outstanding debts and shelling. Naftogaz fulfilled its responsibility to ensure a continuous supply of gas. However, it is important to acknowledge the existing issues and address them honestly. Today, the level of payments from household consumers who purchase gas directly from Naftogaz is about 80%. Meanwhile, the situation is much worse for heating companies," commented Chernyshov.

Heat producers are twice as bad when it comes to paying for the gas they receive compared to the general population.

We understand that the state provides compensation for the difference in tariffs for district heating companies (DHCs), but the funding for 2022 is unavailable and there is no corresponding subvention in the state budget for 2023. We know that the government is addressing this issue. However, even if we don't talk about this part of the funds, there is still significant debt that DHCs are solely responsible for. It is essential that they at least pay it off to ensure a smooth next heating season," added the Naftogaz Group CEO.

Chernyshov emphasized that the company is taking all possible steps to increase production and ensure Ukraine's energy independence, which requires significant investments.

The company's financial resources are being drained by outstanding debts. We recognize that funds are required to boost production," stated the Naftogaz Group CEO. He also highlighted that heat producers have significant debts to Naftogaz Group, not only for this winter but for previous seasons, and urged restructuring.

Chernyshov expressed his gratitude to the heads of cities and communities for their collaborative efforts during this challenging heating season.

It is their cooperation that has enabled us to successfully conclude this extremely difficult season," he emphasized.

Other news