Naftogaz procured 17.5 bcm of gas in 9 months of 2017

Over the first 9 months of 2017, Naftogaz bought 17.5 billion cubic meters (bcm) of gas, which is 3.1 bcm more than in the same period last year.

The share of imports was 41%, with 59% procured from Ukrgazvydobuvannya, a 100%-owned upstream subsidiary of Naftogaz.

In 2017, as well as in 2016, no gas was imported to Ukraine from Russia. All supplies were sourced from European suppliers.

Over the first nine months of 2017, Naftogaz imported 7.1 bcm of gas from the European market, which is 2.4 bcm (53%) more than in the same period of 2016. This year, Naftogaz has been purchasing gas from 12 European suppliers based in Germany, Switzerland, France, the United Kingdom, the Czech Republic, Poland and Italy. None of those companies accounted for more than 30% of total gas imports.

During this period, private companies imported additional 3.6 bcm of gas to Ukraine. Naftogaz share in gas imports thus dropped to 66% from 75% in the 9 months of 2016.

The Ukrainian government has imposed public service obligations (PSO) on Naftogaz which require it to guarantee gas supply for households, religious organizations and district heating companies to provide households and religious organizations with heating and hot water. Naftogaz is not supplying gas directly to the households. Instead, regional gas retailers designated by the government decree resell gas procured by Naftogaz.

All marketable volumes of gas produced by Naftogaz subsidiary in Ukraine are obligatory directed to these purposes. Naftogaz covers the remaining gas needs of the protected consumer categories and its commercial clients with gas imports.

Natural gas imports to Ukraine in the first nine months of 2017 and 2016, bcm