By KYIV. Dec 16 (Interfax-Ukraine) – The German government, through the KfW, will provide NPC Ukrenergo with EUR 32.5 million to rehabilitate eight high-voltage substations in southern and western Ukraine, the company has said.
According to a post on Facebook on Friday, the relevant agreements with KfW were signed by the Minister of Finance of Ukraine Serhiy Marchenko and Chairman of the Board of Ukrenergo Volodymyr Kudrytsky. This is the third Ukrenergo’s project with the German state bank KfW, through which its government provides financial support to Ukrenergo.
"These funds will soon work in the interests of Ukrainian consumers: equipment will be installed at the substations that will allow them to be controlled remotely from the central control room. The restored substations will be automated, will require a minimum of personnel, and meet the ENTSO-E requirements for reliability power transmission and network security systems," Ukrenergo said.
The company expressed its sincere gratitude to the European partners for the timely assistance, which is much needed today.
For its part, the Ministry of Finance on its website said that its head, during a meeting with the Ambassador Extraordinary and Plenipotentiary of the Federal Republic of Germany to Ukraine, Anka Feldhusen, signed a guarantee agreement under the new project "Increasing Efficiency of Electricity Transmission/Modernization of Substations II" with KfW, the head of Ukrenergo signed a loan agreement with KfW for EUR 32.5 million for this project.
During the meeting, debt deferral agreements were also signed between the government of Ukraine and KfW, the Finance Ministry said.
According to the ministry, an agreement was reached to postpone the repayment of Ukraine’s debt on attracted KfW loans under four existing projects from 2022-2023 to 2027-2031.
