Ukraine seeks equipment from Europe’s closed coal plants; UK and EBRD provide liquidity support

Ukrainian power company DTek is asking countries who have closed their coal-fired power stations to pass on equipment so Ukraine can quickly bring power stations that have been damaged by Russian bombing back on line.
In DTek’s regular update on its mining and power supply activities – interrupted by alarms –chief executive Maksim Timchenko said that the company was restoring power plant, switchgear and networks, which have recently been targeted by Russia along with other civilian infrastructure.
The company had already brought back five units at its largest thermal power plant, Burshtyn in the west of Ukraine, and it hopes to restore the remainder within two weeks.
Timchenko said the company has the people it needs to bring plant back into operation, but he was trying to contact recent coal-fired plant operators who have equipment that is spare or now out of use. He said that many coal-fired stations were generating more than 20% above previous levels, to maintain power supply levels. But he said the elevated coal burn could be accommodated because the company’s mines were producing coal at full capacity, despite attacks on their power supply that had resulted in brief interruptions.
Timchenko noted that Ukraine was receiving supplies of distribution equipment to restore its network, but he reiterated a plea for suppliers to speed up supply of transmission equipment like large transformers. They typically have a lead time of six months or more and the large loads are more difficult to transport into Ukraine, but they are needed to repair major substations serving large areas.
Meanwhile, the UK has joined with the European Bank for Reconstruction and Development (EBRD) to support Ukraine’s electricity transmission company Ukrenergo, to help meet urgent liquidity needs.
The UK is providing a €54.4 million guarantee to support an EBRD loan. This risk-sharing enables the EBRD to provide emergency finance to safeguard the stable functioning of the Ukrainian electricity grid, nuclear generators and renewable power plants, while maintaining power supply to industries and households.
The guarantee agreement was signed by UK Chancellor Kwasi Kwarteng and EBRD president Odile Renaud Basso in Washington, DC, in the presence of Ukraine’s Minister of Finance Sergii Marchenko.
“This is another important token of the United Kingdom’s trust in the EBRD’s capacity to deliver on its commitment to war-torn Ukraine and its people. We are very grateful for this partnership, which allows the Bank to respond to the pressing need of maintaining electricity services in the country,” said the EBRD President.
UK Chancellor Kwasi Kwarteng, said: “The UK and the EBRD continue to stand with Ukraine, not just in our words but also in our actions. This money will help keep the lights on in homes across Ukraine in the coming months and help raise vital funds for the Ukraine government as they continue the fight against Putin’s illegal invasion.”