Ukraine Retains Control in Energy Sector
OREANDA-NEWS. May 17, 2011. The First vice Prime Minister - Minister of Economic Development and Trade of Ukraine Andriy Klyuyev states on the need to privatize power plants, but leave in the state ownership blocking stakes in order to preserve a unified energy system.
"It should still be mechanisms for implementing government policy in this sector", - Andriy Klyuyev said in an interview.
Thus, referring to the experience of privatization of distribution companies, he suggested that private local energy and coal enterprises are more effective government. "Thus, the goal to get money to the budget at the sale of state property - is just one component, but there are other more important goals. This is more effective operation of the industry. But in order the state have a leverage, we should have a blocking stake, because the power system operates in the interests of the state"- he said.
Andrei Klyuyev also stated that “there are sectors and companies that must remain under state control”. “For example,"Ukrenergo"- this company must be state only because it is about regulating of entire energy system of Ukraine. This is purely a State function "- he said, affirming that in these cases will be curried out only corporatization of the enterprise.
"It is necessary lever in the hands of authorities, but a fragile tool in the hands of business. It is about the security of the whole country: remember a time when mass disconnections were common. We can not allow such disruption in the system ", - the First Deputy Prime Minister said.
He also noted that the nuclear industry shall remain in the in the state ownership. “Energoatom” - it only state holding. Although for development of nuclear industry it may be partly drown the potential of public-private partnerships to attract additional investment resources", - Andriy Klyuyev said.
Touching upon the coal industry reform, the First vice Prime Minister said that coal enterprises should transfer to private ownership. "At the same time key requirements must be: level of coal production and social guarantees to employees. For the state it is important to keep jobs, and the need coal for industry and thermal power", - Andriy Klyuyev noted.
But he said that he is an opponent of the idea of closing all companies subsidized the coal industry and coal buying abroad, because "coal in foreign markets for Ukraine will be a half - two times more expensive". "We have lesson like this with the import of natural gas. In this case - not only lose jobs in the industry - many social problems will increase. And the closure will be much greater than the State support of industry ", - said Andrey Klyuyev.
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