Ukrenergo held the first auction for the construction of energy conservation systems shutterstock

Ukrenergo held the first auction for the construction of energy conservation systems

Anna Velyka

Currently, there is no industrial "battery" in Ukraine that would provide energy storage services to the Ukrainian operator of transmission systems

NEC "Ukrenergo" has determined the winners of a competitive 5-year special auction for the purchase of frequency support reserves to ensure the stable operation of the Ukrainian energy system.

The national operator announced the results of the auction on its website.

It is known that 39 companies took part in it, and 12 of them won the procurement of auxiliary services for balancing the energy system. They must build energy storage systems with a total capacity of 99 MW by October 2025.

Ukrenergo said that the upper limit of the price was UAH 1,339.82 per MW, and companies willing to provide auxiliary services at a price from UAH 589 to UAH 1,001 per MW won the auction.

In total, 39 participating companies made 230 proposals and offered 368 MW, while Ukrenergo needed 99 MW.

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With the 12 companies that won the auction, the operator will sign a contract fixed in euros for 5 years. They have to build a power plant or energy conservation installations and pass equipment certification within a year.

Ukrenergo noted that all participants in the auction are new participants in the electricity market, which indicates that new generating capacities will be built in Ukraine. Experts explain that this will increase the resistance of the Ukrainian energy system to Russian attacks, as well as increase the balancing power required for its stable operation.

"Ancillary services for providing a reserve of frequency support are a service for the readiness of the generating equipment to constantly respond to a change in the frequency in the power system. This is a fast backup that is provided automatically, no later than 30 seconds. This type of reserve is necessary for the stable synchronous operation of the European and Ukrainian energy systems," Ukrenergo noted.

The operator also reminded that the next long-term auction will be held on August 22, for the provision of automatic frequency restoration reserve (ARFC) services.

As EcoPolitic reported earlier, from July 27 power equipment enters to Ukraine without duty and VAT.

We also provided expert assessments of what additional power is needed will give new wind turbines to the energy system.

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