Kyivenergo settles its gas supply bill with a municipal subsidy
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Kyivenergo settles its gas supply bill with a municipal subsidy

November 02 at 10:26 | Interfax-Ukraine
Kyivenergo, which operates the energy network in Kyiv, has sent UAH 157.4 million to pay a debt for consumed gas, the company's press service reported on October 30.

"Today, Kyivenergo sent UAH 157.4 million to Gaz Ukrainy. The funds were received from Kyiv city state administration as compensation for the difference between expenses on heat generation approved by the state inspection and the tariffs set in the capital," the press service said.

Thus, Kyivenergo paid a part of its debt for gas through the registration of relevant protocols according to the requirements of a cabinet resolution, which sets the procedure for the compensation of the difference in the tariffs from the national budget.

"In a situation in which the tariffs for heat in Kyiv are lower than expenses for its generation, the only way to cut Kyivenrego's debt to gas suppliers is the realization of the said cabinet resolution and the allocation of funds from the general fund of Kyiv's budget. There are some problems with the replenishment of the Kyiv's budget, and the company can rely only on funds received in line with the cabinet resolution," reads the report, citing the company's CFO Mykhailo Utkin.

He said that the company expects to receive at least UAH 280 million under the resolution.

The press service also said that the debt of Kyiv city state administration to Kyivenergo on compensation for the difference in the tariffs is UAH 1.32 billion, while the company's debt to gas suppliers is UAH 705 million.