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Government Reaction to Energy Club’s Appeal: Ministry of Economy and Ministry of Energy Prepare Legislative Changes in Public Electricity Procurement

20.03.2026

Recently, the Energy Club business community appealed to the Cabinet of Ministers of Ukraine and the Office of the President regarding the resolution of systemic legal risks in the field of public electricity procurement. Our concerns pertained to retrospective law enforcement and issues with price adjustments in contracts. Recently, we received official responses from the Ministry of Economy and the Ministry of Energy of Ukraine.

Position of the Ministry of Economy

In its letter dated March 17, 2026, the Ministry of Economy provided clarifications regarding changes to the essential terms of procurement contracts. The agency pointed out the current rule allowing for an increase in the unit price of up to 10 percent in proportion to market price fluctuations. Furthermore, the restriction on changing the price no more than once every 90 days does not apply in cases of purchasing electricity, natural gas, and fuel.

The main news is that the Verkhovna Rada Committee on Economic Development is currently finalizing the draft Law of Ukraine “On Public Procurement” (registration number 11520 dated August 23, 2024) for its second reading. This document is intended to harmonize Ukrainian regulations with relevant European Union Directives and finally resolve the issue of making amendments to procurement contracts.

Position of the Ministry of Energy

In its letter dated March 12, 2026, the Ministry of Energy fully supported the need to regulate the procurement of goods and services in the electricity market. The Ministry understands the problems arising from high price volatility in the electricity market.

To address these issues, the Ministry of Energy has developed its own draft Law of Ukraine on improving the conditions for conducting economic activity in the energy sector. This document proposes amendments to the legislation on public procurement. According to the draft, the public procurement law mechanism will not apply to the procurement of goods and services from a universal service supplier operating under formula-based pricing. This draft law has already been sent to interested authorities for consideration.

We are grateful to the Government representatives for the constructive dialogue. Energy Club continues to monitor the situation and will take an active part in the expert discussion of these legislative initiatives to protect the interests of the energy business.

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