07.01.2026
For the Ukrainian energy sector, 2025 became a year of severe trials while simultaneously exposing deeper, systemic problems within the industry. The war, delayed decisions, fragmented regulation, and uncertainty regarding market rules forced energy businesses to operate in a mode of constant adaptation—and more often than not, without any strategic benchmarks for the future.
Summarizing the work of the Energy Club, we spoke with Energy Club Vice President Valerii Bezus about the key challenges of 2025, the real state of distributed generation and energy storage development, business investment expectations, and the necessity of transitioning from reactive solutions to strategic planning.
— Valerii Oleksandrovych, if you could characterize the 2025 energy year with one word or phrase, what would it be and why?
— Destruction. I was involved in the preparation of the previous two World Bank reports on the Rapid Damage and Needs Assessment (RDNA3 and RDNA4), but the damage sustained by Ukraine’s energy sector in 2025 is obviously much greater than in previous years. To some extent, this is compensated by the extraordinary assistance of our partners, but the massive negative systemic effect of the attacks and structural changes in energy production and consumption remains largely unaddressed. Also left out of the equation is the accelerated wear and tear of all engineering and energy systems without exception—the scale of which is difficult to even calculate, yet it will have to be compensated for in the very near future.
— What was the biggest challenge for the energy system this year, and which achievement by Ukrainian energy workers impressed you the most?
— The war remains the biggest challenge. In second place—and perhaps right alongside it—I would place the challenge of delayed decisions regarding a whole range of long-standing problems in the Ukrainian energy sector. I cannot say that I was “impressed” by anything specific; rather, my confidence was confirmed that the internal potential to resolve issues related to a wide range of challenges remains very high. This gives hope for a solid future for the Ukrainian energy sector.
— 2025 became a year of active discussion and action regarding Energy Storage (BESS). In your opinion, has a turning point in creating a storage market in Ukraine already occurred, or is the big “boom” still ahead?
— No. We will only be able to speak of a real “boom” in the energy storage sector in the context of building Ukraine’s new energy system after the war ends. Obviously, the role of such systems is hard to overestimate. However, the priority should shift away from crisis requirements for countering Russian terrorist attacks and toward challenges of energy efficiency and providing Ukrainian consumers with cheap and clean energy under conditions of transparent market signals.
— We have talked a lot about the transition to distributed generation. Are you satisfied with the pace of implementation of these projects in 2025? What hindered and what helped the market?
— No. Despite huge interest in distributed generation, this is yet another topic in Ukraine that has been “talked to death” without receiving adequate attention at the strategic level. Yes, businesses have largely taken measures regarding the sustainability of energy supply for their own production facilities, but it is impossible to speak of a full-fledged—and most importantly, adequate and effective—development of distributed generation in Ukraine.
The regulatory field is extremely fragmented, unsystematic, and mostly temporary, tied to martial law. The market field is too uncertain, even taking the challenges of war into account, and measures to provide strategic market benchmarks are clearly insufficient for adequate business planning.
It is worth noting that the development of distributed generation cannot be viewed in isolation from the general context of the development of Ukraine’s future energy system. And here there are even more questions regarding ensuring sustainability, efficiency, and economic viability. Today, distributed generation is viewed almost as a panacea for all energy problems, but the cost of energy for final consumption and its impact on the future competitiveness of the national economy, the quality of life of Ukrainians, and the level of energy poverty for many years to come are hardly discussed.
— Which initiative, event, or GR victory of the Club in 2025 do you consider the most significant for our members? Where did we bring the most benefit?
— For me, it is important that, despite the challenges of the war, we tried to keep our focus not only on operational issues but also at a “bird’s-eye view” level, because energy business cannot develop exclusively reactively.
Also important was the focus on solutions that were actualized precisely during the war but have strategic significance for the future—those concerning the sustainability and security of the further functioning of Ukraine’s energy sector.
The Club continues to pay special attention to the issues of securing and developing human resources in the energy sector, and this direction will be strengthened in accordance with rapidly growing challenges.
— How has the portrait and needs of the Club member changed over this year? What is the priority now: seeking investment, protecting interests, or technological partnerships?
— I think it is obvious that the demand for investment is only increasing radically. But all three aspects are inextricably linked: there will be no investment without adequate protection of conditions for doing business and building a new level of culture regarding technological partnerships.
— Name three key trends that will shape Ukraine’s energy agenda next year. what should business prepare for?
— In my opinion, the trends of 2025 remain relevant, but I hope that the strategic level will attract more attention in 2026. Too many issues in the energy sector have been put off “for later” during nearly four years of the active phase of the war, and some for even longer.
— If you had an unlimited budget, in which sector of the Ukrainian energy industry would you invest in 2026?
— I would highlight three segments:
Another important segment, investment in which is blocked by the stagnation of reforms, is centralized heating (district heating), which could get a “second wind” through the attraction of cogeneration technologies, bioenergy, and digitalization.
— Your wishes to the community. What is the main piece of business advice you would give to Energy Club members for the coming year?
— To become less reactive and more strategic—both at the level of forming a marketing position and at the level of organizing business processes.
