The Ukrhydroenergo and the European Investment Bank signed a Memorandum of understanding on cooperation on hydropower projects in Ukraine on March 19.
The MoU was signed by EIB Vice-President Teresa Czerwińska, in charge of the Bank's operations in the region, and General Director of Ukrhydroenergo Ihor Syrota in the presence of Ukrainian Prime Minister Denys Shmyhal and EIB President Nadia Calviño.
The memorandum defines the intentions of the company and the bank to facilitate the implementation of the project "Recovery of equipment to increase the operational stability and reliability of hydroelectric power plants". The project is aimed at supporting the liquidity and stability of Ukrhydroenergo's operations. A loan of an estimated 100 million for this purpose is under consideration, with final approval from the EIB yet to be secured.
The parties will cooperate in the field of technical re-equipment of three hydroelectric power plants by replacing hydraulic power equipment at Kaniv HPP, Kremenchuk HPP and Dnipro HPP.
Ukrainian Prime Minister Denys Shmyhal said:
"We are grateful for the EIB's unwavering support and significant contribution to Ukraine's energy security. Due to the actions of Russian terrorists, Ukraine's hydropower has lost about 2500 MW of capacity. With the help of our partners we were able to already restore more than 1500 MW. The restoration continues and will accelerate. We value the active role and support that EIB provides for the projects in key sectors of the Ukrainian economy."
CEO of Ukrhydroenergo Ihor Syrota said:
"The European Investment Bank is our long-term reliable partner. We appreciate the support that the bank has already provided to Ukrainians and deeply grateful for cooperation and financing of Ukraine's recovery projects during the ten years of ongoing war. The signing of this memorandum is important step in ensuring the energy security of our country in general, as well as the sustainable development of the hydropower industry in particular,"
Also, EIB representatives have repeatedly noted that Ukrhydroenergo is a reliable partner in the implementation of strategic projects in the hydropower sector.
EIB Vice-President Teresa Czerwińska, who is in charge of the bank's operations in Ukraine, added:
"By focusing on critical infrastructure projects, particularly in the energy sector, we aim not just to meet immediate recovery needs but also to lay a strong foundation for Ukraine's sustainable development. We stand ready to support Ukraine's main hydropower generation company, Ukrhydroenergo, to strengthen Ukraine's energy security at a time of repeated attacks on civil power infrastructure by Russia."
Note:
In December 2023, Ukrhydroenergo received a 133 million tranche from the European Investment Bank for the comprehensive "Hydro Power Plants Rehabilitation Project". The allocated funds are aimed at modernizing and reconstructing the company's hydropower facilities, as well as restoring damaged power facilities and capacities lost due to shelling.
