For six months of 2021, the Gas TSO of Ukraine (GTSOU) has transited to 21.8 billion cubic meters of gas, which is 9% more than provided for by the current transit agreement*. The volume of gas transported to domestic consumers amounted to 15 billion cubic meters (+ 3% compared to the same period last year), and the volume of gas supplied to the GTS from production companies amounted to 9.2 billion cubic meters (-4%).
The income of GTSOU in the first half of the year amounted to UAH 28.8 billion, and the net profit – UAH 5.6 billion. The key negative factor that influenced the results in the period was the debt of gas market participants for balancing and transportation services, which amounts to more than UAH 10 billion. Most of the debt (91%) was formed by private DSOs (regional and city gas companies), which withdrawn significant volumes of gas for technical needs from the system of main gas pipelines. It should be noted that technical needs of DSOs grew by 93% compared to the first half of 2020, and their total debt to the Company for gas transportation and balancing services in the period amounted to almost UAH 9.8 billion.
The amount of production programs implementation – capital investments, investments in repairs, maintenance and diagnostics of GTS – is UAH 3.5 billion, which is significantly higher than the same indicator for previous years. The growth of investments in the modernization and technical renewal of the GTS is a guarantee of ensuring its reliable and safe operation, effective preparation for the heating season, and corresponds to the amount of funds laid down in the tariff approved by the Regulator.
“Gas TSO of Ukraine stably and reliably fulfills its obligations to the State. Despite the record 10 billion in debts formed by the natural gas market players, the Company closed the first half of the year with a profit of UAH 5.6 billion. The result could have been more times better if it were not for the debt of the regional gas companies, – commented Sergiy Makogon, CEO of Gas TSO of Ukraine. – I consider the record performance indicators of production programs to be a positive result. Today we are concentrating our efforts on the technical renovation of the GTS, directing funds into modernization and optimization so that after the completion of the current transit contract, the costs of maintaining the system do not fall on the domestic consumer, and the GTS will continue to ensure reliable gas transportation”.
*The current transit agreement between NJSC Naftogaz of Ukraine and the Russian OJSC Gazprom, concluded at the end of 2019 for a period of five years. It provides for the booking by Gazprom of GTS capacities of 40 billion cubic meters (109,6 cubic meters per day) in 2021-2024.