Chronic debts for green electricity block the development of new projects – Elementum Energy.

The problem of debts to producers of electricity from renewable energy sources has a negative impact on the development of the industry. This was stated by the Managing Director of Elementum Energy, Olga Ryabchuk.

“This is already a long-standing problem for the industry that we have gotten used to. By the end of 2024 - beginning of 2025, the debts have slightly decreased. But it is still a serious problem that has an impact on future prospects, not just on current projects. Mainly, the investors who will invest in Ukraine will be those who are already working here. They know the market and the risks. New investors come only after consulting with them. Old debts affect future projects or their absence,” she stated.

Ryabchuk also noted that old debts have an impact on new mechanisms for supporting the industry.

“Green auctions for new projects do not work. We have tried to launch them twice, but unsuccessfully. Due to the old debts of the Guaranteed Buyer and the unreliability of the national regulator, players do not feel reliability and stability,” she explained.

The head of Elementum Energy emphasized that green auctions are an important tool, but the credit risk of the purchasing counterparty plays a large role, and ongoing debts indicate structural problems in the industry and the system.

“This scares away investors. The system is not transparent enough, the formation of money is mainly controlled by state bodies, and it is impossible to investigate or interact with them on market terms. Therefore, there is no clear understanding of how these debts arise and how they can be settled,” she summarized.

Earlier, the head of the Solar Energy Association of Ukraine, Vladislav Sokolovsky, emphasized that the repayment of debts for green electricity would be a stimulus for the construction of new power plants.