Ferroalloy industry calls for no increase in Ukrenergo tariffs

The Ukrainian Association of Ferroalloy and other Electrosteel Products Manufacturers (UkrFA) has called on the authorities to prevent another increase in Ukrenergo’s tariffs for 2026.

At a meeting of the National Energy and Utilities Regulatory Commission (NEURC) on November 11, draft resolutions were approved that provide for an increase in the tariff for electricity transmission from 686.23 to 786.74 UAH/MWh, i.e. by 15%, as well as an increase in the tariff for dispatch control from 98.97 to 110.15 UAH/MWh (+11%).

The UkrFA emphasizes that these changes will be another blow to the domestic electric metallurgy industry, for which the cost of electricity is a key factor in the cost of production. According to the association’s estimates, the increase in tariffs will lead to a significant increase in costs for enterprises, a loss of competitiveness in foreign markets, and may cause the shutdown of individual units or even entire workshops.

Industry representatives note that the current situation is particularly dangerous, as energy-intensive industries remain important taxpayers and a source of foreign exchange earnings for the state. Raising the cost of electricity during wartime, when industry is already operating in unstable conditions, could undermine its economic stability.

The association has appealed to the NEURC to review the costs of NPC Ukrenergo and maintain the current tariff level for 2026. UkrFA calls on the government and the regulator to take into account the position of industrialists and not to allow decisions that deepen the crisis in the domestic steel industry.

It should be recalled that on November 4, the NEURC approved Ukrenergo’s tariff for electricity transmission in 2026 at UAH 786.74/MWh (excluding VAT), which is 14.6% higher than the current year’s tariff. In addition, there are plans to increase the dispatching tariff by 11.3%. The regulator’s decision is subject to further discussion for final approval.