Construction of distributed generation facilities: The government will reimburse businesses for a portion of their costs
30 April 12:48
The government is launching a state support mechanism for the construction of distributed generation facilities: it will compensate businesses for the difference between the market rate and the preferential rate.
This was announced by Prime Minister Yulia Svyrydenko, according to "Komersant Ukrainian".
“We are creating additional tools to implement the Sustainability Plans in cooperation with the private sector. The government is launching a state support mechanism for large and medium-sized businesses to build their own distributed generation,” she wrote on Telegram.
What the loans will be used for
As the official explained, companies will be able to secure loans at an effective annual interest rate of 10% for the construction and commissioning of:
- ️gas turbine and gas piston plants, including cogeneration plants:
- ️renewable energy facilities (biomass, biogas, geothermal energy)
- ️energy storage systems
- ️microgrids and local autonomous power systems.
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The program applies to renewable energy facilities (biomass, biogas, geothermal energy), energy storage systems, microgrids, and local autonomous power systems.
The difference between the market rate and the preferential rate for businesses will be covered by the state.
“Support applies to loans ranging from 1 to 25 million euros in hryvnia equivalent (for frontline territories—from 500,000 euros) with a term of up to 5 years, with the possibility of deferring repayment until commissioning, but for no longer than 12 months,” the statement reads.
Svyrydenko announced that the program will launch on June 1. It will be implemented by the National Development Agency. Applications can be submitted through authorized banks.
“Distributed generation is one of the components of preparation for the upcoming heating season. Our goal is to ensure a total of 4 GW of distributed generation across the country to ensure the autonomous operation of critical infrastructure,” the head of government emphasized.
According to her, 162 MW have already been added nationwide since the start of work on implementing the Resilience Plans.
As a reminder: Ukraine aims to increase nuclear generation capacity to 25 GW by 2050, according to Energy Minister Denys Shmyhal.
Earlier, Minister of Community and Territorial Development Oleksiy Kuleba reported that as of mid-April, the implementation of resilience plans to protect energy facilities was over 50%, with Kyiv, Cherkasy, and Kharkiv regions leading the way in finding alternative sources.
According to him, in 2026, it is planned to commission over 500 MW of new decentralized capacity. This means more self-sufficient communities, fewer critical outages, and greater resilience of life-support systems
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