The NEURC Raises Price Caps: What Will Change in the Electricity Market Starting in May
17 April 19:43
The National Commission for Energy and Utilities Regulation has decided to raise price caps—the maximum prices—in the short-term segments of the electricity market. This was reported by ExPro, according to [Komersant].
This concerns two key segments:
- the “day-ahead” and intraday markets,
- the balancing market.
The new rules will take effect on May 1, 2026.
New price caps
Day-ahead and intraday markets
- maximum — 15,000 UAH/MWh
- minimum — 10 UAH/MWh
Balancing market
- maximum — 17,000 UAH/MWh
- minimum — 0.01 UAH/MWh
These figures define the limits within which market participants can trade electricity in the short term.
Why this was done
The decision was made at the request of businesses that insisted on revising the price limits.
Key rationale:
- The existing price caps could have restricted electricity imports;
- the restrictions also affected the economic incentives for generation;
- in conditions of shortages or peak loads, the market requires greater flexibility.
Previous fluctuations
This is not the first change in the regulator’s approach in recent months.
- In January 2026, the NEURC had already revised price caps to encourage imports during daytime hours.
- However, as of March 31, Ukraine returned to the previous levels of price caps.
Now the regulator is changing the rules again—effectively returning to the idea of higher price caps.
What this means for the market
Raising price caps could have several consequences:
Positive effects:
- increased attractiveness of electricity imports;
- increased liquidity in short-term markets;
- a better balance between supply and demand during peak hours.
Risks:
- potential price increases for end consumers;
- greater market volatility;
- additional pressure on energy-intensive businesses.
Broader conclusion
The NEURC’s decision reflects a search for balance between market liberalization and price controls.
After a series of experiments with restrictions, the regulator effectively acknowledges that, in crisis conditions for the power system, strict price caps can curb not only speculation but also the necessary supply of electricity.
This new phase is an attempt to make the market more flexible, yet at the same time more sensitive to price fluctuations.
