Industry without power: how power cuts are halting processing in Ukraine
11 February 15:11
The Ellada oil pressing plant in the Kyiv region has effectively ceased operations due to unstable power supply. The enterprise receives electricity on average only about six hours a day, and switching to diesel generators makes production economically unprofitable.
This was reported by the industry publication Latifundist.com, citing the owner of the enterprise, Vitaly Averkin, according to "Komersant Ukrainian".
What happened
According to the owner, the plant needs about 800 kW of actual load per hour. This requires the use of a 1 MW generator, which consumes more than 200 liters of diesel fuel per hour, and even more in severe frosts.
At current prices for winter diesel, the cost of electricity produced reaches approximately 16 UAH per kW·h. For oil press production, this means operating at a loss, even with export contracts in place.
As a result, the plant is forced to suspend production, maintaining only minimal administrative work thanks to a separate low-power generator.
Why generators are not a solution
The problem lies not only in the cost of fuel, but also in technical limitations. Some generators are not equipped with fuel heating systems, causing diesel to freeze at temperatures below –10°C.
According to Averkin, in order to operate fully in the absence of electricity for up to 15 hours a day, the company would have to burn up to 4,000 liters of diesel every day. Such a model, he says, may be acceptable for some oil extraction plants, but not for pressing plants.
The situation with Ellada fits into the overall picture of the energy crisis facing Ukrainian industry after massive attacks on energy infrastructure.
Earlier, the Metinvest Group warned that a prolonged shutdown of mining and metallurgical enterprises could have critical consequences, as such facilities are not capable of operating stably on alternative power sources.
At the same time, the government acknowledges that some of the cogeneration plants that have already been installed and are technically ready in communities have not yet been put into operation.
What this means for the economy
The suspension of even one medium-sized plant means not only a loss of tax revenues and foreign exchange earnings, but also increased risks for agricultural exports, which remain a key source of income for the country in wartime.