On 1 November 2016 the Law of Ukraine "On Amendments to the
Law "On the Natural Gas Market (regarding gas stock
reserve)" No. 1541-VIII (the
"Law"), adopted by the Parliament on 22
September 2016 and signed by the President of Ukraine on 13 October
2016, became effective. The Law is aiming to reduce the burdensome
50 per cent natural gas stock reserve obligation, which according
to the latest Energy Community Implementation Report, dated 1
September 2016, is "considered not proportionate or in
line with ensuring equal access".
The Law states that any supplier shall secure natural gas stock
reserve of up to 10% of the planned monthly supply volume. The
exact amount of the natural gas stock reserve is established on
annual basis by the Cabinet of Ministers of Ukraine for all
It is important to note that as of 1 November 2016 the Cabinet
of Ministers has not established the amount of the gas stock
reserve for the next year. However, on 28 October 2016 the Ministry
of Energy and Coal Industry of Ukraine proposed to the Cabinet of
Ministers of Ukraine to establish obligation for the gas suppliers
to create a gas stock reserve at the amount of zero per cent for
2016-2017. According to the respective Draft Cabinet of Ministers
of Ukraine Resolution, which has been published at the official
page of the Ministry of Energy and Coal Industry of Ukraine, the
gas suppliers will be obliged to create natural gas stock reserve
in the amount of 10 per cent of monthly supply volume only in cases
Market participants believe that the recently adopted Law is a
substantial step towards establishment of competitive rules on the
Ukrainian gas market.
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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ESMA published a revised set of Q&As on EMIR on 11 February, the eve of the EMIR transaction reporting go-live date. They include updates and new guidance in several areas, including transaction reporting.
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