Ukraine: Business Should Learn How To Work Within The Energy Market

Last Updated: 8 November 2019
Article by Evris Law Firm

Ivan Bondarchuk, Head of Energy & Natural Resources practice at EVRIS, told about trends of Ukrainian energy market in his interview for research "Client's choice. Top 100 Best Lawyers of Ukraine – 2019" by "Yurydychna Gazeta".

Ivan, what are the reasons for your decision to leave for EVRIS?

I had been working for ILF within 6 years. I have grown from the paralegal to senior associate and during that period felt I could do more. Firstly, I have accepted a job offer because of my strong desire for changes. Secondly, Evris offer was really interesting. Thirdly, a correlation between my view of own development and how do Evris allows for it. Fourth, being a practice leader is a challenge for me (and not only professional).

How are you planning to develop the practice? Which goals do you set for yourself?

The lawyer involved in the energy law field should assist his client in the implementation of the related projects. To do so, he should advise the client on the corporate and commercial law issues and some aspects of the protection of international investments. It is necessary to consider a project entirely from different perspectives. In addition, the energy industry is still a specific area from both the technical and infrastructure sides and it operates under extensive industry-specific regulation.

In my opinion, an energy law expert is a person who lives inside the industry an is well-informed on national and global issues; this is a person who's been deep-hip in the energy world. Therefore, in my opinion, the ideal team consists of one, two or three experts with perfect knowledge of the energy market. We will have a team of experts capable to deal with the energy aspect of the project and, at the same time, identify those aspects where it is necessary to involve experts in other areas of law. In general, it was another great advantage of Evris for me. They have experts and the team able to complete all the aspects of any client project from the standpoint of different areas.

Do you have any particular plans for the next half of the year?

For the initial period, my plans are very simple. To define in details what particular services in the energy industry we shall offer. In addition, to make potential clients and market players aware that Evris started the energy practice. As a Head of practice, I also will promote Evris in the energy industry. Furthermore, it is important to tell people what kind of legal support this practice basically offers. We have to raise a pool of partners ready to assist us at any time.

Furthermore, what is undoubted, we shall establish efficient relations inside the team and involve a particular basic portfolio of clients.

To speak globally, we will strengthen our position in specific areas. The first vector is a booming renewable energy sector. I am currently handling a few solar energy projects. A large client — the Norwegian company that makes significant investments into the solar energy industry in Ukraine — moved to Evris with me. The other interesting vector for us is the energy market. The third vector is venture projects in waste recycling. It is currently a general trend in Ukraine. In my opinion, the investor community will experience an increase in such projects. They will be definitely attractive to us. The fourth vector: we will be joining the work within the expert community, including the law-making process in this field. Generally, I will keep on working as an expert and GR specialist.

What issues are the most pressing in the energy market?

There are several issues of that kind. In particular, this is the issue of due payments and payments under the "green tariff", and guarantees for the rights of renewable energy investors. Also, the issues related to the development of the power energy market, competitive aspects to be more exact. This market is still like a blue ocean. Thus, the problem is that some companies are trying to sell their product in the highest price segment of the market – balancing market, at the same time ignoring the intraday market. I can suppose signs of anti-competitive conduct here. Let's see the reaction of the Antimonopoly Committee of Ukraine.

However, these problems must be handled within the legal framework and under the due procedures. Anyway, I have never supported the attempts of manual control or at the political level instead of engaging legal mechanisms. Typically, it is made in a rush and not always efficiently.

The last important point to note is that the consumers and some market players have not yet realized that the competition on the market is currently developing, that time has come to be partners, and to negotiate, in other words, to move to normal market-based relationships. We need to "teach" the market players to understand that the electric power shall be treated as goods and a part of the prime cost of their products. Energy consumers should carefully review agreements and not fear to insist upon their conditions.

Could these issues be governed by law only or some sensitization may be efficient?

Both are possible. Beyond a doubt, we will take some measures to teach how to select an energy supplier, analyse an agreement, protect own interests in case of dispute, etc. The number of such disputes is growing, but it will decrease as soon as the first judicial practice emerges. Thus, the more active market players try to defend their interests in courts, the sooner we will get some benchmarks.

Regarding the legislation, there are several outstanding issues. Firstly, the case is the regulatory framework that is been still forming. Secondly, the legal status of the National Energy and Utilities Regulatory Comission (NEURC). It is relevant, given the fact that the Constitutional Court held unconstitutional some provisions of the law on the NEURC. In simple words, the Parliament should make a decision on the important issue: whether the NEURC is an independent regulatory body or not. If yes, to confirm that we need to amend the Constitution, otherwise, the NEURC shall be a part of the Cabinet of Ministers of Ukraine and under control of the competent Ministry. Thirdly, given some political views and trends, it is likely that the law on the electricity market seems to be amended.

What are the current trends in the energy market? What should the business expect?

Trends are going to start revealing now, and we could be able to analyse the actions of the Parliament. The business should be ready for changes (including price changes). The energy industry as an industrial sector is subject to the symbiosis of legal and regulatory changes and positions of the key market stakeholders. Thus, the business should be an active initiator of changes, trace and carefully analyse all the data. It is sometimes easier and faster to protect one's interest at the stage of initiatives rather than some regulatory act is adopted. So, it is necessary to learn to work in the new environment of the energy 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.

To print this article, all you need is to be registered on

Click to Login as an existing user or Register so you can print this article.

Some comments from our readers…
“The articles are extremely timely and highly applicable”
“I often find critical information not available elsewhere”
“As in-house counsel, Mondaq’s service is of great value”

Related Topics
Related Articles
Up-coming Events Search
Font Size:
Mondaq on Twitter
Mondaq Free Registration
Gain access to Mondaq global archive of over 375,000 articles covering 200 countries with a personalised News Alert and automatic login on this device.
Mondaq News Alert (some suggested topics and region)
Select Topics
Registration (please scroll down to set your data preferences)

Mondaq Ltd requires you to register and provide information that personally identifies you, including your content preferences, for three primary purposes (full details of Mondaq’s use of your personal data can be found in our Privacy and Cookies Notice):

  • To allow you to personalize the Mondaq websites you are visiting to show content ("Content") relevant to your interests.
  • To enable features such as password reminder, news alerts, email a colleague, and linking from Mondaq (and its affiliate sites) to your website.
  • To produce demographic feedback for our content providers ("Contributors") who contribute Content for free for your use.

Mondaq hopes that our registered users will support us in maintaining our free to view business model by consenting to our use of your personal data as described below.

Mondaq has a "free to view" business model. Our services are paid for by Contributors in exchange for Mondaq providing them with access to information about who accesses their content. Once personal data is transferred to our Contributors they become a data controller of this personal data. They use it to measure the response that their articles are receiving, as a form of market research. They may also use it to provide Mondaq users with information about their products and services.

Details of each Contributor to which your personal data will be transferred is clearly stated within the Content that you access. For full details of how this Contributor will use your personal data, you should review the Contributor’s own Privacy Notice.

Please indicate your preference below:

Yes, I am happy to support Mondaq in maintaining its free to view business model by agreeing to allow Mondaq to share my personal data with Contributors whose Content I access
No, I do not want Mondaq to share my personal data with Contributors

Also please let us know whether you are happy to receive communications promoting products and services offered by Mondaq:

Yes, I am happy to received promotional communications from Mondaq
No, please do not send me promotional communications from Mondaq
Terms & Conditions (the Website) is owned and managed by Mondaq Ltd (Mondaq). Mondaq grants you a non-exclusive, revocable licence to access the Website and associated services, such as the Mondaq News Alerts (Services), subject to and in consideration of your compliance with the following terms and conditions of use (Terms). Your use of the Website and/or Services constitutes your agreement to the Terms. Mondaq may terminate your use of the Website and Services if you are in breach of these Terms or if Mondaq decides to terminate the licence granted hereunder for any reason whatsoever.

Use of

To Use you must be: eighteen (18) years old or over; legally capable of entering into binding contracts; and not in any way prohibited by the applicable law to enter into these Terms in the jurisdiction which you are currently located.

You may use the Website as an unregistered user, however, you are required to register as a user if you wish to read the full text of the Content or to receive the Services.

You may not modify, publish, transmit, transfer or sell, reproduce, create derivative works from, distribute, perform, link, display, or in any way exploit any of the Content, in whole or in part, except as expressly permitted in these Terms or with the prior written consent of Mondaq. You may not use electronic or other means to extract details or information from the Content. Nor shall you extract information about users or Contributors in order to offer them any services or products.

In your use of the Website and/or Services you shall: comply with all applicable laws, regulations, directives and legislations which apply to your Use of the Website and/or Services in whatever country you are physically located including without limitation any and all consumer law, export control laws and regulations; provide to us true, correct and accurate information and promptly inform us in the event that any information that you have provided to us changes or becomes inaccurate; notify Mondaq immediately of any circumstances where you have reason to believe that any Intellectual Property Rights or any other rights of any third party may have been infringed; co-operate with reasonable security or other checks or requests for information made by Mondaq from time to time; and at all times be fully liable for the breach of any of these Terms by a third party using your login details to access the Website and/or Services

however, you shall not: do anything likely to impair, interfere with or damage or cause harm or distress to any persons, or the network; do anything that will infringe any Intellectual Property Rights or other rights of Mondaq or any third party; or use the Website, Services and/or Content otherwise than in accordance with these Terms; use any trade marks or service marks of Mondaq or the Contributors, or do anything which may be seen to take unfair advantage of the reputation and goodwill of Mondaq or the Contributors, or the Website, Services and/or Content.

Mondaq reserves the right, in its sole discretion, to take any action that it deems necessary and appropriate in the event it considers that there is a breach or threatened breach of the Terms.

Mondaq’s Rights and Obligations

Unless otherwise expressly set out to the contrary, nothing in these Terms shall serve to transfer from Mondaq to you, any Intellectual Property Rights owned by and/or licensed to Mondaq and all rights, title and interest in and to such Intellectual Property Rights will remain exclusively with Mondaq and/or its licensors.

Mondaq shall use its reasonable endeavours to make the Website and Services available to you at all times, but we cannot guarantee an uninterrupted and fault free service.

Mondaq reserves the right to make changes to the services and/or the Website or part thereof, from time to time, and we may add, remove, modify and/or vary any elements of features and functionalities of the Website or the services.

Mondaq also reserves the right from time to time to monitor your Use of the Website and/or services.


The Content is general information only. It is not intended to constitute legal advice or seek to be the complete and comprehensive statement of the law, nor is it intended to address your specific requirements or provide advice on which reliance should be placed. Mondaq and/or its Contributors and other suppliers make no representations about the suitability of the information contained in the Content for any purpose. All Content provided "as is" without warranty of any kind. Mondaq and/or its Contributors and other suppliers hereby exclude and disclaim all representations, warranties or guarantees with regard to the Content, including all implied warranties and conditions of merchantability, fitness for a particular purpose, title and non-infringement. To the maximum extent permitted by law, Mondaq expressly excludes all representations, warranties, obligations, and liabilities arising out of or in connection with all Content. In no event shall Mondaq and/or its respective suppliers be liable for any special, indirect or consequential damages or any damages whatsoever resulting from loss of use, data or profits, whether in an action of contract, negligence or other tortious action, arising out of or in connection with the use of the Content or performance of Mondaq’s Services.


Mondaq may alter or amend these Terms by amending them on the Website. By continuing to Use the Services and/or the Website after such amendment, you will be deemed to have accepted any amendment to these Terms.

These Terms shall be governed by and construed in accordance with the laws of England and Wales and you irrevocably submit to the exclusive jurisdiction of the courts of England and Wales to settle any dispute which may arise out of or in connection with these Terms. If you live outside the United Kingdom, English law shall apply only to the extent that English law shall not deprive you of any legal protection accorded in accordance with the law of the place where you are habitually resident ("Local Law"). In the event English law deprives you of any legal protection which is accorded to you under Local Law, then these terms shall be governed by Local Law and any dispute or claim arising out of or in connection with these Terms shall be subject to the non-exclusive jurisdiction of the courts where you are habitually resident.

You may print and keep a copy of these Terms, which form the entire agreement between you and Mondaq and supersede any other communications or advertising in respect of the Service and/or the Website.

No delay in exercising or non-exercise by you and/or Mondaq of any of its rights under or in connection with these Terms shall operate as a waiver or release of each of your or Mondaq’s right. Rather, any such waiver or release must be specifically granted in writing signed by the party granting it.

If any part of these Terms is held unenforceable, that part shall be enforced to the maximum extent permissible so as to give effect to the intent of the parties, and the Terms shall continue in full force and effect.

Mondaq shall not incur any liability to you on account of any loss or damage resulting from any delay or failure to perform all or any part of these Terms if such delay or failure is caused, in whole or in part, by events, occurrences, or causes beyond the control of Mondaq. Such events, occurrences or causes will include, without limitation, acts of God, strikes, lockouts, server and network failure, riots, acts of war, earthquakes, fire and explosions.

By clicking Register you state you have read and agree to our Terms and Conditions