Ukrainians are being misled by claims that increasing electricity tariffs will help avoid power outages. In reality, the financial state of the industry has no impact on blackout schedules, as the problem lies in the physical destruction of infrastructure rather than a deficit of funds. Moreover, state energy companies are already generating excess profits by selling resources with massive markups.
According to Hvylya, energy expert Oleg Popenko shared this perspective during an interview on the PopenkoPro YouTube channel. Analyzing statements from officials and lobbyists regarding price increases, Popenko labeled them as manipulation. He emphasized that the lack of electricity in homes is a direct consequence of Russian missile strikes on generation and distribution systems. No amount of funding from the population can instantly restore physically destroyed transformers and power lines.
"It is vital to understand that outages in Ukraine do not depend on the level of tariffs. There is more than enough money in Ukraine's energy sector. Energoatom sells electricity on the exchange with a 600-700% markup... The cost of production is 1.15 hryvnia, yet they sell it for 600-700 hryvnias," the expert stated.
Popenko also debunked the myth that "market" tariffs are necessary to secure Western loans for reconstruction. According to him, international donors such as the EBRD provide funds—such as the recent 400 million euros for Ukrenergo—under state guarantees, not based on promises to raise prices for pensioners.
Furthermore, the expert criticized the very idea of "market tariffs" in a country at war. He pointed out that a market implies competition, which is non-existent in Ukraine: Naftogaz controls 95% of the gas supply, while state monopolies dominate the electricity sector. Under such conditions, Popenko argues that the state should implement strict price regulations for the duration of the war and the subsequent recovery period, rather than shifting the financial burden onto citizens.
"What kind of market tariffs can there be during a war when we are facing force majeure and state regulation is in place? In this situation, we should instead say: for the duration of the war and six months thereafter, we introduce state regulation... and only then assess the population's ability to pay," Oleg Popenko concluded.