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 Bringing gas price for population to fair one should encourage consumption reduction, NBU head says

The government's decision to bring gas price for households to market rate as early as this year should be an additional incentive to reduce gas consumption in the country and, consequently, drop its imports.

National Bank of Ukraine Head Valeria Hontarieva said, Censor.NET informs citing 112 Ukraine TV channel.

"The government's decision to raise the gas price for households to the fair one this year should be an additional incentive to reduce gas consumption in the country and, consequently, decrease the demand for its imports. The foreign currency supply has continued to significantly exceed the demand in May and June due to the mentioned factors. This allowed us to actively purchase foreign currency to mitigate excessive fluctuations and replenish our international reserves," Hontarieva stressed.

Read more: Rozenko: "Rejection of Russian gas does not mean return to firewood"

As reported, new gas prices entered into force in Ukraine on May 1. The celling of retail price for natural gas has been set at 6,879 hryvnia (about $275) per 1,000 cubic meters. The price is formed based on the wholesale one added to the weighted average tariff for transportation (219 hryvnia), the weighted average tariff for distribution (513.7 hryvnia) and trade margin of the supplier (57.4 hryvnia) per 1,000 cubic meters.

 
 
 
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