USUBC ENERGY SECURITY WORKING GROUP CONDUCTS ITS FIRST MEETING IN KYIV
U.S.-Ukraine Business Council (USUBC),
Thu, Dec 7, 2017
The first meeting of the USUBC Energy Security Working Group took place on Thursday, December 7, 2017 at the offices of SigmaBleyzer in Kyiv.
Participants of the meeting launched an open and honest discussion of the issues and problems that their companies and the sector face; they mentioned that in spite of their corporate interests, they would like the energy sector to be open and transparent for competition. They commented on the sector’s progress is compliance with EU energy policies and welcomed the Law 115-44 passed by the U.S. Congress in August where the United States stated its commitment to promoting energy independence of Ukraine and expressed the need in the respective Ukrainian legislation that would provide the framework for the Ukrainian energy sector progress and reform.
They also mentioned the inefficient performance of the state regulator that had the mandate to create better environment for the companies working in the energy sector.
The meeting was attended by USUBC members from Astarta, DTEK, Donbasenergo, SigmaBleyzer, Energy Resources of Ukraine, Everlegal, DLA Piper Ukraine, Asters, ContourGlobal, Cub Energy Inc, British Embassy, Kyiv, U.S. Embassy Kyiv Ukraine, JKX Oil & Gas Poltava Petrolem Company, PwC Ukraine, KPMG Ukraine, Sayenko Kharenko, Galnaftogas and others.
The format that USUBC wanted to suggest for the working group to meet regularly and promote good pilot projects; help the Ukrainian government to draft new regulations and laws, share combined ideas of specific energy sectors. The Group has agreed to begin with 4-5 priority issues that are relevant to all companies and to coordinate the next steps that are needed to inform the Ukrainian and the U.S. companies.
Following the USUBC Energy Security Roundtable with MP Oleksandr Dombrovskyi and SigmaBleyzer President Michael Bleyzer on November 10, USUBC has formalized the creation of the USUBC Energy Security Working Group where all interested USUBC members were invited to discuss the priorities and the next steps needed to reform of Ukraine’s energy sector.
After the U.S. Congress passed on August 2, 2017 Public Law 115–44 COUNTERING AMERICA’S ADVERSARIES THROUGH SANCTIONS ACT (the “Act”, https://www.gpo.gov/fdsys/pkg/PLAW-115publ44/pdf/PLAW-115publ44.pdf) which includes the 22 U.S. Code § 9546 - Ukrainian energy security (https://www.law.cornell.edu/uscode/text/22/9546), it has been discussed in the mass media and at various U.S. and Ukraine government meetings, as well as at business fora.
Ukrainian Energy Security paragraph refers to the Plan to promote energy security in Ukraine which, inter alia, directs certain U.S. Government entities to work with the Government of Ukraine on developing the plan. At present, there seems to be a lack of concrete actions on behalf of either side to start developing the plan. The expectation is that the Ukrainian side needs to develop the “ask list” and then work with the U.S. side on getting various policy documents and regulations developed.
The business community is anxious to cooperate with both governments as industry experts to facilitate the development of the plan in the most prompt and efficient manner so that the interests of the international and domestic investors in this sector are taken into consideration.
USUBC Energy Security Working Group will work with the Verkhovna Rada Committee on Fuel and Energy Complex, with the Ministry of Energy and Coal of Ukraine and various regulators as well as with the U.S. government agencies specified in the Act, and this will be a key item on USUBC agenda, to encourage prompt and transparent activities which will then be appropriately communicated to the business community and the populace in general to further the public understanding of the reforms.
With the public and private sectors cooperation, Ukraine's energy security and energy independence can substantially improve during the next 14 months through a better energy investment environment.
More pictures of the event: https://www.facebook.com/permalink.php?story_fbid=1522674117779752&id=175794199134424