Regulator to Investigate 11 Regional Gas Companies Over Suspicious Changes in Billing
The National Commission for Energy and Public Utilities Regulation (NEURC) will conduct unscheduled on-site inspections of 11 natural gas distribution network operators. The reason for this is sharp fluctuations in natural gas consumption volumes and possible adjustments to the data.
During the inspections, the regulator will determine whether regional gas companies complied with legal requirements when measuring natural gas consumption and calculating the corresponding charges.
The inspections were prompted by a complaint from “Naftogaz of Ukraine” Gas Supply Company LLC regarding possible violations in the compilation and transmission of data on natural gas consumption by residential consumers. The regulator also received a letter from the Security Service of Ukraine regarding risks of harm to state interests and the stable operation of gas distribution networks.
What exactly will be inspected
During the inspections, the regulator will determine whether the data submitted by gas distribution network operators to the TSO’s information platform corresponded to actual meter readings and legal requirements.
According to Naftogaz of Ukraine, anomalies have been detected in the reporting of gas consumption volumes by certain residential consumers:
sharp spikes in consumption volumes;
significant deviations from average statistics;
repeated adjustments to the data.
Suppliers use data from the information platform to calculate the cost of consumed gas, so these discrepancies directly affect the amounts on citizens’ bills.
List of companies subject to inspection
Unscheduled on-site inspections will be conducted at the following companies:
PrJSC "Gadyachgaz";
JSC “Kyivgaz”;
State Enterprise “Kremenets Gas Supply and Sales Department”;
PJSC "Kremenchukgaz";
JSC “Lubnygaz”;
JSC "Odesagaz";
Poltavagaz JSC;
Private Joint-Stock Company “Ternopil City Gas”;
PJSC "UmanGaz";
JSC "KhersonGas";
PrJSC "Shepetivkagaz."
Based on the results of the state inspection, the NEURC will provide a legal assessment of the findings and make a decision in accordance with the law.
The IMF has proposed that Ukraine raise gas and electricity rates starting in 2027.
As a reminder, Ukraine is expecting to receive approximately $690 million from the International Monetary Fund. The funds are expected to arrive in the coming days.
The IMF will consider a review of the program for Ukraine in the coming weeks.
