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(KYIV, UKRAINE) – Ukraine’s energy regulator has approved new rules to make it easier for businesses and households to sell excess electricity back to the grid, a move aimed at speeding up the growth of small scale power generation across the country.

The National Commission for State Regulation in the Spheres of Energy and Utilities, known as NKREKP, confirmed the changes to the retail electricity market rules and to the procedures for selling and accounting for power produced by active consumers. The decision removes a key barrier by allowing separate payments for electricity fed into the grid and electricity drawn from it, rather than forcing both sides to be settled through a netting off mechanism.

Under the updated framework, if a purchase and sale agreement under the self generation mechanism allows for it, power sent into the network will be paid for independently. Electricity taken from the grid will continue to be paid according to the terms of the supply contract. Regulators said this approach will give active consumers and their electricity suppliers more room to manage payments.

The option to operate without netting off arrangements will also be available to business entities that use Ukraine’s simplified system for taxation, accounting and reporting.

NKREKP has set out a clear schedule for these payments. The electricity supplier, or the universal service provider, must pay the active consumer for power fed into the grid by the 15th day of the month following the billing period. The consumer’s own bill for electricity drawn from the network remains payable under the existing supply agreement conditions.

Another change allows power that is generated by third party installations connected to the active consumer’s network or electrical equipment to be counted as electricity fed into the grid, provided it was not used for the consumer’s own needs.

To put the new rules into practice, the regulator has also updated the standard contracts for the purchase and sale of electricity under the self generation mechanism and clarified how the two parties should settle accounts.

The commission stated that the changes open up wider use of privately owned generation, make payment processes simpler for active consumers and support the continued development of distributed generation in the retail electricity market.

In 2025, renewable energy sources accounted for 11 percent of Ukraine’s total electricity output.

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