THE REGULATOR UPDATES GRID CONNECTION RULES: FLEXIBLE CONNECTIONS, CABLE POOLING AND NEW BESS CONNECTION MODELS
On 11 August 2026, the National Energy and Utilities Regulatory Commission of Ukraine (NEURC) adopted a package of amendments to the Transmission System Code, Distribution System Code, Commercial Metering Code and the Methodology for Calculating Grid Connection Charges. The amendments entered into force on 1 September 2026 and implement the provisions of Law No. 4777-IX regarding flexible grid connections, shared use of network infrastructure and the integration of energy storage systems ("BESS") into the Ukrainian power system.
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GOVERNMENT EXPANDS EXEMPTIONS FROM MANDATORY ELECTRICITY CURTAILMENTS FOR INDUSTRIAL CONSUMERS
On 19 August 2026, the Cabinet of Ministers of Ukraine adopted Resolution No. 1041, expanding the mechanism under which non-household consumers may be exempt from mandatory electricity supply restrictions. The exemption is now available not only to consumers relying on electricity imports or self-generation but also to those purchasing electricity from distributed generation facilities under bilateral agreements.
To qualify for the exemption, electricity purchased from distributed generation facilities must account for at least 80% of the consumer's total electricity consumption in each settlement hour.
To qualify for the exemption, the following conditions must be met:
Failure to comply with the applicable requirements, including the hourly consumption threshold or reporting obligations, may result in the loss of the exemption and the application of electricity restrictions on a general basis. In addition, where payment arrears arise in relation to purchased electricity, the exemption may be revoked within two days after the relevant DSO receives notification of the outstanding debt.
The Resolution also tightens the requirements applicable under the existing exemption mechanisms. While consumers were previously required to cover at least 60% of their hourly demand through electricity imports or self-generation, the threshold has now been increased to 80%.
UKRAINE INTRODUCES NEW RULES FOR RENEWABLE ENERGY PROJECTS
On 1 October 2026, Law No. 4963-IX entered into force, introducing a range of measures aimed at aligning Ukraine's renewable energy framework with EU legislation.
The key changes feature:
- establishment of RES acceleration areas
- grid connection charges for BESS
- changes to Renewable Energy Support Auctions
- recognition of RES projects as being in the public interest
- legal framework for renewable energy communities and prosumer rights
- international cooperation mechanisms
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SEPTEMBER RENEWABLE ENERGY SUPPORT AUCTIONS DEMONSTRATE STRONG INVESTOR INTEREST
On 25 and 30 September 2026, support quota auctions were held for solar power plants (SPPs), SPPs combined with BESS, and wind power plants (WPPs). According to the Guaranteed Buyer, all three auctions were successfully conducted, with the highest level of interest recorded for SPPs combined with BESS and wind generation projects.
Based on the submitted bids:
The results of the September auctions indicate renewed developer interest in Ukraine's renewable energy support auction mechanism. The strongest competition was observed in the WPP and SPP-with-BESS auctions, where the total capacity of submitted bids exceeded the available support quotas by approximately 1.7 and 3.9 times, respectively.
At the same time, developers submitted bids for a standalone SPP auction for the first time after two years without participation.
Following the WPP auction, the entire 700 MW support quota was awarded to eight companies. The largest allocations were secured by Naftogaz WES (300 MW), Mosty Odesy 1 (162 MW), Prime Storage System (80 MW), and Energy RTB 9 (72.4 MW).
NORWAY-BACKED PILOT RISK MITIGATION MECHANISM LAUNCHED FOR ENERGY PROJECTS
On 14 September 2026, the Energy Community Secretariat announced the launch of a pilot mechanism aimed at reducing financial and war-related risks for investors in new generation capacity. The programme is funded by the Norwegian Agency for Development Cooperation (Norad) through the Ukraine Energy Support Fund.
The mechanism provides for two support instruments:
The support will be provided free of charge to both project developers and lending banks.
At the pilot stage, the programme is available to winners of Ukrenergo's special long-term ancillary services auctions held in 2024-2025 that have entered into the relevant agreements with the TSO and have either secured or are in the process of securing financing from a systemically important Ukrainian bank. The aggregate capacity of projects eligible for support at this stage is limited to approximately 10 MW.
The application period closed on 4 October 2026. Subject to the availability of additional donor funding, the programme may be expanded following completion of the pilot phase.
BANKS HAVE PROVIDED UAH 68.7 BILLION FOR ENERGY PROJECTS
According to the National Bank of Ukraine, as of the end of September 2026, Ukrainian banks had provided financing for energy projects totalling UAH 68.7 billion, of which UAH 63.4 billion was allocated to business projects.
The financing is being provided under the joint memorandum signed by Ukrainian banks in June 2024 with the support of the National Bank of Ukraine to facilitate the recovery and development of Ukraine's energy infrastructure.
The financing supports business projects involving the restoration and development of electricity generation capacity totalling 2.115 GW. The largest share of lending has been directed towards solar generation, gas-fired generation, hydro, biomass and wind projects, as well as the purchase of generators.
In addition, banks are financing energy storage projects, the installation of inverters and batteries, and the modernisation of thermal energy equipment with a combined capacity of 944 MW. The financing covers projects across 22 regions of Ukraine.
Compared to the beginning of August, the total volume of financing increased by UAH 8.3 billion, indicating continued growth in bank lending to the energy sector.
DFC AND THE U.S.-UKRAINE RECONSTRUCTION INVESTMENT FUND JOIN FINANCING OF DTEK'S BESS PORTFOLIO
On 16 September 2026, the U.S. International Development Finance Corporation (DFC) approved an EUR 85 million loan to finance DTEK's battery energy storage portfolio with a total capacity of 200 MW and storage volume of 400 MWh.
The transaction represents DFC's largest debt investment in Ukraine's energy sector since the start of the full-scale war.
On 2 October 2026, DTEK announced that the U.S.-Ukraine Reconstruction Investment Fund (URIF) had decided to participate in the financing structure of the project.
The portfolio comprises six sites equipped with systems supplied by the U.S. company Fluence, which were commissioned in September 2025. The facilities provide frequency regulation and balancing services to Ukraine's power system.
The participation of U.S. financial institutions in the financing of operational BESS projects demonstrates the growing availability of international debt financing for energy storage projects in Ukraine.

EBRD PROVIDES UP TO USD 45 MILLION FOR KERNEL'S SOLAR AND BESS PROJECT
The European Bank for Reconstruction and Development (EBRD) is providing a loan of up to USD 45 million to Energy RTB 2, a company within the Kernel Group, for the construction of a 106 MW solar power plant combined with a battery energy storage system.
The total project cost is estimated at USD 86 million. In addition to EBRD financing, a parallel loan of up to USD 10 million is expected to be secured.
The EBRD financing is supported by the European Union's Ukraine Investment Framework guarantee mechanism, which will partially cover the project's credit risks.
Once commissioned, the solar power plant is expected to generate approximately 141 GWh of electricity annually.
The project combines renewable energy generation with battery storage and demonstrates the potential for attracting international project finance to support new energy infrastructure in Ukraine.
CIF APPROVES UKRAINE'S USD 116.2 MILLION ENERGY INVESTMENT PLAN
On 6 October 2026, Ukraine's Ministry of Energy announced that the Board of the Climate Investment Funds (CIF) had approved Ukraine's USD 116.2 million investment plan under the Renewable Energy Integration Programme.
The programme includes two principal funding streams:
Approval of the investment plan creates a basis for attracting further international financing to Ukraine's energy sector, particularly for the expansion of cross-border interconnections and the support of private investment in renewable energy and battery energy storage projects.