The Ukranian government has introduced new natural gas tariffs for consumers as it looks to meet demands put forward by the International Monetary Fund (IMF).
The move will see the introduction of one flat tariff which was announced by the new Prime Minister Volodymyr Groysman.
He said the decision was consistent with the country’s obligations to the International Monetary Fund and said the decision could help reduce gas prices for consumers.
However, most are likely to face higher prices, in compliance with IMF calls for Ukraine to increase energy tariffs for households and utilities in an effort to reduce budget subsidies for energy company Naftogaz.
The politician said the new single tariff will come into effect next month costing $272 per 1,000 cubic metres of gas used.
The outgoing two-tier system’s winter pricing was 3,600 hryvnias per 1,000 cubic metres for up to 1,200 cubic metres of gas, rising to 7,188 hryvnia for consumption above 1,200 cubic metres.
Most Ukrainian households use slightly more than 1,200 cubic metres during the winter, according to Naftogaz.
The new system should also help to reduce corruption in the sector, Groysman said.
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