The Cabinet of Ministers of Ukraine has approved a decision that will allow more than UAH 880 million in grant funding to be allocated this year for the deployment of modern STATCOM (Static Synchronous Compensator) systems and the construction of physical protection measures for these facilities.
This was announced by First Deputy Prime Minister – Minister of Energy of Ukraine Denys Shmyhal.
“In February, our international partners increased the total amount of grant financing under the Second Power Transmission Project to USD 240 million. The Government's decision establishes the legal framework for allocating part of these funds to the installation of STATCOM systems and their physical protection. The relevant amendments have been introduced to Cabinet of Ministers Resolution No. 534 of 10 May 2024,” Denys Shmyhal stated.
According to the Minister, STATCOM is an advanced grid stabilisation technology that will:
- maintain stable voltage even during sharp fluctuations in electricity consumption or generation;
- prevent emergencies and cascading outages, particularly following damage to energy infrastructure;
- strengthen the resilience of the power system during peak demand and after missile attacks;
- facilitate the integration of larger volumes of renewable energy;
- reduce electricity transmission losses;
- expand opportunities for cross-border electricity trade.
Such systems are already among the key components of modern electricity grids across the European Union and the United States. Their deployment is also one of Ukraine's commitments under its integration into the European energy market and further synchronisation with ENTSO-E.
“I am grateful to the European Bank for Reconstruction and Development (EBRD), the International Development Association (IDA) and all our partners for supporting the modernisation of Ukraine's energy system. This is an investment not only in recovery from Russian attacks, but also in building a modern energy infrastructure integrated with the European power system and capable of ensuring reliable electricity supply for the people of Ukraine,” the Minister stressed.
