Premium Essay

Energy of Ukraine: Call to Investors

In: Business and Management

Submitted By veres
Words 327
Pages 2
Energy of
Ukraine
Challenges &
Opportunities

Ukraine has excellent natural reserves
Natural Gas Reserves
R: 1 Tcm, P: 20 bcm
Uranium Reserves
>100 years,
P: 3000 kton

Oil Reserves
R: 900 Mton, P: 3 Mton

Hard Coal Reserves
R: 56 Bton, P: 28 Mton

Challenges






War at East & Debt build-up (~1 bUSD)
Loss of anthracite coal and thermal generation
Dependence on Russia in gas supply
Oil prices drop and pressure on margin in E&D
State budget austerity and crises in national bank system • Cross-subsidies and disproportion in tariffs on gas and electricity • Manual mode of management in state enterprises

Opportunities





Diversification of supply: gas, coal, nuclear fuel
De-monopolization: all sectors but nuclear
Privatization: coal mines, thermal generation
Cut energy consumption: metering, house isolation,
ESCO market
• Closeness of EU markets: integration and synchronization with bigger energy markets

Mid-term Strategy
• Efficient use of energy





Mandatory metering of all utilities
Market-based tariffs
Preferential loans for house insulation
Incentives to flatten intraday electricity consumption

• Increase of domestic production







Implementation of 3rd Energy Package
Revision of tax regime
Free access to geo-data
Auction of licenses
Gasification of coal
Developing own production of nuclear power cells

• Diversification of supplies





Gas reverse & Hub
Strategic cooperation with Westinghouse on fuel cells
Creating National Reserve of Fuel
Synchronization with ENTSO-E

Undergoing Reforms







Gas market reform
3rd energy package compliant Electricity market reform
New law on the Regulator for energy markets
Market-based pricing
Corporate Governance in state enterprises
Elimination of price cross-subsidies

Where…...

Similar Documents

Free Essay

The Economy of Ukraine and Ukraine in the Global Economy

...The economy of Ukraine and Ukraine in the global economy Petrusha Helena Ukraine’s economy has a great potential to perform successful in the world. It can be characterized by such strong sides: - well educated labour force, - large domestic market, - well developed industrial base, - access to a variety of resources, including some of Europe’s best best agriculture land, significant coal and some oil and gas reserves, - strategic location connecting Europe, Russia and Asian markets. Nevertheless, Ukraine ended up among the least successful transition economies. The reasons for such a poor performance are different, but we should emphasize on the weaknesses deriving from overcentralised command economy during the Soviet period. I’d like to draw your attention to the Ukraine economy past in order to understand its current situation. Large and often inefficient state-owned factories, enterprises and collective farms wasted resources and emphasized quantity over quality. Prices were fixed and consumer goods were often in short supply. Excessive spending on the military hurt the civilian economy. For the last decades Ukraine is moving to market economy, where the forces of supply and demand and private ownership guide the allocation of resources. The transition to market economy is politically and socially difficult because of experience of rising inflation, unemployment and economic uncertainty before the long term benefits of market economy. The next point of......

Words: 658 - Pages: 3

Premium Essay

Mergers and Acquisitions in Ukraine

...CONTENT PREFACE …………………………………………………………………….…..…3 CHAPTER 1 Theoretical basics of mergers and acquisitions processes………..........5 1.1. The economic substance of M&A ………………………………………………5 1.2. Financing M&A…………………………………………………………………9 1.3. Valuation matters……………………………………………………………….11 1.4. M&A failure……………………………………………………………………13 CHAPTER 2 International M&A experience..............................................................16 2.2. The M&A practice in European countries…………………………………….16 2.3. The M&A experience in USA…………………………………………………22 CHAPTER 3 Mergers and acquisitions in Ukraine.....................................................32 3.2. Legislature of Ukraine in the sphere of M&A………………………………...32 3.3. M&A of Ukrainian corporations…………………………………………........33 3.4. M&A of Ukrainian banks……………………………………………………..40 CONCLUSION...........................................................................................................46 REFERENCES...........................….………………………………………………...48 PREFACE   Strategic factor in the success of companies on global markets and increasing international competitiveness is the growth their market value. Current global trends show an increasing relevance of financial management, which deals with the dynamics of cost and capital structure of companies, institutions of financial flows. Achieve business objectives may be able through...

Words: 12388 - Pages: 50

Premium Essay

Bmw Investor Present

...January 2013 INVESTOR PRESENTATION BMW Group Investor Presentation, January 2013 Page 1 NINE MONTH 2012 RESULTS. in euro million Revenues Profit / loss before financial result (EBIT) Automotive1) Motorcycles Financial Services2) Other entities Eliminations Profit before tax Net profit EPS in euro (common / preferred) Operating cash flow (Automotive) Free cash flow (Automotive)3) Net interest-bearing assets (Automotive) Equity (Group) *) Adjusted 1) 9M-2011 January – September 2012 56,312 6,406 5,548 82 1,291 44 January – September 2011* 50,472 6,358 5,935 62 1,506 -115 Change in % 11.6 0.8 -6.5 32.3 -14.3 - -559 6,040 3,915 5.94 /5.95 6,768 3,840 13,025 28,853 -1,030 6,044 4,028 6.12 / 6.13 6,787 4,055 13,016 26,018 45.7 -0.1 -2.8 -2.9 / -2.9 -0.3 -5.3 0.1 10.9 for effect of change in accounting policy for leased products as described in note 3 on pages 36ff. of the quarterly report to September 30, 2012. EBIT includes a positive effect of € 85 million from the adjustment of residual value risk provisions. 2) EBIT includes a positive effect of € 124 million from better than expected off-lease business (9M-2011 one-effects amounted to € 439 million). 3) Free cash flow includes net investments in marketable securities of € 134 million (€ 839 million in 9M-2011). BMW Group Investor Presentation, January 2013 Page 2 GUIDANCE 2012. BMW Group We aim to achieve a higher full-year Group profit before tax than in 2011. Automotive......

Words: 8860 - Pages: 36

Free Essay

Ukraine

...UKRAINE Name Class Affiliation Instructor Date Introduction Ukraine is in Eastern Europe, and borders Russia to the east, Poland, Hungary and Slovakia to the west, Moldova and Romania to the Southwest, and Black and Azov Sea in the south. It covers an area of an approximated 603, 628 km sq, thus making it the second largest European country, after Russia. Ukraine became an independent State in 1991, after the dissolution of the Soviet Union. The Soviet Union had depressed the Ukraine economy, although after its dissolution, the economy of Ukraine has shown a positive trend of increase in the Gross Domestic Product (GDP)[1] .Ukraine is a united state, with 24 states, Crimea, and 2 large cities: Sevastopol and Kiev. Language The official Ukraine language is Ukrainian. This is an East Slavic language, which is a native language among 67.5 % of the population in Ukraine. Russian is used by about 29.5 % of the population in Ukraine. The rest of the people speak other native languages. Ukraine uses the Slavic language, which is written as Cyrillic script. Current Ukraine languages include Ukrainian, Russian, Polish, Romanian, German, Hungarian, Armenian, Crimean, Tatar, Greek, and Georgian. There are other minority languages used in Ukraine. Culture The word Ukraine refers to a borderland, and in the context of this paper, it explains why Ukraine has a diverse culture. The culture of Ukraine has......

Words: 1348 - Pages: 6

Premium Essay

Ukraine on the World Tourist Market

...Paper: “Ukraine on the world tourist market” 4th year student Scientific advisor: “International Economics-KROK Exclusive” PhD., Associate Professor Programme : Titarenko D.Y. Ilarionova N. M. _________ (signature) ______________________ ( resolution “For defence” ) ___________ _________________ ( date ) ( signature) Kiyv-2012 Contents Introduction 3 1.1. Characteristic of tourist activity and its influence on economy of Ukraine 7 1.2. Tourist resources and infrastructure - the main components of development of tourism at Ukraine 16 Section 2. A place of Ukraine in development of the international tourism 20 2.1. Development of the Ukrainian travel business and its role in the international tourism 20 2.2. Modernization of tourist and recreational capacity of regions of......

Words: 12452 - Pages: 50

Free Essay

The Crisis of Crimea and Ukraine

...The Crisis of Crimea and Ukraine Key Lessons for President Obama from Presidents Reagan and Clinton [pic] SOURCE: AP/Greg Gibson President Bill Clinton reads a statement at the conclusion of the NATO 50th anniversary summit, Sunday April 25, 1999, in the Ronald Reagan Building in Washington. By Rudy deLeon and Aarthi Gunasekaran | May 14, 2014 In the past two months, the Crimea and Ukraine crisis has grown. Russia annexed the Crimean Peninsula, the Ukrainian government and pro-Russian militia are engaged in a back and forth standoff in eastern Ukraine, and Russian President Vladimir Putin has threatened that the conflict “essentially puts the nation on the brink of civil war.” The United States has been at the forefront of building international support for Ukraine, and the Obama administration continues to assemble Western support. However, efforts to reach a diplomatic settlement, or at least to reduce immediate tensions, are still in progress. As the Obama administration prepares its next steps in response to Russia in Ukraine, it can examine lessons from two other administrations in times of crisis. First, the Reagan administration’s reaction in 1983 to the Soviet downing of a civilian Korean airliner and its response to the terrorist attack against U.S. Marines on a peacekeeping mission in Lebanon. Second, the Clinton administration’s initiative to proactively expand and deepen partnerships in Europe during the 1990s through its Partnership for......

Words: 3876 - Pages: 16

Free Essay

Ukraine

...Ukraine is a sovereign state; its independence was proclaimed in 1991. Ukraine is situated in the east of Europe. The territory of Ukraine is 603 700 square kilometres. Ukraine borders on Russia, Belarus, Poland, Moldova, Slovakia, Hungary, and Romania. It’s washed by the Black Sea and the Sea of Azov and has very important ports. Ukraine is larger than France and Great Britain but considerably smaller than Russia. 5% of Ukraine’s territory is mountainous; the rest part of the Ukrainian area is flat. Ukraine has the Carpathians and the Crimean Mountains. The Carpathians is the natural mountainous boundary of Ukraine. They are covered with mixed forests of pine, fir, beech and oak trees. There are the thickest forests in Volyn, which are part of the famous Byelovezhskaya Puscha. The Dnieper is the main river of the country; moreover, it’s the third longest river in Europe. Such rivers as the Dniester, the Danube, the Southern Bug and the Seversky Donets are also important. The population of our country is about 46 million people. Besides Ukrainians the representatives of many other nationalities live there: Russians, Jews, Belarusians, Moldavians, Romanians, Greeks, Tatars, Poles, Armenians, Germans, Gypsies and other ethnic minorities. They contributed to Ukraine’s culture and history. The biggest cities of Ukraine are Kyiv, Kharkiv, Lviv, Dnipropetrovsk, Zaporizhzhya, Donetsk, Odessa, Mykolaiv and others. Ukraine is developed industrial and agricultural country.......

Words: 323 - Pages: 2

Free Essay

Ukraine, Belarus and Moldova

...Tadeusz Iwański The countries of Eastern European and China have been increasingly interested in deepening bilateral contacts over the past few years. In the case of Ukraine, Belarus and Moldova this has been caused by the bad economic situation which was in part caused by the consequences of the global economic crisis of 2008 and the desire to establish closer political relations with a country whose significance on the international arena is continually growing. Each of these countries has different expectations regarding the scale and the nature of co-operation with China. Chisinau wishes only to boost trade, whereas in Minsk and Kyiv, Beijing is also presented as a strategic partner whose investments may not only help the indebted economies recover but also strengthen the position of these countries in their dealings with the EU, and especially with Russia. Beijing sees co-operation with these countries in differently, and its offer is much more modest than Belarus and Ukraine are expecting. Eastern Europe is one of the last parts of the world with which China is activating its co-operation. This is not a priority region for Beijing. China wants to derive economic benefits and to diversify the markets on which it invests its financial surplus, and it does not intend to extend its political dialogue with Ukraine, Belarus and Moldova beyond the framework which determines its economic interests. The main reason for this is the nature of relations between Russia and China.......

Words: 4560 - Pages: 19

Free Essay

Technology to Tackle Situation in Ukraine

...internal conflict in Ukraine, my home country, newspaper headlines around the world are dominated with stories on Russian imperial intentions. Despite international political protests, the Russian government’s gas empire is exercising its power not only in Ukraine, but in all of Europe. Even though the risks of energy dependency on Russia are understood in the European Union, the progress in solving this problem is yet very slow. Ukraine, however, has limited time to find a solution to its energy dependency. According to the opinion of Ukraine's leading think-tanks, the answer lies in sustainable energy generation technologies, which in my opinion would make the most positive impact on the well-being of Ukrainians. Currently over 10% of Ukraine's energy is generated by hydraulic power plants, and this number needs to rise significantly. Fossil fuel-based generation, which amounts to 65% of the energy industry, has to be replaced by solar plants and wind power stations. Geothermal systems, first tested and now actively used in the US, Australia and the UK, can be used to provide the eastern regions of Ukraine with flexible energy supply, widely required by the powerhouses in the east of Ukraine; tidal and wave generators may be the future of energy production for the south; and western regions could make use of the new energy storage solutions that would ease the export of sustainably generated energy. Considering the available options, I believe that Ukraine will......

Words: 286 - Pages: 2

Free Essay

Ukraine Crisis

...Governce of Russia Explain Russian’s invasion in Ukraine and Russian’s action in Crimea by individual level of analysis Background Russia’s invasion in Crimea and Russia’s action in Ukraine were the actions in Ukraine crisis. Ukraine crisis began at the end of February 2014. The cause was the president Viktor Yanukovych refused to sign an association agreement with the European Union on 21 November 2013, and what he did arouse a series of complains in the society. Subsequently, he and his government were removed in the February 2014 revolution by an organized political movement, ‘Euromaidan’. However, people did not accepted who began to protest in flavor of close ties with Russia. Demonstrations and protests were held in Crimea aiming to leave Ukraine’s control and access to the Russian Federation, which lead to the crisis. At the last, Crimea broke away from the control of Ukraine and joined the Russian Federation. And the issues would be analyzed by the individual level analysis. Definition of Individual Level of Analysis Individual level of analysis mainly focuses on decisions made by the individual person who is the important role in the issue. It also shows the influence of the development of international politics by their interactions in 4 aspects, they are personality, perceptions, activities and choices. Putin took a very important role in making decision of action and brought big influence in Ukraine and Crimea. Types of Leader Putin is Vladimir......

Words: 1645 - Pages: 7

Free Essay

Ukraine

...the case, Ratio Analyses of Historical and Projected Financial Statements, the sales growth rate and the assets growth rate are not change consistently. As the ratio in Table 1 shows, from 1997 to 2000, when the sales growth rate increased significantly, the assets growth rate declined or maintained stable. Therefore, there is an urgent need to increase the investment to meet their sales growth goal. Table [ 1 ] Asset Utilization | 1997 | 1998 | 1999 | 2000 | 2001 | 2002 |   | Actual | Actual | Actual | Actual | Proj'd | Proj'd | Sales growth rate % | 4.0% | 7.9% | 22.2% | 12.6% | 14.8% | 12.6% | Assets growth rate % | 6.0% | -0.9% | 6.0% | 4.5% | 10.9% | 8.4% | b) Investment environment in Ukraine i) Ukraine has a relatively large population of 52 million and strategic location within Central and Eastern Europe, making it particularly attractive. ii) From 1995, the Ukrainian government supported the privatizations and market reforms, which suggested a valuable chance to expand, since their privatizations and market reforms were still continuing. iii) Since their beer was very popular for its full-bodied, malty taste, the fragmented nature of the Ukrainian beer industry provided opportunities for Deutsche Brauerei to get more sales....

Words: 264 - Pages: 2

Premium Essay

The Intelligent Investor

... THE INTELLIGENT INVESTOR A BOOK OF PRACTICAL COUNSEL REVISED EDITION B E NJAM I N G RAHAM Updated with New Commentary by Jason Zweig To E.M.G. Through chances various, through all vicissitudes, we make our way. . . . Aeneid Contents Epigraph iii Preface to the Fourth Edition, by Warren E. Buffett viii A Note About Benjamin Graham, by Jason Zweig x Introduction: What This Book Expects to Accomplish COMMENTARY ON THE INTRODUCTION 1. 1 12 35 The Investor and Inflation 47 COMMENTARY ON CHAPTER 2 3. 18 COMMENTARY ON CHAPTER 1 2. Investment versus Speculation: Results to Be Expected by the Intelligent Investor 58 65 COMMENTARY ON CHAPTER 3 4. A Century of Stock-Market History: The Level of Stock Prices in Early 1972 80 General Portfolio Policy: The Defensive Investor 88 COMMENTARY ON CHAPTER 4 5. 101 124 Portfolio Policy for the Enterprising Investor: Negative Approach 133 COMMENTARY ON CHAPTER 6 7. 112 COMMENTARY ON CHAPTER 5 6. The Defensive Investor and Common Stocks 145 iv 155 COMMENTARY ON CHAPTER 7 8. Portfolio Policy for the Enterprising Investor: The Positive Side 179 The Investor and Market Fluctuations 188 v Contents COMMENTARY ON CHAPTER 8 9. Investing in Investment Funds COMMENTARY ON CHAPTER 9 213 226 242 10. The Investor and His Advisers 257 COMMENTARY ON CHAPTER 10 272 11....

Words: 224262 - Pages: 898

Free Essay

Ukraine Description

...Ukraine as we see it Olga Avramenko University of Tartu Introduction to Studies Lecturer: Anne Aidla Table of content Introduction 3 Geography 4 History 6 Government and political condition 7 Economic factors 9 Conclusions 9 References 11 Appendix 12 Introduction Ukraine — what comes to mind when you hear this name? Maybe the Klitschko Brothers, Andriy Shevchenko, Nikolai Gogol, and maybe Kyiv, the Dnipro, the Carpathian Mountains. But this is just a small part of the brilliant talents and unbelievably beautiful places that grace our country. If you are thinking about traveling - you will find Ukraine as a charming country, with having second biggest territory in Eastern Europe and an amazing variety of natural environment which is truly marvelous! We border with Russia to the east, Belarus to the north, Poland, Slovakia and Hungary to the west, Romania and Moldova to the southwest. In Western Ukraine, you can find the Carpathian Mountains soar, which protect the country from cold winds and makes our summers warm. When travelling around northern Ukraine you will soon be able to feel the warm breath of subtropical Crimea, where in the Crimean Mountains you will feel the aroma of pine, coniferous and cypress forests and enjoy the incredible landscapes which enchant travelers with its primeval beauty. Kyiv, Ukraine’s capital is one of the oldest cities in Europe and even in the world, staying for approximately 2,000 years. In the past Kyivan Rus...

Words: 2232 - Pages: 9

Premium Essay

Scorecard of Ukraine

...Scorecard of Ukraine First of all, we would like to say a few words about Ukraine as a country. Ukraine is located in the southeast part of central Europe. From East to West it covers 1,316 km, and from North to South 893 km. With the area of 607.3 km2 Ukraine is a second largest country in Europe and the forty forth – in the world. The population of Ukraine is 46,143.7 thousand inhabitants. By land Ukraine borders Russia, Belarus, Poland, Slovakia, Hungary, Romania and Moldova, whilst bordering with three more by sea: Bulgaria, Turkey and Georgia . Ukraine is bounded by the Black and the Azov Seas, with 2,782 km of coastline. Map of Ukraine. Source: Graphic Maps (www.worldatlas.com). Ukraine has experienced the significant population decline of 10.5% since announcing its independence – from 51.838 million in 1990 to 46.1 million in 2008. The birth rate has been increasing since 2001 and reached 10.2/1000 in 2007. However, death rate has also increased to 16.4/1000, which accounts for the negative National growth of -6.2/1000. The average life-expectancy at birth is measured to be 68.25 years in 2006 – 2007. The average population density in 2008 is 77 people per sq. km. While preparing the scorecard of Ukraine, our team have chosen the most important indicators, economic ones as well as non economic indicators, which are able to reflect the economic health of the country and to gauge a country’s standart of living in order to show an investment opportunities. First...

Words: 1444 - Pages: 6

Free Essay

Ukraine

...Ukraine is a country in Eastern Europe. Ukraineborders the Russian Federation to the east and northeast, Belarus to the northwest, Poland, Slovakia and Hungary to the west,Romania and Moldova to the southwest, and the Black Sea and Sea of Azov to the south and southeast, respectively. It has an area of 603,628 km², making it the second largest contiguous country on the European continent, after the Russian Federation. According to a popular and well established theory, the medieval state of Kievan Rus was established by the Varangians in the 9th century as the first historically recorded East Slavic state which emerged as a powerful nation in the Middle Ages until it disintegrated in the 12th century. By the middle of the 14th century, Ukrainian territories were under the rule of three external powers—the Golden Horde, the Grand Duchy of Lithuania, and the Kingdom of Poland. After the Great Northern War (1700–1721) Ukraine was divided between a number of regional powers and, by the 19th century, the largest part of Ukraine was integrated into the Russian Empire with the rest under Austro-Hungarian control. A chaotic period of incessant warfare ensued, with several internationally recognized attempts at independence from 1917 to 1921, following World War I and the Russian Civil War. Ukraine emerged from its own civil war, and on December 30, 1922 Ukrainian Soviet Socialist Republic became one of the founding republics of the Soviet Union. The Ukrainian SSR's territory was......

Words: 817 - Pages: 4