Interconnectors and cross-border trade with the EU: analysis of the energy sector situation in Ukraine

The russian full-scale invasion to Ukraine has an impact on the Ukrainian energy sector. In recent years, the sector has begun to move towards greater integration with the European Union, taking steps to transition to renewable energy sources. The current situation is difficult — not only slows down the country’s energy transition, but also undermines past achievements.

One of the ways to correct this imbalance is to maximize the potential of the relationship between Ukraine and the EU.

The benefits of increased cross-border electricity trading between the EU and Ukraine will be mutual. Restoring operation of the defunct Polish-Ukrainian interconnector would also provide additional flexibility to the Polish power system, help lower the carbon intensity of power supply, and reduce wholesale power prices at a time when they are at record levels, driven by the high cost of fossil generation.

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