Power facilities damaged, Ukraine has great potential for residential solar system

 Ukraine's energy structure is mainly based on thermal power and nuclear power. As of the end of 2022, its thermal power and nuclear power installed capacity combined accounted for 60%, and its power generation combined accounted for 74%. Affected by the Russian-Ukrainian conflict, many power generation facilities in Ukraine were severely damaged. From April to June 2024 alone, Ukraine lost 9GW of power generation capacity, and the people's power supply was seriously short of supply.

In the capital Kiev, most buildings now have power outages for at least 10 hours a day. In order to cope with the power shortage and rebuild the power system, since June, Ukraine's residential electricity prices have risen to 4.32 hryvnias per kilowatt-hour, an increase of 64%.

The demand for home solar energy system has increased dramatically, and the potential is great. Residential solar power system can be assembled and put into use relatively quickly, and the current photovoltaic storage costs have dropped significantly, which may be one of the effective solutions to solve the problem of power supply and high electricity costs for Ukrainian residents.

Imported energy products may usher in tariff reductions. In July 2024, the Ukrainian Committee passed amendments No. 11258 and No. 11259 to the tariff, as well as amendments to exempt Ukraine from tariffs and VAT on energy equipment imported into Ukraine, planning to cancel tariffs and VAT on imported generators, wind and solar power generation (including inverters) and batteries.

With the official implementation of the tariff policy, Ukraine's demand for residential solar energy system products is expected to continue to explode. In addition, the increase in Ukraine's demand will also be of great benefit to the disposal of European  lithium battery for solar storage stocks.