Ukrainian clients of Naftogaz (and such are the vast majority in the country – 98% of the total number of subscribers) from September 1 will pay for gas at the current tariff – 7.96 UAH/cubic meter. This was reported by Naftogaz, according to the PromPolitInform portal.
It is important that no tariff increase should be expected in the near future. This price will be valid at least until April 30, 2027. Naftogaz noted that the “Fixed” tariff plan has been extended until this period.
“Tariff plan “Fixed”. Price per cubic meter: UAH 7.96. Validity period: until April 30, 2027,” the message says.
In our opinion, readers of the PromPolitInform portal will be interested to know how the price of gas changed during the independence of Ukraine. Let’s follow the evolution of gas tariffs.
In the first years of independence, prices changed almost every month due to the depreciation of money. Thus, the cost of gas in coupon-karbovanets, before the monetary reform, increased from 21 kopecks in early 1991 to 380,000 coupon-karbovanets per cubic meter in 1996. The state fully subsidized the industry, and consumers often paid at fixed rates per person, since meters were a rarity at that time. At the same time, the average monthly wage in Ukraine increased from 1.52 thousand. ruble to 3.208 million cu. ruble.
After the introduction of the hryvnia, the cost of gas was relatively stable: in 1996-1999 it was 11.5 kopecks per cubic meter, in 2000-2005 – 17.5 kopecks. The average monthly salary during this time increased sixfold – from 103.28 hryvnias to 640.86 hryvnias.
In 2006-2007, the cost of gas for the population increased almost twice – to 31.5 kopecks. The next two years it was at the level of 48.4 kopecks per cubic meter, in 2010-2013 – 72.5 kopecks per cubic meter. The average monthly salary at that time was no more than 3 thousand hryvnias.
It took only three years for the gas tariff to cross the 1 hryvnia mark (for salaries of almost 3.2 thousand UAH), after which the rate of tariff growth significantly exceeded the rate of wage growth. As of April 2017, according to the State Statistics Service, the average wage in Ukraine was almost 6.66 thousand UAH, and the average cost of a cubic meter of gas for the population was 6.88 UAH.
It should be noted that the differentiated method of paying for electricity for the population established since February 2011 (up to 150 kW * h per month – 0.2436 UAH per kW * h; from 150 kW * h per month – 0.3168 UAH per kW * h) has led to the fact that since 2000, the cost of heating with a gas boiler has increased:
For the owner of an apartment – 4 times;
For the owner of a small house with an area of about 200 sq.m. – 6 times;
For the owner of a larger house, with an area of about 400 sq. m. – 12 times;
For the owner of a large cottage, with an area of about 500-700 sq. m. – 15 times.
At the same time, the price of electricity for all these consumers increased only 2 times.
Further. The requirements of international creditors (in particular, the IMF) and the budget deficit forced the government to begin aligning domestic tariffs with market indicators (2014-2019).
After 2014, the price of gas in Ukraine began to grow rapidly. At the beginning of 2014, a cubic meter cost 1.09 hryvnia with a salary of 3 thousand 167 hryvnia. In 2015, there was an unprecedented one-time increase in the price of gas – the base price soared to 7.19 UAH per cubic meter (the average monthly salary was 3,455 UAH). The so-called “winter preferential tariff” was introduced (3.60 UAH per cubic meter for the first 200 cubic meters for heating), which was later canceled.
In 2016-2017, gas for the population cost 6.88 UAH, in 2018 – slightly higher.
- The historical maximum of the regulated price under the PSO (imposition of special duties) was recorded – 8.55 UAH per cubic meter with an average salary of 9,223 UAH. Then it decreased to 5.87 UAH, in May – to 2.78 UAH, this is one of the lowest prices.
Since January 2020, the payment for gas has been officially divided into two parts. Separate payments have been made for the gas itself as a commodity (to the supplier) and separately for its distribution/transportation (to the local regional gas company).
August 2020. An open gas market for the population has been launched in Ukraine. Consumers have the right to freely choose their supplier, and prices have begun to fluctuate monthly depending on the situation in European hubs. During this period, the price of fuel has fluctuated from UAH 2.78 (in the summer of 2020) to UAH 6.99–9.00 per cubic meter (in early 2021).
Moratorium and fixed annual tariffs
To protect the population from the global energy crisis, and later from the consequences of a full-scale war, the state has introduced mandatory annual fixed tariff plans and imposed a moratorium on price increases for the population.
2021 – September 2026. Over 98% of Ukrainians automatically became customers of the gas supply company Naftogaz of Ukraine. They are subject to a fixed tariff of UAH 7.96 per cubic meter (including VAT). It may vary from 7.96 to 9.99 UAH from some other small suppliers. The validity of this tariff plan is fixed at least until April 30, 2027.
How much did a cubic meter of gas cost in Kyiv
In 1996-1999, a cubic meter of gas in Kyiv cost 0.11 UAH, in 2000-2005 – 0.17 UAH. Then, for two years in a row, gas was 0.31 UAH per cubic meter, and for another two years – 0.48 UAH.
In 2010-2013, gas in Kyiv cost 0.72 UAH per cubic meter. In 2014, the price of gas increased to 1.09 UAH per cubic meter, in 2015 – to 7.19 UAH.
In 2016-2018, the cost of gas stabilized slightly: in Kyiv, 6.88-6.96 UAH were paid for one cubic meter. The highest price for gas for the population was at the beginning of 2019 – 8.55 UAH.
Key indicators and price trends in 2022 for industry
In 2022, natural gas tariffs for enterprises (non-household consumers) in Ukraine differed significantly depending on the supplier, region, payment terms (prepayment or on delivery) and month of supply. Due to market fluctuations and a full-scale war, prices fluctuated mainly in the range of 25 to 45 UAH per 1 cubic meter (including VAT).
The main reason for the sharp jump in prices in 2022 was the full-scale Russian invasion, the destruction of the supply infrastructure, the shortage of petroleum products in the spring and the subsequent reorientation of the market to European countries.
Today, the largest supplier of natural gas to household consumers is LLC “GC “Naftogaz of Ukraine”.
We emphasize that More than 98% of Ukrainians automatically became customers of the gas supply company “Naftogaz of Ukraine”. For them, an unchanged tariff is valid – 7.96 UAH per cubic meter (including VAT). The validity of this tariff plan is fixed at least until April 30, 2027.
We will monitor what will happen to gas tariffs in the future.