September 25, 2014

24.09.2014 Ukraine: Daily Highlights - Ukrainian energy system became deficient after loss of coal mines in the east

 Энергосистема Украины после потери угольных шахт востока стала дефицитной

24.09.2014 Daily Highlights from “Digests & Analytics Ukraine” News Agency


Shaky truce in Donbass is being constantly breached by militants. Ukrainian energy system became deficient after loss of coal mines of the east. The World community intensifies pressure on Russia aimed to resolve Russian hybrid aggression in Ukraine in non-military way.

Ukraine

  • President Poroshenko activated by a decree the NSDC decision from 24th of August, which introduces «special» (martial law) mode of functioning of the country and re-assessment of non-alliance status. Part of the document has been classified as top secret.
  • President Poroshenko met with G7 member states ambassadors and presented information about measures undertaken by Ukraine on international arena to reinforce the peace process.
  • Prime Minister Yatsenyuk stressed that Ukraine will not announce a default, as resources necessary to meet financial liabilities are available, including those provided in exchange for the Russian credit. Credit program agreed with the IMF could be revised in several aspects.
  • President Poroshenko signed a bill providing tax exemptions for volunteer organizations, which support Ukrainian army. Via a separate bill by Poroshenko, current military commissars have been asked to move to the combat operations zone. They will be replaced by wounded participants of antiterrorist operation fit for military service.
  • Decisive intervention of the National Bank on the currency exchange market led to sharp appreciation of Ukrainian hryvnya vs major currencies: 12.94 UAH/USD (+58 cop), 16.96 UAH/EUR (+68 cop), 3.35 UAH/10 RUB (+15 cop).
  • Donbass Reconstruction Agency will be led by former member of Party of Regions Nikolayenko, who has persecuted maidaners of Kirovograd and had been engaged in corruption schemes of the Yanukovych “family”.

Kyiv

  • Schedule of power cuts have been agreed on for enterprises non-vital for the city life sustenance. Kyivenergo claims that power cuts will not last more than two hours per day.

War in Ukraine

  • Shelling and militant attacks have been ongoing on Donetsk Internatioal Airport, Ukrainian army strongholds near Schastye in Luhans’k oblast, as well as in several towns in Donetsk region. Terrorists are increasingly breaching the ceasefire.
  • Situation in Donetsk, which is being continuously shelled by militants, is quite tense.
  • Construction of fortifications have been practically finished around Mariupol, as well as in Kherson region on the administrative border with Crimea.
  • OSCE observers have found three spontaneous burial places in Donbass without any data on the deceased.
  • Crimean occupation authorities intensified pressure on Crimean tatars. «ATR» TV channel have been accused of extremism. Medzhlis and other organizations of Crimean tatars have been forced to leave their building in Simferopol. During UN conference on aboriginal nations in New York, Medzhlis leader Chubarov called Russia an aggressor country, as well as stressed Crimean tatars persecutions by the occupation authorities on the ground of their nationality.

International

  • Prime Minister Yatsenyuk said in New York that natural gas contract with Gazprom could be based only on market principles. Ukraine and the European Commission are unified in their positions on this matter. Ukrainian and European dependence on Russian natural gas supplies is being used as an effective weapon.
  • The US President Obama stressed during his speech at the UN Assembly General that Russian Federation, which militarily invaded Ukraine, has breached Global security system and will pay for that. Republican senators forwarded a letter to the Ministry of Finances of the US, urging to cut Russian banks under sanctions from the international SWIFT transfer system. This could become a serious lever to influence Russia proven to be effective in cases of Iran and Iraq.
  • New Secretary General of NATO Stoltenberg, who is starting in the role from the 1st of October, declared that the key mission will be to resolve the situation in Ukraine, being a priority partner of the Alliance. Return to the previous status of relationships with Russia is not being considered because Russia has used force to change established and recognized borders of a sovereign state.
  • As informed by the layers, Ukrainian pilot Nadiya Savchenko, previously kidnapped by militants in Luhansk region and illegally transferred and detained in Russia, has been convoyed to a Moscow detention center for psychiatric evaluation.
  • The report, published recently by the World Bank, foresees long term decline and recession of Russian economy should geopolitical tensions continue.

Trends


  • Loss of coal mines in eastern Ukraine sharply worsened energy balance in the country and led to partial power cuts for end customers. This could potentially stimulate authorities to accelerate energy efficiency programs.

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