Energy generation and distribution of Ukraine (2007)

The electric power industry satisfies the country’s demand for electrical energy and has the capacity to boost its exports. Steam power plants, combined heat and power plants and isolated generating plants contribute 63.9% to the aggregate capacity of energy generating stations, nuclear power plants – 26.2%, hydroelectric stations and hydroelectric pump storage power plants – 9.7%, and alternative energy sources – 0.2%.

The cornerstone of the country’s power industry is the United Electrical Energy System (UES) of Ukraine, UES runs centralized supplies of electrical energy to local consumers and interacts with the energy systems of neighbor countries to ensure the export and import of electrical energy through interstate power mainlines and substations with voltages of 220-750 kV.

Today over 92% of power generating units at thermal power plants have outdated infrastructure and need upgrade or replacement.

Ukraine has a well-developed centralized heat supply system. Heat consumption breaks down as follows: industry – 35.4%, housing and community sector – 43.7%, other economic segments – 20.9%.

Some 250 thermoelectric plants operate in the country. The major fuel for the plants is natural gas (76-80%), but they also use black oil (15-18%), and coal (5-6%).

The country’s heat supply segment has more than 100 ths. boiler houses of various purposes. Natural gas is the main fuel for boiler houses (52-58%), liquid fuel contributes 12-15%, and coal adds 27-36%. A substantial volume of heat is produced by individual (apartment) generators, with boilers and household stoves based on gas, liquid, and solid fuel.

Most steam power plants have outdated equipment which does not correspond to present-day environmental requirements, and calls out for reconstruction, upgrade, or complete replacement.

Satisfying thermal power demand along with simultaneously maintaining secure energy levels, economic efficiency, environmental safety, and comfort requires, wherever possible, the replacement of natural gas with other kinds of primary energy, but first of all, of domestic origin.

The thermal supply system is forecast to develop through 2030 in the following directions:

• higher level of thermal energy production by thermal and nuclear power plants – an increase of 1.7 times, from 56.4 mn Gcal to 93.9 mn Gcal; the simultaneous reduction of the share of natural gas in heat energy production – through the stage-by-stage replacement of gas heating with systems of accumulating electrical heating;
• expanding the application of electrical heat generators, which will enable the efficient use of these capacities beyond the heating season for air conditioning. This will even the seasonal load on the energy system. Heat energy production by electrical heat generators is forecast to grow to 180.0 mn Gcal by 2030;
• increase of heat energy production by apartment generators by 1.4 times to 33.3 mn Gcal;
• expanding heat energy production volume through the intensive application of energy saving technologies and the use of alternative and renewable energy sources; and
• reduction of thermal energy generation primarily of natural gas-fueled boiler systems 1.7 times down (from 148.8 bn Gcal to 85.9 mn Gcal).

Reconstruction of the second energy unit at Tripolye Heat Power Plant is the priority project for development of heat supply system in Ukraine and has been scheduled for 2007-2011. The volume of received loans will come to UAH 624 mn. Technical upgrade of the second energy unit will permit its operations upon coal only with no gas use, whereas power capacity of the unit will grow from 300 MW to 325 MW and service term be extended by 15-20 years. Tripolye heat power plant with 6 coal dust units (each with capacity of 300 MW) is located in Kiev region. The first energy unit at the plant was launched in December 1969, the sixth – in August 1972.

ZakhidEnergo company also foresees a project of electrical plant reconstruction – for the amount of UAH 200 mn. Other very serious and ambitious projects have been announced by UkrEnergo company and involve construction of new power lines, new sub-plants, as well as reconstruction of operating substations. Fulfillment of these projects will ensure stable supplies of electrical energy to Ukrainian consumers and will expand its exports to Belarus, Russia, and Western Europe.

Hydroelectric plants and hydroelectric pumped storage power plants total 5.1 mn kW in capacity. These plants account for less than 10% in Ukraine’s balance of energy system capacity, which fosters a shortage of switching and regulating capacities.

The country’s four nuclear power plants run 15 power units, which have worked an average 54.2% of their service lives.

Taking into account the long investment cycle for the construction of new facilities, continued exploitation of nuclear power units beyond the period spelled out in these projects is of strategic importance.

The main problem for Ukrainian nuclear power plants is the treatment of depleted nuclear fuel (DNF) and radioactive wastes. Only Zaporozhye Nuclear Power Plant has its own storage for depleted nuclear fuel. The storage was engineered for the complete service life of the plant. Other nuclear power plants have not yet solved the problem, and the DNF of the other plants is shipped to enterprises in the Russian Federation for storage and further processing

Activities as to transfer to alternative sources of nuclear fuel procurement for Ukrainian plants began in 2000. In 2005, third power unit of the Yuzhno-Ukrainskaya (Southern Ukrainian) nuclear plant started research and industrial exploitation of the first of six heat-generating systems engineered by Westinghouse.

Ukraine has large reserves of uranium, the main raw stock for nuclear fuel production.

The only uranium producer in Ukraine is a state-owned “Vostochnyi (Eastern) Mining and Concentrating Works” (Zheltye Vody, Dnepropetrovsk region). By 2011, the works intend to boost supplies of Ukrainian nuclear energy plants with uranium concentrate to 71% – as compared to current 32%.

Uranium ore reserves in Ukraine can meet demand in the nuclear power industry with local natural uranium in the long run.

By explored reserves of this energy carrier, Ukraine holds the first place in Europe and the sixth in the world. However, the country extracts only 30% of the volume demanded by domestic nuclear power plants. Currently Ukraine produces 800 tons of uranium each year. Today the country has 12 proved uranium endogenous deposits with gross reserves, which meet demand of Ukraine’s operating nuclear power plants for the next 100 years. The largest ones are located in Kirovograd ore district.

To increase Ukraine’s annual extraction of uranium from current 800 tons to 3 ths. tons by 2014, the country’s uranium extracting industry should draw investments of USD 2-3 bn in the next 5-6 years.

By 2011 Ukraine intends to expand uranium extraction almost twice – from annual 0.8 ths. tons to 1.4 ths. tons.

On December 29, 2006, the government of Ukraine made a decision to create UkrAtomProm (Ukrainian Nuclear Industry) concern for organizing of elements from open production cycle of nuclear fuel in Ukraine.

The development of uranium production to meet Ukraine’s nuclear power industry demand for uranium raw till 2015 requires that annual uranium production be increased more than 3 times, and by 2030 more than 7.5 times. The production of uranium concentrate to fully meet demand in Ukraine’s nuclear power industry by 2030 should be based on the following steps:

• the construction of the Novokonstantinovskaya mine, with the first 100 ths. tons of ore to be produced in 2008; 500 ths. tons by 2012, and the full engineered rate to be reached in 2015 with a further increase of production capacity to 2.5 mn tons of ore per annum;
• from 2006 till 2010, the commissioning of a field underground hole leaching traverse to receive a uranium concentrate at 15% of the volume demanded by Ukraine’s nuclear power industry with lower cost as compared to standard technology; and
• commissioning of new uranium deposits.

Directions for zirconium production development are:

• cooperation in zirconium alloy and rolled production with the Russian Federation to make use of the RF’s technology to consider the demand of the nuclear energy sectors of Ukraine and Russia;
• export of domestic zirconium products to the world market, and foremost for the needs of the nuclear power industry of the USA and the European Union states.

The strategic task here is to create the domestic production of nuclear fuel. For this purpose, cooperation with nuclear fuel producers will expand in the short run through establishing domestic zirconium production – metallic zirconium, zirconium alloy, rolled products, and accessories.

Production facilities for rolled zirconium output should be put on line by 2010.

Because of the bad state of the electrical supply network, its inability to meet current standards and patterns of electricity consumption, as well as the low number of counting devices, the level of technological expenses for transportation and supply of electrical energy is rather high.

To meet consumer demand for a high quality and reliable electricity supply, the following steps should be made:

• in 2011-2020 – to run an annual commissioning of no less than 15 ths. km of such lines (voltage 0.4-150 kV);
• in the following years – to maintain the annual construction of electric power lines according to the demand of a growing electricity load for consumers and to renovate effective power lines to match depreciation rates. Meanwhile, the construction of new electric power lines and transformer substations, as well as the reconstruction of effective stations should be held in the light of the economic needs of rural citizens being transferred from gas consumption to electrical energy.

The construction and modernization of 35-150 kV substations should be directly dependent on the level of further energy supply to industrial, agricultural, and community consumers. The rates of construction should stay ahead of the increase of electricity load.

The development and reconstruction of electric networks in rural areas should be made at the expense of local and state budgets and entrepreneurs.

Technical refit, reconstruction of electrical networks, and their development should be based on Ukrainian legal standards taking into account recommendations of the International Electrotechnical Commission and regional features related to reliability and environmental security. The processes should also consider the real value of land and maximum use of fixed materials and equipment of domestic origin.