The Climate Investment Funds (CIF) have approved Ukraine’s $116.2 million investment plan under the Renewable Energy Integration (REI) program. The funds will be directed toward the development of renewable energy, electricity storage systems, and cross-border energy interconnections.
kraine’s Minister of Energy Denys Shmyhal announced the approval of the investment plan on October 6.
The program includes two components — public and private. Ukraine developed the public investment package jointly with the World Bank and Ukrenergo. Its total volume is estimated at approximately $200 million.
One of the key projects will be the construction of the 400 kV Chernivtsi–Suceava cross-border interconnector. The new line is expected to increase electricity transfer capacity between Ukraine and the European power system by 880 MW toward Ukraine and by 445 MW toward the EU.
The plan also provides for the modernization and enhanced protection of five high-voltage substations, as well as upgrades to Ukrenergo’s IT, telecommunications, and operational infrastructure.
The private-sector component of the program will be developed with the participation of the International Finance Corporation (IFC) and the European Bank for Reconstruction and Development (EBRD). It envisages support for private investment in energy storage systems, including standalone battery energy storage systems (BESS) with a total capacity of 610 MW.
In addition, the plan includes the development of renewable generation projects combined with energy storage systems and other distributed energy solutions.
The development of renewable energy, storage capacity, and cross-border interconnections is expected to increase the flexibility of Ukraine’s power system, expand opportunities for electricity exchange with European countries, and accelerate Ukraine’s integration into the European energy network.
