Ukrainian state-owned oil and gas company Ukrnafta will receive nearly UAH 939 million in financing from the Finnish-Ukrainian Investment Fund to implement four distributed gas-fired power generation projects in western Ukraine. The announcement was made by Ukraine’s First Deputy Prime Minister and Minister of Energy, Denys Shmyhal.
The projects involve the installation of gas reciprocating engine power plants with a combined capacity of approximately 60 MW in the Ivano-Frankivsk and Lviv regions. The funding will enable Ukrnafta to purchase power generation equipment and carry out installation, testing, commissioning, and start-up operations.
The financing will be provided through loan funds raised for Ukraine’s state budget under a framework agreement between the governments of Ukraine and Finland, signed in November 2024. The agreement provides support for projects aimed at Ukraine’s recovery and the strengthening of its infrastructure.
The funding will help expand distributed power generation capacity and strengthen the resilience of Ukraine’s electricity system amid ongoing risks to the country’s energy infrastructure. The projects will be implemented in two western regions of Ukraine.
