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Assessment of damages and losses to Ukraine’s energy sector due to russia’s full-scale invasion

05 May 2024, Ukraine
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Assessment of damages and losses to Ukraine’s energy sector due to russia’s full-scale invasion
Assessment of damages and losses to Ukraine’s energy sector due to russia’s full-scale invasion
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A report by the Kyiv School of Economics estimates that direct damage to Ukraine’s energy infrastructure exceeded $16 billion as of May 2024, while total sector losses reached more than $40 billion. More than $50 billion will be required to restore and modernise the sector based on the principle of “Build Back Better.”

The report highlights the devastating impact of repeated attacks, with more than 18 GW of generating capacity occupied, destroyed or severely damaged, alongside extensive damage to substations, transmission networks, oil and gas infrastructure, district heating systems, and coal mining operations.

It also notes that all DTEK thermal power plants operating in government-controlled territory have been damaged by russian attacks, underscoring the urgent need for investment in restoration, decentralised generation, energy storage systems and grid resilience.

The report concludes that Ukraine’s energy recovery should focus not only on rebuilding damaged assets, but also on creating a more flexible, decentralised and resilient energy system capable of withstanding future challenges while supporting the country’s long-term economic recovery and integration with European energy markets.

Read the full report