Energy Ministry refutes tariff hike rumors over Khmelnytskyi NPP expansion plans

“Regarding the disinformation once again spread by one MP: Unfortunately, MP Yaroslav Zhelezniak continues to deliberately spread lies about plans to increase Ukraine’s electricity generation. Particularly cynical is that his latest false statements coincided with a Russian missile attack on our energy infrastructure. We are once again forced to refute the disinformation spread by Mr. Zhelezniak,” the ministry said.

The Ministry of Energy outlined its position:

“First, the planned expansion of Ukraine’s nuclear power generation does not require electricity tariff increases for households. On the contrary, the project to expand nuclear reactors at Khmelnytskyi Nuclear Power Plant (NPP) and increase the production of low-cost nuclear energy is specifically aimed at maintaining affordable electricity tariffs for Ukrainians, keeping rates below market levels.

Second, the project’s funding sources will consist exclusively of commercial loans secured for this project and Energoatom’s own resources. No state budget or tariff revenues are envisaged to finance this project—this is completely excluded.

Third, the details of the nuclear expansion project were presented and explained by Energy Minister Herman Halushchenko during a meeting with MPs, which Mr. Zhelezniak ignored.”

“By skipping this meeting, the MP demonstrated that he is not interested in real information. We thank all MPs who attended, asked questions, and engaged in discussions. The Ministry of Energy remains ready to provide all necessary clarifications. Attempts by certain individuals to discredit the Khmelnytskyi NPP expansion project and Ukraine’s nuclear power generation through lies and manipulation openly contradict Ukraine’s national interests,” the ministry emphasized.

On Jan. 10, 2025, a heated debate took place in parliament during a government Q&A session between MP Inna Sovsun, a member of the parliamentary energy committee, and Energy Minister Herman Halushchenko.

The dispute centered on the planned completion of the third and fourth reactors at the Khmelnytskyi NPP. Sovsun argued that public claims about comprehensive support for the project from U.S. partners were false.

On Jan. 15, 2025, MP Yaroslav Zhelezniak alleged on Telegram that funding for the new reactors would require tariff hikes, placing the burden on Ukrainian households.

The Khmelnytskyi NPP, located in western Ukraine near the borders of Khmelnytskyi, Rivne, and Ternopil oblasts, began construction in 1981. It currently operates two VVER-1000 reactors launched in 1987 and 2004, with a total capacity of 2,000 MW.

In 2024, the Cabinet approved the controversial bill for the NPP expansion. However, EU Ambassador to Ukraine Katarína Mathernová stated that the EU would not finance the project, citing a lack of prior consultations. Halushchenko maintained that the third reactor could be completed within three years using credit funds.

MP Sovsun has criticized the proposal as inadequate, noting that the last feasibility study for the project, approved in 2018, estimated costs at 76.8 billion UAH (over $2.8 billion). “Everything has changed in six years, but neither the government nor Energoatom has publicly presented an updated estimate,” she said.

Energy expert Oleksandr Kharchenko described the funds allocated for the Khmelnytskyi NPP expansion as being “wasted with no prospects.” Former Chornobyl chief engineer Mykola Shteinberg dismissed the initiative as “empty talk and self-promotion.” Former energy advisor Lana Zerkal labeled the idea a “fairy tale.”

Efforts to pass the NPP expansion bill have repeatedly stalled in parliament, with the legislation removed from the agenda multiple times. In July 2024, the Verkhovna Rada’s anti-corruption office identified corruption risks in the project.

The controversy persists as the Energy Ministry defends the Khmelnytskyi NPP expansion project, asserting its importance for Ukraine’s energy independence and stability.