Analysis of Transition Process of Ukraine to the Stimulating Tariff System
Journal Title: Journal of European Economy - Year 2017, Vol 16, Issue 1
Abstract
The current situation in the gas market in Ukraine is quite complicated. Problems of adapting the domestic market to European standards cause a number of inconveniences. The biggest problem is the adaptation of the Ukrainian legislation. Approaches to the existing tariff are outdated. Until recently, Ukraine has used a system of "cost-plus". There is a need to move to a tariff known world system "input-output". Is necessary for national regulatory authorities shall adopt measures to ensure that the compensation tariffs were discriminatory and reflect costs. The article briefly describes the main ideas, thoughts and problems associated with the transition to this system. They are the major positions of the current laws of Ukraine and tariff systems and proposals to change current laws, the regulatory formula for calculating the tariffs and the main positions that provides for the formation of tariffs for distribution of natural gas based on years of incentive regulation. Also the result of a pilot project promoting the use of European principles of tariff setting methodology using incentive regulation of gas distribution companies are showed.
Authors and Affiliations
Iryna Hryniuk
Keywords
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- EP ID EP304059
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