War and Energy: Weekly Review of Developments in Ukraine
The strike on Odesa region left at least 350,000 customers without power, and the state responded with a National Security and Defence Council decision on winter preparation and new social and international financing steps.
Key developments of the week
- On the night of 2 September, Russia launched a massive missile and drone attack on energy infrastructure in Odesa and the surrounding region. Key transmission facilities were seriously damaged, at least 350,000 customers lost power, and disruptions were recorded in critical infrastructure and electric transport.
- With IAEA mediation, repairs began on the 330 kV Feroslavna-1 line to restore external power to the Zaporizhzhia NPP. The plant has been running on emergency diesel generators for more than two weeks, and its fuel stocks are shrinking.
- A National Security and Defence Council decision, put into effect by presidential decree on 31 August, calls for a 20% increase in backup power, fuel reserves for at least two weeks, stronger engineering protection, and the creation of repair reserves. The aim is to prepare energy and utility infrastructure for winter 2026/2027.
- Norway seized the Russian vessel Professor Molchanov to enforce an arbitration award in favour of Naftogaz for compensation for assets expropriated in Crimea. The outstanding principal under the award is about USD 4.22 billion.
- Under the Comprehensive Resilience Plans, 642.4 MW of distributed gas generation has been connected to the grid, of which 491 MW has been commissioned. The government plan calls for 800 MW to be in operation by the end of 2026.
- Germany is providing an additional EUR 250 million to the Ukraine Energy Support Fund, raising its total contribution to EUR 807 million. The Fund's additional funding need stands at EUR 311.5 million.
- The EU provided EUR 30 million in grants, which will complement EUR 200 million of EIB financing for modernising municipal heat supply, developing decentralised generation and improving energy efficiency, primarily in frontline communities.
- The government earmarked over UAH 2.24 billion for a one-off "Winter Support" payment of UAH 19,400 for vulnerable households in combat zones during the 2026/2027 heating season.