Ukraine Energy Storage and Ancillary Services Market Development Support

Project Summary:

Ukraine needs large scale deployment of energy storage to enhance the flexibility of the power system for the synchronization. Such large needs of energy storage in Ukraine will be met by facilitating private investments through policy and regulatory measures, which can facilitate economic growth, job creation, and post-pandemic recovery. On this premise, the grant will support the creation of needed enabling environments to enhance the flexibility of the Ukrainian power grid through energy storage technology investments and market expansion. Additionally, the activity will also support synchronization with the European electricity grid and decarbonization of the sector, while aiming to  contribute to the policy dialogue at the national level to promote sustainable, environmentally sound, and resilient development and decarbonization of the Ukrainian Power grid. This grant will fund the development of one deliverable under the on-going World Bank’s Supporting Energy Transition and European Market Integration in Ukraine project.

List of Activities:

• Activity 1: Assessment of suitable business models to increase private sector participation in energy storage projects. 
• Activity 2: Reviewing international best practices on regulation for energy storage technology as currently Ukrainian legal and regulatory framework does not recognize energy storage. 
• Activity 3: Supporting ongoing activities to improve the performance of the short-term ASM. 
• Activity 4: Development of e-Mobility roadmap as another market option for the energy storage system market.
• Activity 5: Supporting capacity building development on energy storage regulations and business models. Output includes series of training workshops and study trips organized with key stakeholders.

Outcomes:

Output 1

• A technical expert report with practical recommendations on business model assessments for energy storage development in Ukraine

Output 2

• An expert assessment report on international best practices in energy storage regulation, and draft inputs for secondary legislation
• Expert assessment reports on best design/practices in short term ancillary services markets 

Output 3

• Draft inputs to a monitoring methodology for ancillary services provision

Output 4

• Draft inputs to an e-Mobility roadmap

Output 5

• Series of training workshops and study trips organized with key stakeholders

Outcomes

• Informing the Ministry of Energy of Ukraine (MoE) with an optimal business model for energy storage system
• Having the Ukrainian Grid Code and the Market Rule amended where both recognize energy storage
• Successfully adapting an improved ancillary services monitoring methodology
• The implementation of an eMobility roadmap in Ukraine
• Training key staff in MoE and UkrEnergo (UE) on policy and regulatory measures so that best possible practices will be implemented

Collaboration with K-Partners and Others:

(Tentative) 

• Korea Electric Power Corporation
• National Energy and Utilities Regulatory Commission
• USAID
• UkrHydroenergo