Explosive investigation claims electricity pricing corruption is crippling Ukraine’s economy, destroying industry, jobs, and energy security, while wartime tariff hikes enrich intermediaries and undermine recovery.
By AnatoliyAmelin.
Sorry, but this is just bullshit and sabotage against Ukraine’s economy!
I got hold of the Ukrainian Parliamentary TIC report on the audit of pricing in the electricity sector,
The highly publicized NABU operation “Midas” and the report of the Verkhovna Rada’s Temporary Investigative Commission exposed the real situation:
– Ukraine’s energy system is working not to develop the economy, but to destroy it (!)The TIC report (12 votes “for”, 0 “against”) documents: electricity prices for the population have increased 2.8 times in two years – from 1.56 UAH/kWh to 4.32 UAH/kWh- WITHOUT ANY PROPER ECONOMIC JUSTIFICATION (!!!)
This has already led to structural problems in the economy:
– closure of enterprises,
– loss of competitiveness,
– mass layoffs and
– loss of future prospects for millions of Ukrainians.
They told us: tariffs must be increased, because we must restore what has been destroyed by the war.
In the end, without public calculations or explanations, we got new tariffs that made the economy uncompetitive.The industrial tariff in Ukraine is €153/MWh, while the EU average is €82/MWh and a target of €50-65/MWh (!)
But instead of investing in recovery, they just stole the money.NABU’s Operation Midas – systematic “kickbacks” of 10-15% from Energoatom contracts, control over personnel and tenders, pumping funds to Russia.A thousand hours of audio recordings, over 70 searches, four ministers recorded on wiretaps.
Another problem that is crippling the economy is populist subsidization of electricity for EVERYONE, not only those who really need it.
The PSO (public service obligations) mechanism has withdrawn UAH 408+ billion (~$10 billion) from Energoatom in 2021-2025.
Moreover, over UAH 20 billion is annually “redistributed” to private entities through manipulations with the NEURC formula.
The money is not spent on building new capacities, but on enriching intermediaries (!)
And again the economy suffers.
Let’s examine the facts revealed by the investigation
Conclusions of the Verkhovna Rada’s Temporary Investigative Commission:
“There are grounds to believe that after corporatization, the governing bodies of NPC Ukrenergo exercised management in a manner that has SIGNS OF ABUSE OF POWER, EXCESSIVE USE OF POWER, LEADING TO DEFAULT, as well as SIGNS OF TREASON in the form of weakening Ukraine’s energy security in wartime” (!!!)
Documented losses for Ukrenergo:
– over 1.15 billion UAH – overpriced purchases through intermediaries,- illegal transfers, lost lawsuits against DTEK for 885 million UAH.Result: technical default of Ukrenergo on November 9, 2024 on “green” bonds worth $825 million. Losses for 2024 – UAH 37.7 billion (compared to a profit of UAH 0.4 billion a year earlier).
…
About the NABU operation “Midas”
Persons involved:
– businessman Timur Mindich (“Carlson”),
– former Minister of Energy German Galushchenko (“Professor”),
– member of the National Energy Regulatory Commission Serhiy Pushkar (fled Ukraine on the night of November 11, 2025).
The audio recording captured the phrase: “two went to Moscow”.The searches uncovered souvenirs with the logo of Putin’s FSO.
…
Consequences for businesses and people
Shutdown businesses:
– Inhulets Mining and Processing Plant (Metinvest) – COMPLETELY SHUT DOWN since July 2024. 7,000 employees. Reason: “high electricity costs make production unprofitable.” Capacity – up to 14 million tons of iron ore concentrate per year.
– Pokrovsk Coal Group (Metinvest) – SUSPENDED in January 2025
– Kryvyi Rih Iron Ore Plant – operates at 10-20% of pre-war volumes
Mass layoffs:
– Metinvest reduced its workforce by 2.3 times – from 113,000 to ~50,000 employees (!). This is 63,000 lost jobs – the largest reduction in the company’s history.
– ArcelorMittal Kryvyi Rih – losses of UAH 8.85 billion in 2024. Company CEO Mauro Longobardo: “Electricity costs in 2024 accounted for 70% of total expenses. Tariffs are killing us.”
…
Losses for the budget:
– Inhulets Mining and Processing Plant paid UAH 1.1 billion in taxes in the first half of 2024 (while it was operating).
In the first nine months of 2025 (downtime) – only UAH 181 million.
The difference is money that the budget has lost forever.
…
We are told: “Low tariffs for industry are impossible.’ This is a lie.
– In June 2025, the EU decided to reduce prices for industry to €50/MWh.
– Germany has allocated €6.5 billion for 2026 to achieve €50-60/MWh. Oleh Krykavskyi (ArcelorMittal): “€80 per MWh is considered a HIGH price in Germany.”
– Finland: €80/MWh, Sweden: €96/MWh (Eurostat, H1 2025)
– Average EU wholesale price in 2024: €82/MWh (Eurelectric)
We know that Ukraine has the cheapest nuclear power generation in Europe (cost price ~€15-20/MWh).
Nuclear energy accounts for 65% of the balance.
And we can also have a tariff of €50-65/MWh. If we answer the question of where the money goes, it will actually be part of the state’s economic policy.
…
But first, let’s calculate how much Ukraine has already lost from these schemes and unfair electricity tariffs:
– $14.6 billion – direct losses to the energy sector from the war as of November 2024 (KSE Institute)
– $10 billion (UAH 408 billion) – withdrawn from Energoatom through the PSO mechanism during 2021-2025
– UAH 37.7 billion – losses of Ukrenergo for 2024
– UAH 8.85 billion – losses incurred by ArcelorMittal Kryvyi Rih in 2024
– 63,000 jobs – cut at Metinvest alone
– 7,000 employees of Inhulets Mining and Processing Plant – forced into involuntary leave
What else will we lose if we don’t fix pricing?
– At least $80-150 billion in lost GDP by 2035
– 300-450 thousand jobs lost in industry and related sectors
– budget losses of UAH 50-200 billion per year
– deindustrialisation of the country and dependence on electricity imports.
Tell me, why is no one asking officials about the calculations of the consequences of their decisions and the real justification for them?
Why do we all agree with everything we are told like a herd of sheep, without questioning or checking?
Mindichgate clearly showed that Russian interests are being pursued in the process.
One of the main interests is the destruction of Ukraine’s economic potential, and they are doing a perfect job of this with the help of Ukrainian corrupt officials.
It is important to honestly admit now:
1. The energy regulation system works against the economy, not for it. The Temporary Investigation Commission directly points to ‘signs of treason.’
2. Unjustified tariff increases + theft through corruption schemes = destruction of industry.
3. Subsidising EVERYONE instead of providing targeted assistance to the vulnerable households means a loss of UAH 80-100 billion per year, which could have been spent on new capacities.
4. The target tariff of €50-65/MWh is a European benchmark that is achievable for Ukraine with its cheap nuclear power generation.
5. Every year of delay means the closure of new enterprises, the layoff of thousands of people, and the loss of billions for the budget.
What we need to do immediately:
1. Real sentences based on the results of the Midas investigation. Not movies — sentences.
2. A full audit of Ukrenergo, Energoatom and Naftogaz for 2018-2025 (recommendation of the Temporary Investigation Commission).
3. A law on CfDs (contracts for difference) – a mechanism that has reduced prices by 70% in the UK.
4. Target industrial tariff of €50-65/MWh as a strategic goal for 2030.
5. Targeted subsidies for 30-40% of vulnerable households instead of subsidising everyone.
6. Independence of the NEURC from political influence and corruption.
…
And while we are blinking, we have:
– 63,000 laid-off workers in industry.
-7,000 employees of Inhulets Mining and Processing Plant on furlough.
– Millions of Ukrainians without electricity.
If regulations are not revised immediately, in 2026:
– a dozen more enterprises will close
– and tens of thousands more Ukrainians will lose their jobs,
– Ukraine will become even more deindustrialised,
– the budget will lose revenues, and
– those who like to rob people blind will again raise taxes to fill the budget, making a further shot to the head of Ukraine’s economy.
Read, draw conclusions, and share information!
Tags: economy electricity mindich case nabu
