BELARUS NEWS AND ANALYSIS

DATE:

08/04/2008

Belarus Backtracks on Bid to Buy Ukrainian Power

The government of Belarus has announced that it is not going to buy Ukrainian electricity because of its high price. The country is going to supplement its own electricity production only with Russian imports.

The news comes after earlier announcements that Belarus was going to buy Ukrainian power in 2008. The prospects of Belarus buying large amounts of electric power from Russia are unrealistic as Russia itself suffers from electricity shortages and rolling blackouts are commonplace in Western Russia. We believe that Belarus could still come round to buying Ukrainian power this year but as things stand now the news is negative for Ukrainian electricity producers including the listed thermal GenCos.

Analyst: Bogdan Kochubey

Source:

http://www.mcapital.com.ua/news.php?id=558556

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