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23.05.2025

UWEA at the "Green Energy for Recovery" Conference: 2025 Marks a Breakthrough Year for Wind Power — Despite Tax Barriers

Ukrainian wind cannot be stopped — not by war, nor by risks, nor by regulatory challenges. This was the clear message delivered by the UWEA during its participation in the "Green Energy for Recovery" conference, held on May 22, 2025, in Kyiv, Ukraine. At the invitation of the think tank We Build Ukraine, UWEA Chairman Andriy Konechenkov presented the current status of the wind energy sector, highlighting both reasons for optimism and systemic barriers holding back progress.

This year, we have seven wind farms currently under construction. That’s a strong signal — investors continue to believe in the power of Ukrainian wind, even under extremely challenging conditions,” said Konechenkov.

Since the beginning of the full-scale invasion and until early 2024, Ukraine managed to fully or partially complete four wind power projects. However, only 20 MW of new capacity was commissioned in 2024. The industry remains resilient: “As of today, we have a pipeline of ready-to-build projects totaling 4 GW. That’s a huge reserve for rapid deployment - all we need are favorable conditions to unlock it,” he stressed.

Still, these “favorable conditions” remain a mid- or even long-term prospect due to persistent challenges. Among the main issues are chronic indebtedness, the lack of long-term power purchase agreements, and most significantly — fiscal restrictions on importing wind power equipment.

Just last night, I reviewed correspondence between the Ministry of Energy, Ministry of Finance, and Ministry of Economy regarding the tax exemption for imported wind turbines. Solar, biomass, hydro, and cogeneration equipment are already exempt — wind is still blocked. The argument is budget losses, but in reality, VAT is reimbursed to the importing companies, so there’s no true impact on state revenue,” Konechenkov explained.

According to him, UWEA has been advocating for the removal of this tax barrier for almost a year, so far without success. The only bright spot is the consistent support from the Ministry of Energy, which understands the strategic value of wind power in securing Ukraine’s energy independence.

The “Green Energy for Recovery” conference brought together key market players to discuss both the challenges and the new opportunities in renewable energy. Alongside solar and bioenergy, wind energy was one of the core topics of discussion. Ukraine’s wind sector is ready to scale — it just needs political will, regulatory stability, and fair fiscal treatment.