Canada boosts investments in Ukraine's Energy Sector

The two governments announced on Wednesday that Canada would increase its support for Ukraine's energy industry, working with the industry to provide?oil and gas equipment at favorable terms, as well as boost investments in renewable energy.

As part of the full-scale invasion that began in February 2020, Russia has attacked power stations, gas installations, and electricity transmission lines. Three people were killed and tens thousands left without heat and electricity by Russian strikes on Ukrainian power infrastructure this week.

At a meeting held in Paris on Wednesday, Ukraine and Canada reached an agreement on a strategic partnership in the energy sector. The Canadian government announced that it would work closely with industry to provide oil and gas equipment at concessionary terms to Ukraine, and promote investments to ensure Ukraine's energy safety.

According to the agreement, Canada will also alert its domestic industries to opportunities to invest in Ukrainian renewable energy projects and the reconstruction of hydropower stations.

This is not just reconstruction. "It is modernization under stress," Canadian Energy Minister Tim Hodgson said to reporters.

RISK ANALYSIS TO CONTROL HYBRID THREATS

Both sides will conduct risk assessments and exercises in order to combat hybrid threats against energy infrastructure. They will also strengthen commercial relations regarding nuclear fuel supply.

The agreement, which includes the sharing of technical advice for developing infrastructure to supply non-Russian natural gas to Ukraine, is not legally binding.

Ukraine is emerging from the coldest winter it has experienced since Russia invaded in 2022. Russia's airstrikes have led to days of outages in electricity, water and heating, as temperatures dropped as low as minus 20 degrees Celsius.

The energy crisis forced the central bank of Ukraine to lower its growth forecasts from 2% to just 1.8% last month. Last week, the energy minister of Ukraine said that demand for electricity was a third greater than supply capacity. Reporting by America Hernandez; editing by Bernadettebaum Baum.

(source: Reuters)