Why gas prices in Ukraine reached a record level
Prices for natural gas in the Ukrainian market on May 26, 2025 reached 23 000 UAH/thousand. cube m (VAT).
About it writes Profile edition Expro.
Thus, gas prices in Ukraine have increased to the highest level in more than two years, since February 2023
Thus, according to Expro, gas in Ukraine on Monday, May 26, traded at prices 22 800 – 23 200 UAH/thousand. cube M (VAT) depending on the resource.
When recalculating the cost of gas is 19 000 – 19 333 UAH/thousand. cube m (without VAT) or $ 458-466/thousand. cube M or € 38,15-38.83/mwh.
The growth of prices in the domestic market is related to market mechanisms, especially the balance of supply and demand. In May, the market has a significant advantage of demand over demand that pushes prices for growth.
Since the beginning of April, the Cabinet ordered Ukrnafta to sell gas production for Naftogaz on the terms of PSO (imposing special responsibilities on energy suppliers). In addition, Ukrnaftoburning, which is in the management of Ukrnafta, also stopped sales of gas in the free market, which significantly reduced the volume of supply.
On the other hand, gas demand is increasing. End consumers buy more gas, creating additional reserves for the following months.
The market also remains additional demand from state -owned companies, especially Naftogaz Trading and GTS Operator of Ukraine. Increased demand for the background of reduced supply contributes to the increase in gas prices in Ukraine.
Natural gas prices in the Ukrainian market exceed European prices, and the difference between prices in recent days reaches € 2/MWH. The existing spread is not enough to fully restore the commercial import of natural gas to Ukraine, as it does not cover the entire margin.
« If the difference between Ukrainian and European prices for natural gas will continue to increase, there is a high probability of restoration of gas imports to Ukraine by private companies, » the newspaper wrote.
Read also: Why is imported and who is to blame
« National scale challenge »: Ukraine lacks money to buy gas. Where to get them?
Recall:
Natural gas reserves in Ukrainian underground gas storage facilities on May 11 made 6.02 billion cubic meters of PSG are filled by 19.4%. Compared to last year, repositories are stored by 31.7% or 2.79 billion cubic meters of less gas. This year’s storage reserves are the lowest on May 11 at least in the last 11 years.
“Ukrgasvydobuvannia” lost 50% of gas production due to Russian attacks in February, more than half of the losses were restored.
Due to Russian attacks on gas infrastructure and, as a consequence, reduction of production, Ukraine will increase significantly Gas import in 2025.
