Ukraine has adopted Law No. 4777-IX encompassing amendments to legislative acts concerning energy markets, the production of electricity and strengthening energy resilience. 

The law, which formally entered into force last week, covers 15 legislative acts in total across the electricity market. Vladyslav Sokolovskyi, Chairman of the Board of the Ukrainian Solar Energy Association (SEAU), told pv magazine that the law is not a “single-package revolution” but rather a set of changes that gradually removes specific barriers in the energy market.

“For investors, the key point is different: the market is gaining more predictability, a longer planning horizon, and a lower entry threshold for new projects,” Sokolovskyi said.

Among the amendements is the extension of Ukraine's renewable energy auction support horizon from 2029 to 2034, with Ukrainian ministers required to set an annual support quota by December 1 each year and publish a four-year indicative forecast.

It also introduces solar-plus-storage systems as a separate auction category for the first time, to be given a minimum quota of 10% of the annual support volume, which is double the 5% each allocated for standalone solar and wind projects. The requirements for storage systems colocated with PV under future auctions specify that the power capacity must be at least 80% of a solar plant’s generation capacity, while storage capacity must be at least 2 kWh per 1 kW of installed PV generation capacity. Additional analysis by SEAU adds that the maximum support price for solar-plus-storage has been set at €0.12 ($0.14)/kWh, described as a “competitive benchmark.” 

Sokolovskyi said priority for solar-plus-storage and the new auction logic mean the market is moving towards projects that are better integrated into the power system. “For investors, this matters because such assets are more likely to offer a more stable revenue model going forward,” he explained.

Administrative requirements regarding storage systems are also changing, with a license now required only if the storage facility exceeds 5 MW at a single site. Operators of storage facilities are also permitted to sell electricity to neighbouring consumers at the same connection points without obtaining a supply license, which ASEU says enables the creation of industrial microgrid models.

The law also reduces financial and regulatory barriers to new projects, including the use of escrow accounts as an alternative to bank guarantees and the implementation of a flexible grid mechanism, which ASEU says creates a pathway to grid access for hundreds of projects that are in queues due to grid capacity constraints. Sokolovskyi added that these changes make the market more accessible for mid-sized and new players, as the rules are more practical.

New rules regarding renewable energy facilities in Ukraine’s occupied territories have also been brought into force. Ukraine’s Ministry of Energy is establishing a special commission that will approve a list of affected facilities and determine exact dates of suspension and restoration of electricity delivery. Commercial metering will be set to zero on impacted facilities from the date of inclusion on the registry, meaning no payments are made for electricity generated during occupation. Sokolovskyi said that while this does not reduce lost assets, it reduces part of the legal uncertainty that has constrained risk assessment for investors and lenders since 2022.

Sokolovskyi concluded that much regarding the law will still depend on the quality of secondary legislation expected in the coming months. “But the direction is now clear: Ukraine’s energy market is moving toward more understandable rules of the game, which means investors now have stronger grounds for planning new projects,” he said.

Ukraine deployed 1.5 GW of solar in 2025, according to analysis from SEAU, taking cumulative capacity past 8.5 GW.

This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.