Why this news matters
The State Agency for Energy Efficiency and Energy Saving (SAEE) calls 2025 a turning point for Ukrainian cogeneration: 71 qualified units — 40% more than in 2024. This is not just statistics: behind the numbers are growth in local generation, investment, and options for stabilizing heat supply during a crisis.
"This year we recorded a real boom – 71 cogeneration units were qualified by the SAEE. That's 40% more than last year"
— Hanna Zamazieieva, head of the State Agency for Energy Efficiency and Energy Saving
What changed — key figures
The total electrical capacity of qualified cogeneration units reached 3.1 GW, thermal — 9.2 Gcal/h. This represents roughly +20% in electrical and +11% in thermal capacity compared with 2024 (2.57 GW and 8.3 Gcal/h, respectively).
Qualification grants the right to state support: in particular, exemption from the excise tax (3.2%) on revenue from the sale of produced electricity — an important incentive for investors.
Investments and plans
According to the agency, in the past year and a half 125 MW of new capacity has been commissioned — about €210 million of direct investment. Over the next two years, at least 250 cogeneration units with a total capacity of 1.1 GW are planned to be installed. To achieve this, the SAEE estimates about €1.9 billion more is needed.
- Odesa region — 193 MW
- Kyiv — 185 MW
- Dnipropetrovsk region — 164 MW
- Lviv region — 143.6 MW
Context: where this fits in the energy picture
The Ministry of Energy notes that in 2025 the country commissioned 762 MW of new gas-fired generation. Cogeneration complements this trend but with a different focus — more efficient fuel use and local resilience of grids and heat supply. For Ukraine, which is under strain on its infrastructure, this means reducing dependence on large centralized nodes and faster restoration of services after strikes or accidents.
What this means in practice
Cogeneration increases energy efficiency: simultaneous production of heat and electricity reduces fuel losses and lowers costs for cities and enterprises. The state creates tax and qualification incentives — and business responds with investments. This is a signal to both domestic and international investors: the sector is becoming more predictable and attractive.
Conclusion
The figure of 71 qualified units is not an end in itself, but a marker of a changing energy model: decentralization, efficiency, and collective resilience. The next step is to turn the stated plans (1.1 GW and €1.9 billion) into signed contracts and launched projects. The question remains concrete: who and on what terms will enter these investments — state players, international funds, or the private sector?
