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Serbia Commits $2.15 Million to Strengthen Ukraine’s Energy Infrastructure

The Government of the Republic of Serbia and the United Nations Development Programme (UNDP) have signed a new financial agreement worth approximately $2.15 million aimed at enhancing the resilience of Ukraine’s energy sector.
According to UNDP on April 3, the funds will be allocated for the procurement and delivery of high-voltage transformers—critical equipment essential for restoring the capacity of electricity transmission systems and ensuring stable power supply for Ukrainians.
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Since 2022, Ukraine’s energy infrastructure has sustained widespread damage. According to the UNDP, fifth Rapid Damage and Needs Assessment (RDNA5), total losses in the sector are estimated at $88.2 billion USD. The electricity sub-sector alone accounts for approximately $17.1 billion of this, primarily impacting electricity generation and transmission facilities.
“Serbia stands in solidarity with the people of Ukraine, who are facing unprecedented challenges in energy security,” Andon Sapundzhi, the Extraordinary and Plenipotentiary Ambassador of the Republic of Serbia to Ukraine said. “This contribution is a tangible demonstration of our support in restoring vital services. We want hospitals, schools, and homes to continue having power during these difficult times.”
Recently, Ukraine's national electricity transmission operator, Ukrenergo, reported a disruption in its external energy support network as Slovakia's state-owned electricity system operator, SEPS, formally informed Ukrenergo of the unilateral termination of their emergency assistance agreement.

This update, shared by Ukrenergo on their official Facebook page on March 16, revealed that Slovak authorities did not provide specific reasons for the cancellation.
“The reasons why our colleagues are canceling the agreement remained without explanation from the SEPS management. For its part, NPC Ukrenergo has never allowed any violations of contractual terms with SEPS, acting in the spirit of good neighborliness and respect for the norms of European legislation,” Ukrenergo stated.
While this termination marks a setback in Ukraine's energy cooperation with neighboring countries, Ukrenergo assured that it would not negatively affect the stability of Ukraine’s energy grid.

At the same time, the governing board of the Ukraine Investment Framework approved eight recovery programs totaling approximately $1.73 billion.
Deputy Prime Minister for Restoration, Oleksii Kuleba, shared on Telegram that around $539 million will be allocated to projects managed by his ministry.
This amount includes roughly $122 million designated for logistics, road repairs, and reconstruction as part of the Solidarity Lanes initiative.






