INTERVIEW: DTEK's Ukrainian coal plant damages rise to 80% of available capacity

Ukrainian generator DTEK is in a race to rebuild six thermal power stations ahead of next winter after sustained Russian shelling reduced the company's available capacity by 80% in a little over a month, the company told S&P Global Commodity Insights May 1.

An updated list of equipment requirements runs into the dozens of major components, including six large generators, three turbines, three control systems and over 20 transformers of varying sizes.

"We're contacting our partners around the world but particularly in Europe with regard to donations of used equipment," said Oleksiy Povolotskiy, DTEK's Head of Office for Energy Infrastructure Recovery.

Several suppliers had offered equipment the Ukrainian generator had been obliged to turn down because of technical incompatibility.

"This is one reason we must rebuild our energy system as fast as possible in order to move from post-Soviet Union standards to European Union standards," Povolotskiy said.

Rising equipment costs and multimonth lead times, however, were major challenges to this, hence the call for any spare equipment from countries -- the Baltics, Bulgaria, Poland, Romania -- with a history of IPS/UPS-compatible systems.

Some equipment had to be new -- notably control room systems, without which restored units could not be brought back to operation.

"Manufacturers have full order books and they can't push us to the front of the queue ahead of other parties with signed contracts," Povolotskiy said, noting the lead time for large new transformers was "at least nine months, and as much as two years."

In recent weeks the government has requested Ukrainian manufacturers to increase their own capacity, but "international financial assistance is still needed from our donors and we don't have time for long political discussions, orders need to be made now to be ready for next December," Povolotskiy said.

Donations of critical equipment from some countries had required changes in legislation to allow this as humanitarian aid. Meanwhile DTEK was striving to contact companies in countries with compatible equipment.

"We're calling on these countries to contact us -- including Bulgaria, Poland, Germany, Greece, Macedonia, Montenegro, Egypt. We know they've decommissioned old thermal or nuclear units, and this could be critical for us as we prepare for winter," Povolotskiy said.

While emergency generation in the shape of decentralized units could play a role, the volumes are comparatively small.

"Our units that need restoring are 200 MW to 300 MW, gas turbines are 25 MW only. The only way to fully recover is to restore the thermal plants and find new ways to produce electricity," Povolotskiy said.

Ukraine has installed generation capacity of around 58 GW, of which 29 GW are conventional fossil fuel thermal plants. DTEK operates around 8 GW of this.

DTEK Energy's fleet of six large coal plants has been shelled 170 times since Russia's invasion of Ukraine in February 2022.

Its two biggest power stations -- Burshtynska TPP (2.4 GW) and Ladyzhynska TPP (1.2 GW) -- were significantly damaged in attacks on March 22.

Its Dobrotvir, Pridnyprovska and Kryvoryska thermal plants have also been targeted.

On May 1 Ukraine's Ministry of Energy said grid restrictions in place throughout April continued to require rolling blackouts in Kharkiv region and for industry in Kryvyi Rih.