The Ministry of Energy of Ukraine has wage arrears to a number of coal mining companies. This was reported in response to a request from Komersant ukrainskyi was reported the Ministry of Energy. The debt is owed to seven companies, the smallest of which is 1 month, and the largest is 62 months. In total, the Ministry of Energy owes miners salaries for 161 months, which is just over 13 years.
Existing debts to coal mining companies as of 1 August 2024:
SE Selydivuhillya – 16 months. The reason for this is a shortage of working capital from the sale of coal products, reduced production volumes, and receivables.
Myrnogradvuhillya – 24 months. The reason is a shortage of working capital, insufficient coal production, and difficulties with sales.
Krasnolimanskaya Coal Company – 49 months. The reason is accounts receivable.
Dobropilliavuhillya Mining – 1 month. The reason is accounts receivable and difficulties with sales.
Volynvuhillya – 62 months. The reason is a shortage of working capital from sales of coal products.
Lvivvuhillya – 5 months. The reason is receivables for coal shipped.
Nadiya Mine – 4 months. The reason is a shortage of working capital and a production shutdown.
What the Ministry of Energy says
The Ministry of Energy acknowledges the problem and emphasises that part of the money is being paid.
“The Law of Ukraine ‘On the State Budget of Ukraine for 2024’ provides for expenditures under the programme KPKVK 2401590 ‘Restructuring of the Coal Industry’ (hereinafter – the Programme) in the amount of UAH 2,995,867.5 thousand.
During January – July 2024, UAH 1,525,352.0 thousand was allocated under the Programme for salaries and mandatory payments related to the payment of salaries as of 10.08.2024, including UAH 220,897.0 thousand by Lvivvuhillya, which is 100% of the planned amount.
In addition, UAH 5,725.1 thousand was allocated to pay salaries under the programme KPKVK 2401070 “Measures to liquidate unpromising coal mining enterprises” (Velykomostovska mine of Lvivvuhillya),” the Ministry of Energy said.
Also, as the editorial board was informed, with regard to the sale of coal from the resources of state-owned enterprises for the period of repair of damaged equipment at thermal power plants, the Ministry of Energy is working on the resumption of thermal coal exports, additional sales directions and markets for coal for the needs of consumers in various sectors of the economy.
“Following the submission of the relevant proposals by the Ministry of Energy to the Ministry of Economy, the Cabinet of Ministers of Ukraine adopted Resolution No. 610 of 30.05.2024 “On Amendments to Annex 1 to Resolution of the Cabinet of Ministers of Ukraine of 27 December 2023 No. 1402″, which allowed the export of coal to the market. No. 1402″, which allows the export of hard coal, anthracite, briquettes, pellets and similar solid fuels derived from hard coal in 2024, with an export quota of 1.153 million tonnes, which will help coal mining companies to receive working capital that can be used to make the relevant financial settlements,” the Ministry said.
Miners appeal to Galushchenko over UAH 632m debt
Despite these statements by the Ministry, the trade union leaders of Lvivvuhillya, one of the companies mentioned earlier, on behalf of the workforce have already addressed on behalf of its employees, have already appealed to the Minister of Energy Herman Galushchenko, and all because of debts to them.
Lvivvuhillya was selling thermal coal to Trypillia TPP of PJSC Centrenergo through Ukrvuhillya. The debt of SE Ukrvuhillya to SE Lvivvuhillya for the coal shipped from February to April 2024 amounts to UAH 426 million, which in turn resulted in the accumulation of wage arrears to employees of UAH 632 million for February to July 2024.
This situation causes serious tension in the labour collectives, especially after the meeting on 1-2 August at the Ministry and against the background of the corruption scandal with the outgoing deputy of the ministry entrusted to you,” Lvivvuhillya said and asked the Minister to take the issue of paying off the wage arrears to miners under his personal control. The ministry has not yet responded.
Author – Alyona Kaplina