Publication date: 17.05.2024
Systematic delays in calculations for electricity, in particular produced from renewable energy sources (RES), are one of the most urgent problems of modern energy in Ukraine. This problem becomes especially important during the period of martial law, when the reliability of energy supply is of critical importance for the security of the country and its citizens. However, despite the importance of RES as one of the key sources of electricity in the conditions of a military conflict, producers face significant difficulties in settling financial issues with the Guaranteed Buyer SE and the instability of legislation.
However, recently, there has been some progress in judicial practice regarding the resolution of these issues, in particular, regarding the collection of debts owed by RES electricity producers to the Guaranteed Buyer SE. The Supreme Court of Ukraine actively considers cases related to the claims of electricity producers against the Guaranteed Buyer and makes decisions that are important for the industry.
The courts considered a number of key issues in these cases, including:
application of the orders of the Ministry of Energy of Ukraine regarding settlements with renewable energy producers;
the possibility of transferring cases of lawsuits by electricity producers to the Guaranteed Buyer for consideration by the Grand Chamber of the Supreme Court;
the legality of the recovery of debts from SE "Guaranteed Buyer" by RES electricity producers.
Currently, the Supreme Court provides clear conclusions on the application of the orders of the Ministry of Energy and determines their legal nature.The court clearly states that the orders of the Ministry of Energy of Ukraine cannot be interpreted as a reason for non-fulfillment of settlement obligations to RES electricity producers. According to court decisions, manufacturers have the right to timely and full collection of debts, despite difficult market conditions and circumstances arising in connection with martial law.
In its decisions, the Supreme Court also points out that there is no legal basis for transferring cases to the Grand Chamber for the purpose of changing judicial practice. In addition, the Court emphasizes the importance of respecting the rights of producers of electricity from RES and supports their legal positions in legal disputes with the Guaranteed Buyer.
Therefore, the judicial practice in the cases of debt collection against producers of electric power from RES shows the importance of securing their rights in court and supporting their activities in difficult conditions of the energy market.
Application of inflationary losses and 3% per annum:
The judicial practice of recent years actively determines the right of producers of electricity from renewable energy sources (RES) to recover debts, including inflationary losses and 3% per annum in cases of late payments from SE "Guaranteed Buyer". This is confirmed by the resolutions of the Northern Commercial Court of Appeal dated 07/05/2023, 09/05/2023 and 05/25/2023 in the relevant cases.You may be interested in the following articles: lawyer consultation, lawyer consultation, analysis of documents, legal analysis of the situation, written consultation, verification of documents by a lawyer, lawyers, documents, lawyer's assistance online, lawyer online, legal opinion, legal opinion of a lawyer, lawyer online
Refusal to apply fines:
Courts also refuse to apply penalties to the Guaranteed Buyer, considering claims for recovery of 3% annual and inflationary losses. The ruling of the Northern Economic Court of Appeal dated September 4, 2023 in case No. 910/1353/23 confirms that these payments are not in the nature of fines, but are compensation for the devaluation of funds and the use of funds held by them.
Clear answers in court practice:
To date, judicial practice in cases initiated by producers of electricity from renewable energy sources allows us to formulate clear answers to the main questions related to debt collection. Therefore, it defines the rights and obligations of the parties, based on the current legislation and previous decisions, which is key to ensuring the stability and development of the electricity market from renewable energy sources.
