This is particularly relevant in light of the upcoming increase in utility tariffs to European levels.
What is happening?
Oleg Popenko, an expert in energy and utilities, reported on the reduction of subsidies. According to him, the Ministry of Social Policy has already planned a decrease in financial support for citizens in the state budget for 2025, even though debts for utility services in Ukraine continue to rise rapidly.
"We hear promises to assist those who cannot pay the tariffs. But at the same time, the government is effectively cutting subsidies. This means that many will simply not receive the necessary support," the expert explains.
Why is this a problem?
Debts owed by the population for utilities have reached a critical level. Ukrainians owe about 90 billion hryvnias for heating and over 60 billion hryvnias for gas.
Despite this, the country has committed to the IMF to bring tariffs to market levels. Even in wartime conditions, utility prices must align with market standards. This could lead to an even greater debt burden since, according to the expert, around 80% of Ukrainians are already unable to pay their bills.
What to expect next?
In 2024, utility bills have increased by more than 20%, even with a moratorium on tariff hikes. If this trend continues, the reduction of subsidies will be an additional blow for many families.
For most Ukrainians, this may mean only one thing: they either need to find new sources of income, or their utility debts will continue to grow.