Germany urgently grants major funds to Ukraine's energy sector
Photo: Katherina Reiche, German Minister for Economic Affairs and Energy (Vitalii Nosach/RBC-Ukraine)
Germany is providing Ukraine with €100 million to repair its energy system. The funds will be directed through the development bank KfW to the Ukraine Energy Support Fund (UESF), according to the German Ministry for Economic Affairs and Energy.
The Federal Ministry for Economic Affairs and Energy announced an additional €100 million to repair Ukraine's damaged energy infrastructure quickly.
The funding will be administered through KfW and will become part of contributions to the UESF, which has been supported by international partners since 2022.
Commenting on the decision, German Economy Minister Katherina Reiche emphasized that Russian attacks have turned Ukraine's energy sector into a frontline, making support not just a technical, but also a humanitarian issue.
"We will not abandon the Ukrainian people. Protecting energy supplies is protecting people," she stressed.
The funds will be used to procure equipment and spare parts through transparent tenders conducted by the Energy Community. This allows Ukrainian energy companies to obtain what they need for repairs after Russian strikes quickly.
In light of recent anti-corruption checks in Ukraine, KfW emphasized that strict control rules will continue to be applied. This condition remains key for Germany's participation in the UESF.
Energy assistance to Ukraine
Since 2022, the Ukraine Energy Support Fund has been a key mechanism helping the country maintain its energy system amid massive Russian attacks.
Through the fund, hundreds of equipment purchases for generation, distribution, and repair work have already been financed.
By early 2025, Germany's total contribution to the fund reached €390 million. With the new €100 million and a previously announced €60 million, the total is expected to reach €550 million by the end of 2025.
This keeps Germany as the largest international donor, with total support to the fund since the start of Russia's full-scale invasion exceeding €1.3 billion.
Russian attacks on energy infrastructure
Russia continues to use the winter period as a weapon against Ukraine's civilian population, targeting energy facilities. This has led to nationwide schedules of temporary power outages.
Recently, Russia struck energy and civilian infrastructure in the south of the Odesa region, leaving thousands of residents without electricity.
Ukraine also requested a winter air defense package from partners during the latest Ramstein meeting. This includes interceptor missiles necessary to protect civilians and critical infrastructure.
