JSC “Chernivtsioblenergo” on December 5 ordered consulting services from LLC “VS Energy International Ukraine” for 1.68 million UAH.
This was reported in the system «Prozorro».
The owners of “VS Energy International Ukraine” – Germans and Latvians associated with the Russian owners of the “VS Energy” group, Mikhail Voevodin, Deputy Speaker of the Russian State Duma Alexander Babakov, and owner of the CSKA football club Yevgeniy Giner – are under sanctions imposed by Ukraine and several other countries. However, the company itself, which received the contract from the regional energy company, is not included in the sanction lists of the National Security and Defence Council of Ukraine (NSDC). Thus, formally, it belongs to sanctioned individuals but is not itself under sanctions.
Despite sanctions, Chernivtsioblenergo paid 1,7 million hryvnias to a firm linked to Russian oligarchs from VS Energy
Despite sanctions, Chernivtsioblenergo paid 1,7 million hryvnias to a firm linked to Russian oligarchs from VS Energy
In the open tenders, the customer set a condition that the participant must not be under sanctions and must provide guarantees of the absence of «any other circumstances or measures of a regulatory, administrative, or other nature that prevent the conclusion and/or execution of the procurement contract». «VS Energy International Ukraine» did not submit its proposal for those open tenders. In the procurement without the use of the electronic system, no requirements are published in «Prozorro» at all.
The shareholder of «Chernivtsioblenergo» is the Kyiv-based LLC «VS Group Management», which, in turn, is owned by the Dutch companies «Washington Holdings B.V.» and «VS Energy International N.V.». The ultimate beneficiaries are listed as Maryna Yaroslavska and Oleg Sizerman from Germany, and Dambins Vilis, Vigants Valts, and Alber Arturs from Latvia. According to the state register of sanctions, the Dutch companies and the listed individuals are currently under sanctions imposed by the NSDC.
The Kyiv-based «VS Energy International Ukraine» is owned by «VS Energy International N.V.».
Earlier, the State Bureau of Investigation (SBI) initiated a criminal proceeding, accusing Russians of creating a criminal organization, encroaching on Ukraine’s territorial integrity, and misappropriating property. According to a recent article in «NV Business», currently, only Giner’s share in PINBank has been nationalized.
In June 2023, the Ministry of Justice filed a lawsuit with the High Anti-Corruption Court regarding the application of sanctions in the form of confiscation of assets of the Russian group «VS Energy». Among these assets are shares in eight regional energy companies, including «Chernivtsioblenergo», as well as «Rivne-», «Zhytomyr-», and «Kirovohrad-» oblenergos.
The defendants are the owners of the «VS Energy» group, Russians Mikhail Voevodin, Deputy Speaker of the Russian State Duma Alexander Babakov, owner of the CSKA football club Evgeny Giner, as well as individuals who act as nominal owners of their property in Ukraine. According to «Ukrainian Energy», in July 2023, the High Anti-Corruption Court seized the assets of the «VS Energy» group and began considering their nationalization.
According to media reports, the High Anti-Corruption Court’s decision on the nationalization of the oblenergos from the «VS Energy» group based on the Ministry of Justice’s lawsuit has not yet been made. Their shares have not been transferred to JSC «Ukrainian Distribution Networks» – a state-owned company under the Ministry of Energy that manages state-owned oblenergos.
According to data from «Prozorro», after sanctions were imposed in 2023 on the owners of «VS Energy International N.V.», but the company itself was not included in the sanction lists – it received contracts in 2024-2025 from the still non-nationalized oblenergos of Russians for 10.46 million UAH. All these contracts are related to consulting, management, and operation of the mentioned oblenergos.
For example, among the services ordered by «Chernivtsioblenergo» are participation in the development of proposals for regulatory acts, comprehensive analysis of all types of enterprise activities, consultations on procurement (including during inspections and control measures, consideration of complaints, and court cases), organization of Zoom meetings with authorized persons on public procurement issues, and more.
What exactly Chernivtsioblenergo ordered from VS Energy
- Formation of the technical policy of the Distribution System Operator (DSO), which involves determining an optimal set of interrelated technical requirements that supplement existing regulatory and technical documents, establishing criteria and limits for the application of the most progressive and effective technical-economic solutions and technologies aimed at improving the efficiency of electricity transformation and distribution processes, operation, and development of electrical networks with voltages of 0.4-110(150) kV, and предусматривает constant updating of these requirements;
- Benchmarking of effective technical and technological solutions and development of phased methodological recommendations for their practical implementation by the DSO;
- Formation of a long-term development model for the DSO’s distribution system to achieve target quality indicators of services;
- Analysis of actual reliability indicators of the distribution system and preparation of methodological recommendations for achieving target indicators of reliability indices (SAIDI, SAIFI, CAIDI, MAIFI) and their further optimization;
- Monitoring compliance with established criteria for the application of technologies, equipment, and materials in production processes, and organizing the implementation of the latest technologies in the DSO’s electrical networks;
- Organization of the implementation of modern operation methods using contemporary diagnostic tools, technical and informational measurement systems, reducing operational and maintenance costs for electrical network facilities;
- Improvement of network technological management methods through the phased implementation of dispatcher management systems ADMS (SCADA, OMS, DMS);
- Formation and implementation of stages to improve the energy efficiency of the DSO’s distribution electrical networks through their reconfiguration and creation of network sections with intelligent control (Smart Grid);
- Determination of stages and timelines for the implementation of Smart metering for household customers;
- Enhancement of operational maintenance efficiency of distribution system facilities through optimization of electrical connection schemes, operational costs, electricity costs for own needs, and improvement of electricity volume measurement accuracy;
- Organization of the implementation of modern control systems, automatic diagnostics, and monitoring of the technological condition of main substation equipment, relay protection and emergency automation systems, communication systems, engineering systems, commercial and technical electricity metering;
- Development and adjustment of testing programs for various types of transformer, switching, and secondary equipment of electrical networks with voltages of 0.4-110(150) kV;
- Development of compliance criteria and technical requirements for equipment used in technological processes of new construction, reconstruction, and technical re-equipment of distribution system elements;
- Preparation and provision of relevant recommendations, conclusions, and proposals based on expert assessments regarding the implementation of new equipment samples, technologies, and pilot projects;
- Analysis of the effectiveness of measures implemented under Investment Programs for relevant periods and provision of recommendations for the formation of Development Plans for distribution systems, Investment, and Repair Programs of the DSO;
- Information and consulting services in the field of electricity regarding the management of electricity distribution activities;
- Comprehensive analysis of all types of enterprise activities;
- Improvement of the cost planning and management process in electricity distribution activities;
- Development of recommendations and regulatory-instructional documentation on labor remuneration issues;
- Organization of economic planning work at the enterprise aimed at organizing rational economic activity, identifying and utilizing reserves to achieve the greatest economic efficiency;
- Maintaining statistical records of technical-economic performance indicators of the enterprise and preparing periodic reports within the deadlines set by the Customer;
- Improvement of the enterprise’s business processes;
- Informing about changes in regulatory acts and providing analytical materials on them;
- Consultations on enterprise activity budgeting issues;
- Provision of information services regarding the automation of energy distribution processes;
- Analysis of the Customer’s work in terms of reducing actual and excessive electricity losses;
- Preparation of an analytical report on energy distribution activities;
- Consultations on issues related to procurement, including during inspections and control measures, consideration of complaints, and court cases;
- Organization of Zoom meetings with authorized persons on public procurement issues;
- Provision of explanations regarding interaction with management and regulatory bodies in the electricity sector;
- Participation in the development of proposals for regulatory acts;
- Other services.
Authors: Anna Soroka, Yuriy Nikolov, «Nashi Groshi»
