Entering the Gas Business in Ukraine: A Fast-Track to Success

Over the years, supplying natural gas has become an increasingly attractive prospect for entrepreneurs, standing out as one of the most lucrative sectors of the economy. However, the process of establishing a new company and obtaining the necessary licenses is complex and time-consuming. Securing a license doesn't always happen on the first attempt and can often require significant financial and time investments. Unfortunately, the experiences of our clients seeking assistance confirm that licensing can drag on, leading to demotivation and disappointment. That's why more entrepreneurs are choosing to acquire established companies with gas licenses to bypass unnecessary hurdles and get their operations off the ground quickly. We offer our clients a wide selection of clean, turnover-free, reliable companies with gas licenses, ready for immediate use.

In December 2023, a client approached us eager to start a natural gas supply business. They were reluctant to navigate the lengthy and costly organizational processes involved in creating a new company and obtaining the necessary license. Instead, they opted to purchase a ready-made company. Of particular interest to them was the presence of an EIC code, and we had such companies available. These companies are completely clean, and free of turnovers, with pre-existing websites meeting the standards set by the National Commission for State Regulation of Energy and Public Utilities (NCSREPU), along with licenses for natural gas supply. These firms were simply waiting for a buyer, ensuring they had no involvement in any dubious dealings. Some already have EICs, while others are already active in the gas market. For clients not ready to acquire a company already operating in the gas market, we can assist with inclusion at a later stage, as well as provide legal and accounting support. It's worth noting that all our companies are part of the wholesale gas market regulated by NCSREPU, cementing their status as trustworthy and legitimate entities in the gas business. This aspect deserves further elaboration.

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Registration in Ukraine's Wholesale Gas Market: A Vital Step in Gas Business Development

On August 28, 2023, the National Commission for State Regulation of Energy and Public Utilities (NCSREPU) posted information on its website regarding the requirement for all intending to operate in the market to be listed in the registry. Since defining "retail trade" in the energy and gas market is challenging (what exactly constitutes retail gas trading?), all market participants are included in the wholesale market without exception. Subsequently, by NCSREPU resolution (dated October 4, 2023, No. 1812), the procedure and timeline for submitting applications for registry inclusion were approved. Each type of licensee was given roughly two weeks for this process, with all applications due by February 1, 2024. However, practice deviated somewhat from theory, as is often the case when everyone is mandated to do something within specific, particularly strict time constraints. This was akin to the transition to a new classification of economic activity, for those who recall, which involved disclosing the ownership structure of enterprises and reporting on ultimate beneficial owners. The same occurred with inclusion in the NCSREPU's wholesale gas market registry.

Applications were filled out by each applicant based on their understanding of requirements and logic. While the logic and practice of the NCSREPU differed from those completing the forms, leading to the need for document review and adjustment. Consequently, everything had to be reworked several times. But the crucial aspect was submitting the applications on time. Those who missed the deadlines forfeited the opportunity to be included in the registry. However, we have in our arsenal companies that have already been successfully listed in the registry, which we can offer to clients eager to commence operations without unnecessary worries and delays. This was the option chosen by our previously mentioned client. They acquired a fully operational gas company and successfully embarked on the path of profitable business.

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Are you considering entering the gas supply business but want to avoid organizational challenges? We're the ideal solution for you. Similarly, if you already have a company and a gas supply license but aren't listed in the appropriate registry, we can assist you. We offer ready-made companies with gas licenses that are already registered, allowing you to start your operations in the natural gas supply market immediately, without wasting time.

Contact us today to learn more about our offerings and receive guidance on selecting a company that meets your needs. Learn more about our ready-made companies here.