DTEK Oil&Gas’ Rental Payments Amounted to UAH 7.3 Million in May 2018

DTEK Oil&Gas’ Rental Payments Amounted to UAH 7.3 Million in May 2018

Oil and gas12 July 2018

In May 2018, DTEK Oil&Gas paid UAH 7.3 million to the budgets of all levels of the Poltava Region. The company’s rental payments amounted to UAH 38.3 million in the five months of 2018.

DTEK Oil&Gas’ Rental Payments Amounted to UAH 7.3 Million in May 2018

In May 2018, the company transferred the following amounts to the regional, district, village budgets and budgets of the united territorial communities where DTEK Oil&Gas produces gas:

  • UAH 2.913 million to the Poltava Region budget.
  • UAH 620 thousand to the budget of the Machukhska United Territorial Community.
  • UAH 382 thousand to the budget of the Savyntsi Village Council.
  • UAH 868 thousand to the budget of the Kovaleve Village Council.
  • UAH 764 thousand to the Myrhorod district budget.
  • UAH 1.736 million to the Shyshaky district budget.

The local communities plan to allocate these funds to the energy efficiency projects, improvement of the quality of medical services and infrastructure. They include the installation of energy-efficient windows in schools, purchase of medical equipment, and road repair. 

Law of Ukraine No. 1793-VIII Amendments to the Budget Code of Ukraine regarding the Entry of the Royalty Payment for Use of Subsoil for Production of Oil, Natural Gas and Gas Condensate adopted by the Verkhovna Rada on December 20, 2016 took effect from January 1, 2018. The law provides for 2% of the rental payment to be transferred to the regional budgets, 2% to the district and 1% to the local budgets at the location (production) of the respective natural resources. The exceptions are the budgets of cities of republican and regional status and the budgets of the united territorial communities, which receive 3%. 95% of the rental payment shall be made to the total fund of the state budget.