Active consumer

Who is an "active consumer" of electricity?

Tolk Group supports the introduction of incentives for distributed generation and offers its customers the status of an active consumer, which allows them to achieve economic benefits and significantly reduce the payback period of an installed power plant.
An active consumer is an individual or legal entity that not only consumes electricity but also produces it from renewable sources for its own needs or carries out electricity storage activities and sells the surplus energy back to the grid. Sometimes the term prosumer is also used, which combines the meanings of both producer and consumer.
In Ukraine, the self-generation of electricity is regulated by law. In particular, the Law of Ukraine "On the Electricity Market" stipulates that "active consumers" have the right to produce electricity for their own needs.

What is the procedure for obtaining the status of an active consumer?

According to part 1 of Article 58-1 of the Law of Ukraine "On the Electricity Market", a consumer acquires the status of an active consumer under the following conditions

- Conclusion of a contract for the sale and purchase of electricity under the self-production mechanism, which is an annex to the contract for the supply of electricity to the consumer; 
- entering into an agreement with a guaranteed buyer or universal service provider for the sale of electricity at a feed-in tariff;
- installation of an energy storage facility to participate in the ancillary services market, provide balancing services, and buying and sell electricity used for energy storage in energy storage facilities in organized market segments independently or as part of aggregated groups.

Conditions for losing the status of an active consumer
An active consumer with an installed capacity of generating electrical installations of more than 1 MW loses the status of an active consumer for a calendar year if, in the previous calendar year, the volume of electricity supplied to the grid by the generating electrical installations of the active consumer exceeded 50 percent of the total volume of electricity consumption (from the grid and from the generating electrical installations of the active consumer) of such an active consumer.

Requirements for active consumers

Under Article 58-1(9) of the Law, electricity generation by active consumers and third parties connected to the electricity grids of active consumers is considered to be electricity generation for their own needs and does not require a license for electricity generation, provided that the installed capacity of such generating facilities at one metering site does not exceed 5 MW.

Under Article 58-1(2) of the Law, a non-domestic consumer has the right to install generating facilities intended for the production of electricity connected to electrical installations intended for the consumption of electricity directly or through the networks of such consumer, provided that the installed capacity of such electrical installations does not exceed the permitted (contractual) capacity of such consumer's electrical installations intended for the consumption of electricity and the sale of produced but not consumed electricity through the mechanism of self-production.

The total installed capacity of generating facilities and energy storage facilities of active consumers (each separately) may not exceed the capacity permitted for consumption under the connection agreement.
By its Resolution No. 2651 dated 29.12.2023, the NEURC approved the Procedure for the Sale and Metering of Electricity Generated by Active Consumers and Payments for It. This document sets out the procedure for electricity market participants and commercial metering service providers to act in the course of the sale and metering of electricity generated by generating facilities of active consumers and payments for it.

The Resolution came into force on 30 December 2023.

Thus, the introduction of the self-generation mechanism opens up opportunities for non-household consumers to install generating facilities, primarily solar power plants, to partially cover their own electricity consumption.

Tolk Group experts will help you understand the features and benefits of self-generation of electricity for your own business needs and earning additional income from the sale of surplus energy to a universal service provider.
For more information, please contact us by phone: 0 800 33 18 33 (Mon-Fri: 9.00-18.00).