Boyko says state could sell 2 GenCos and 5-6 Oblenergos in 2011

Ukrainian Energy and Coal Minister Yuriy Boyko said yesterday at a conference that Ukraine plans to privatize the state’s stakes in two electricity generators (GenCos) and 5-6 electricity distributors (Oblenergos) in 2011, according to Interfax. Boyko said the first announcement could come in July 2011. Government officials indicated at the end of last year that the first GenCo stakes likely to hit the auction block were Dniproenergo (UX: DNEN UK) and Zakhidenergo (UX: ZAEN UK). Yegor Samusenko: This is the second time the current government has postponed the first privatization announcement in energy sector without visible reasons. Nevertheless, we think that two GenCos, Dniproenergo and Zakhidenergo, will be privatized this year and the entire sector will be privatized in 2011-2014 since the government is not able to invest sufficient CapEx into the sector.