Guarantees for the participants of the energy market of Ukraine

Electricity market
Financial guarantee for securing an agreement on the settlement of electricity imbalances
Beneficiary - "Ukrenergo” National Power Company

Natural gas market
Financial guarantee for securing a natural gas transportation agreement (system balancing)
Beneficiary - Operator of gas transmission systems of Ukraine ("Ukrtransgas" Public Joint-Stock Company)

Benefits:

• Execution of one master agreement for an unlimited number of guarantees with different amounts and terms of performance.
• Simplified decision-making procedure for providing guarantees. 
• Pivdenny Joint-Stock Bank complies with the ratings and conditions of the beneficiaries for issuing guarantees to participants in the energy market.

Basic conditions for the provision of guarantees by Pivdenny Bank:

Requirements for principals:

• period of business activity – at least 12 months (groups of companies);
• a sound financial standing;
• the presence of a contractual basis for carrying out activities in the energy market of Ukraine.

Currency – UAH.

Form of guarantee provision:

• in hard copy;
• in electronic form with electronic digital signature.

Security:

• placement of monetary funds on the coverage account and/or property rights to funds under a bank deposit / current account agreement - from 20 % of the guarantee amount.

Decisions are issued on guarantees in up to 5 business days from the date of submission of a full set of documents to the bank.

1. The seller provides the bank with the necessary documents.
2. Based on these documents, the Bank considers the possibility of providing a guarantee.
3. In the case of a positive decision of the collegial body of the bank, a master agreement is signed on the provision of documentary obligations and other necessary documents.
4. The bank issues a guarantee and transfers it to the principal/beneficiary:
   – in hard copy;
   – in electronic form with electronic digital signature.