Tax Payment Dynamics (Q1 Comparison):
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Q1 2023: 982 million UAH (~$22.4 million)
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Q1 2024: 245 million UAH (~$5.6 million)
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Q1 2025: 175 million UAH (~$4.0 million)
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Q1 2026: 110 million UAH (~$2.5 million)
Alexey Zayets, CEO of Smart Energy Group, noted that until April 2023, the group consistently increased production, providing the budget with nearly one billion UAH (~$22.8 million) every quarter. This year, the amount is nine times lower. "In a country at war, does the state not need hundreds of millions in monthly budget revenues?" Zayets questioned.
The reduction in taxes due to halted gas production demonstrates the negative impact of sanctions decisions made without proper economic assessment.
Key Downtime Impacts:
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April 2023 – June 2024: Permits were suspended due to sanctions against a former beneficiary. The state lost 195 million cubic meters of gas and 1.65 billion UAH (~$37.6 million) in taxes.
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October 2024 – Present: New sanctions against current EU-citizen owners halted the assets of British-based Enwell Energy. By the end of 2025, this resulted in an additional loss of 1.2 billion UAH (~$27.4 million) in tax revenue.
The CEO emphasized that a legal mechanism exists to restore licenses without lifting personal sanctions, allowing business to work for the state's interests and increase budget contributions immediately.
Exchange rate used: 43.8 UAH/USD (May 2026)
