Reforming Ukraine’s household electricity PSO: A pragmatic path to stronger price signals, market liquidity and targeted support

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Structure

1. Why reform the household electricity PSO? Incentives, market liquidity, debt and fiscal risks
2. How does the current PSO work? Legal framework, physical and financial flows
3. How large is the intervention? Household consumption, tariff subsidy and market impacts
4.  A pragmatic reform pathway Short-term block tariff and fully financial PSO
5. Towards the target model Cost-reflective pricing and targeted support for vulnerable households