XM does not provide services to residents of the United States of America.

Ukraine's stressed mobile providers prepare for more and longer power cuts



<html xmlns="http://www.w3.org/1999/xhtml"><head><title>Ukraine's stressed mobile providers prepare for more and longer power cuts</title></head><body>

Operators snap up generators and batteries to maintain coverage

President orders review of mobile providers' activities

Operators advise clients to limit mobile usage during blackouts

By Olena Harmash

KYIV, July 26 (Reuters) -When Russia attacks Ukraine's energy system, it not only knocks out electricity and running water - but also, often, phone signals.

Moscow's renewed assault on power grids and transmission lines in the last three months has knocked out about half Ukraine's available generation capacity, causing daily blackouts of up to 12 hours in major cities including the capital Kyiv. Once winter boosts energy use, the situation will only get worse.

As the big mobile operators struggle to keep their base stations running, official pressure is growing; President Volodymyr Zelenskiy has ordered a review of their activities and the regulator says that, by February, they must be able to cover an outage of up to 10 hours - rather than four, as now.

All are rushing to buy more generators and batteries for Ukraine's tens of thousands of stations but say that the longer the blackout, the more complicated the job of maintaining full coverage.

Analysts say the review may reflect Zelenskiy's desire to show that he understands the critical need for good communication during challenging times, rather than any big failings on the operators' part. But the review may also call for further investments.

Early in the war, the mobile providers set up national roaming to switch calls to another operator if the subscriber's one was unavailable.

Now, despite the investments in resilience, they are advising clients to limit usage and stick to simple communications like text messages to save bandwidth when others may have more pressing needs.

"Maybe if you avoid watching TikTok during the blackout, your neighbours will be able to call an ambulance in a critical situation," Vodafone, one of three major mobile providers contacted by Reuters, said in a message to users.


BATTERIES AND GENERATORS HELP KEEP COMMUNICATIONS GOING

The sector has already had to deal with a major cyber attack as well as damage to its equipment during the war with Russia, now nearly 30 months old.

Three companies accounting for the majority of users - Vodafone, Kyivstar and Lifecell - have planned to invest 2.7 billion hryvnias ($66 million) to mitigate the impact of Russian drone and missile strikes on the power sector.

They have already installed tens of thousands of new accumulators and bought hundreds of generators to boost their networks' resilience.

Kostyantyn Sotnikov, who heads network maintenance at Lifecell, said more than half its base stations across Ukraine had been fitted with new lithium batteries since 2022, and hundreds were being connected to generators.

Two other operators - Kyivstar and Vodafone - said they had made similar improvements.

Kyivstar is the largest Ukrainian operator with about 24 million subscribers, and is owned by Amsterdam-listed Veon VON.AS.

After spending over a billion hryvnias on network resilience, it says it has more than 2,300 generators and plans to buy another 848 soon.

Vodafone Ukraine, the second biggest operator with about 16 million clients, said it planned to channel 438 million hryvnias into energy equipment.



Reporting by Olena Harmash; Editing by Kevin Liffey

</body></html>

Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.

All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.

Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.

Risk Warning: Your capital is at risk. Leveraged products may not be suitable for everyone. Please consider our Risk Disclosure.