Tensions continue to escalate between Russia and Ukraine, with the announcement by Ukraine that it is to suspend trade with Crimea in November. Ukraine added that the restoration of electricity to Crimea is a separate issue to be decided upon by Ukraine's Security and Defence Council. As we previously noted, Crimea is suffering long blackouts after electricity transmissions lines from Ukraine were blown up in one month, signalling a stark reminder of Crimea's heavy economic reliance on Ukraine. Crimea relies almost entirely on Ukraine for supplies for power and water, with the country's own power generation capacity covering less than 20% of peak demand. Russia has suspended coal exports to Ukraine in retaliation.
Tensions continue to escalate between Russia and Ukraine, with the announcement by Ukraine that it is to suspend trade with Crimea in one month. Ukraine added that the restoration of electricity to Crimea is a separate issue to be decided upon by Ukraine's Security and Defence Council. As we previously noted, Crimea is suffering long blackouts after electricity transmissions lines from Ukraine were blown up in November, signalling a stark reminder of Crimea's heavy economic reliance on Ukraine. Crimea relies almost entirely on Ukraine for supplies for power and water, with the country's own power generation capacity covering less than 20% of peak demand. Russia has suspended coal exports to Ukraine in retaliation.