Audit at Energoatom
An ongoing audit at Ukraine's state-owned nuclear power company, Energoatom, has uncovered inflated procurement costs and procedural deficiencies. During a meeting between Prime Minister Yulia Svyrydenko and the head of the State Audit Service of Ukraine, Alla Basalayeva, these initial findings were discussed. The audit was initiated following 'Operation Midas,' a broader investigation that revealed widespread corruption within Ukraine's energy sector, highlighting systemic vulnerabilities.
Auditors identified flaws in how the company estimates the expected cost of purchases, along with actual overpayments for goods and materials. The use of intermediaries in the supply chain was also documented. Furthermore, the audit is examining the legality of salary payments to the company's senior management.
New Supervisory Board Appointed
In response, the Cabinet of Ministers has approved a new seven-member supervisory board for Energoatom. The independent members of the board are:
- Rumina Velshi
- Laura Garbenčiūtė-Bakienė
- Patrick Fragman
- Brice Buyon
The state will be represented on the board by:
- Deputy Minister of Economy Vitaliy Kindrativ
- Head of the State Agency for Restoration and Infrastructure Development Serhiy Sukhomlyn
- State Secretary of the Ministry of Energy Maksym Malashkin
The audit at Energoatom is continuing, and its final results could significantly impact the company's future operations and anti-corruption measures within the energy sector.
The audit at Energoatom represents a critical step in Ukraine's fight against corruption, particularly in the strategically vital energy sector where malpractice can have severe national consequences. The appointment of a new supervisory board signals the government's intent to strengthen oversight, ensure transparency in financial operations, and implement international governance standards. The audit's findings are expected to form the basis for corporate reforms and a shift in how state-owned enterprises are managed.