It’s no secret that the Atlantic Council has been bullish on Ukraine’s reforms. In particular, we often cite gas reform as the one that massively curbed corruption in Ukraine since the Euromaidan. But after an hour-long conversation with Naftogaz CEO Andriy Kobolyev on December 8, I came away with a different picture.
Since the thirty-nine-year-old soft-spoken CEO took over in 2014, Naftogaz has turned a profit for the first time in five years. It has also become the biggest user of the ProZorro e-procurement system that has saved taxpayers more than $1 billion, and it beat Russia in the Gazprom vs. Naftogaz case at the Stockholm Arbitration Tribunal earlier this year. In other words, Kobolyev has had an incredible run.
But gas reforms have stalled. Kobolyev said that he hasn’t seen much progress since May 2016.