The Ukrainian energy system is one of the least efficient in the world. In terms of energy intensity, GDP is one of the last places in the corresponding world rankings. The need to reduce energy consumption of production is a key driver of reforming the energy sector of Ukraine's economy. Ukraine's international commitments and strategic course for integration with the European Union set priorities in the country's energy policy. Ukraine's energy strategy reflects key areas for the future development of the industry and is developed in the light of global trends and experience of the European Union. However, the implementation of the strategy requires a number of measures, including the adaptation of national legislation to the requirements of the European Union in order to form a new model of a competitive energy market. In addition, an important aspect of energy reform is the innovative nature of the measures envisaged for implementation. In particular, particular attention should be paid to the application of technologies that will form the basis of the energy system in the medium to long term. Such technologies include, in particular, “smart” grids that require a systematic approach to scale them up.

The article deals with the reasons of low energy efficiency of the Ukrainian economy and the dynamics of the energy intensity index of the gross domestic product of Ukraine from the early 90s to the present and its relation with the world average. The structure of the country's energy balance and transformation of the electricity market are considered as one of the key directions of reforming the country's energy system. In addition, the article identifies that the development of "smart" energy networks is today an alternative direction for the development of electricity. The importance of continuous support of energy market participants for the formation of favorable business and investment environment is identified, as well as the potential consequences of state policy fluctuations of energy market actors on the example of solar energy support in Ukraine are identified.

"smart" grids, energy, GDP, energy strategy.