Putin's War in Ukraine Adds $1B to Price Tag in Single Day

The head of Ukrhydroenergo, Ukraine's state-owned energy company, on Wednesday, said a new dam and hydroelectric station to replace those destroyed in Tuesday's explosion in Nova Kakhovka would cost at least $1 billion.

"Kakhovka HPP (Hydroelectric Power Plant) cannot be restored. After the de-occupation, we will have to build a new station," Ihor Syrota, director general of Ukrhydroenergo, said in a message posted on Telegram.

The destruction of the plant's dam in southern Kherson resulted in massive flooding in a minimum of eight settlements and the evacuation of thousands of citizens. Ukrainian President Volodymyr Zelensky blamed the incident on "Russian terrorists," saying Russian President Vladimir Putin's forces deliberately destroyed one of his country's largest water reservoirs in Ukraine. Moscow, however, has accused Ukraine of sabotaging the facility on the Dnieper River.

Whoever ends up paying for a new plant and dam will not only need more than a billion dollars but also a substantial block of time, according to Syrota.

"It takes at least 5 years to build a new station—in 24/7 mode," he said.

Last month, more than 40 nations agreed to start a financial tally of the damages Ukraine has suffered during the war with the intent of someday getting reparations from Putin.

At the one-year mark of the war in February, an estimate from the World Bank, the European Union and the United Nations for Ukraine's reconstruction and recovery needs was put at $411 billion. EU officials have already suggested a plan of using money and frozen assets from Russian individuals who have been sanctioned due to the war to go towards Ukraine's rebuilding.

In his description of what would need to be done in order to build new structures, Syrota noted that a new plant "is a complex hydroelectric facility that will take time to rebuild."

He said that not only was the current station badly damaged during Tuesday's incident but so were the gas and water supplies.

"We do not yet know the full extent of the destruction," Syrota said.

Before work on a new facility can begin, he described a process of blocking off the damaged dam and then providing water to the local population as well as addressing water needs for agriculture and industry.

Syrota also said Russian occupation of the area's settlements will have to end before water can be accumulated to fill the reservoir. However, he indicated his company has already begun planning its next steps.

"We are currently developing a project for the station's location," he said.