Around 10% of Kyiv restaurants and cafes close for winter due to blackouts

Energy shortage forces establishments to halt operations

In Kyiv, approximately 10% of restaurant businesses have decided to temporarily suspend operations for the winter period. The main reasons were prolonged power outages and a significant increase in generator operating costs. Olha Nasanova, co-founder of the National Restaurant Association of Ukraine, told Ukrainian Radio on 12 November.

According to the expert's estimates, this is the proportion of the capital's restaurants and cafes that decided to suspend operations for the winter, although she does not rule out the possibility that the actual number of such establishments may be higher. It is expected that in spring, after the power supply situation stabilises, some businesses will resume their activities.

Economic difficulties due to generators

Nasanova explained that constant power cuts and rising fuel prices have made prolonged operation on backup generators unprofitable for many establishments. Those restaurants and cafes that continue to function are forced to adapt to the new realities. They are shortening the working day, switching to a part-time work week, reducing staff numbers, and making changes to their menus. Some businesses have started using semi-finished products more actively.

Problem for establishments in shopping centres

The most difficult situation has arisen for restaurants and cafes located in shopping centres. Since shopping centres close during air raid alerts, the number of visitors there has dropped sharply.

«Найгірше зараз закладам, які знаходяться в торговельних центрах. Більшість закладів, які закриваються у торговельних центрах, вони нікуди не переїжджають, вони просто закриваються» ("It is currently worst for establishments located in shopping centres. Most of the establishments that are closing in shopping centres are not moving anywhere; they are simply closing"), Nasanova emphasised.

Large chains versus small businesses

Large restaurant chains have more opportunities to overcome the crisis thanks to their existing financial reserves. They can afford to temporarily close individual locations or negotiate a reduction in rent. In contrast, small restaurants and cafes often do not have a sufficient financial "cushion" to operate at a loss for a long time.

Meanwhile, according to Nasanova's observations, visitors mostly accept the temporary restrictions on the operation of establishments caused by the lack of electricity with understanding.