This article is devoted to an analytical review of the situation in the energy sector of Ukraine, taking into account constructive changes in the connection of the Ukrainian energy system to ENTSO-E and the destructive situation caused by industrial infrastructure failures and economic renewal. It focuses on Ukraine in the context of the principles of decentralization in the direction of significantly increasing the net cost of microgeneration, decarbonization and the transition to “green” energy. The national resource potential of energy-efficient and energy-saving technologies is systematized and the applied recommendations are provided to support state and local trends in energy sector development, namely energy storage projects, distributed generation and microgeneration based on Net Energy Metering to support small projects that solve energy problems. Included are institutional proposals for the establishment of the Agency for Decarbonization in Ukraine for the “green” transition, with broad powers of communication and the ability to make decisions on reducing carbon emissions in all areas. The possibility and expediency of using the concept of innovation is considered both from the global point of view of Ukrainian industry (with the potential prospect of using Ukraine’s industrial and logistics infrastructure as a mega-industrial park for the EU) and in the local sense of national energy, including improvements to the EU’s energy balance. It has been proven that the use of the nearshoring mechanism in Ukrainian industry in general, and in the energy sector in particular, can improve Europe’s energy balance, which has deteriorated over the past five years. Thus, the negative trend of the EU energy balance in thousands of tons of oil equivalent and in percentage terms was demonstrated. To improve the situation, the forecast of energy prices for individual EU countries was calculated taking into account Ukraine’s integration into the European energy system. The analysis and calculations revealed a potentially possible level of price reductions in some EU countries up to 20%. Recommendations are for improving energy-management efficiency at the regional level in particular, ensuring transparency in the development of renewable energy sources, using significant national potential of biofuels and increasing natural gas production, developing a business model of gas distribution center in Western Ukraine, which will be part of national gas distribution system and the European energy market.