Ukrainian heat networks in $17m modernisation drive

Date: 3 November 2014

The Ukraine’s district heating systems are to benefit from a $17m (€14 million) investment, thanks to financing led by the European Bank for Reconstruction and Development.

The cash will be used to improve energy efficiency, reduce energy losses and improve district heating services for almost 150,000 residents in the western municipality of Lutsk.

It will finance a number of projects, which includes the installation of 210 individual district heating sub-stations and a 2.5 MW biofuel boiler as well as replacing almost 13 kilometres of distribution network pipes with pre-insulated ones.

Energy News Live reports that district heating systems account for 20% of Ukraine’s total carbon emissions and use almost 44% of its resources for heat energy, according to the European Bank for Reconstruction and Development (EBRD).

The EBRD is providing a loan of up to €7 million (£5.5m), supported by €3 million (£2.4m) from the Clean Technology Fund and €4 million (£3m) from the Eastern Europe Energy Efficiency and Environment Partnership (ESP).

“These investments in district heating systems aim to increase energy and cost efficiencies, improve financial sustainability and support the regulatory reform of municipal utilities”, the EBRD said.

Source: COSPP