Roundtable in the Municipal Development Institute
18 June 2010
IBSER Experts Join in the Discussion on Financing of Investment Projects in the Heating Sector
IBSER experts took part in an expert roundtable The Most Likely and Reliable Sources of Financing for Investment Projects in the Heating Sector, which was conducted with support of the Municipal Development Institute (MDI) in Kyiv on 18 June 2010.
The Institute of Budget is collaborating actively with MDI and Municipal Heating Reform (MHR) project in Ukraine as part of implementation of the tasks of the Municipal Finance Strengthening Initiative project supported by USAID, in particular, of its component intended for assisting the Ukrainian cities in realizing their investment projects of infrastructural development in the area of energy saving.
Presented at the roundtable was a report on findings of the research into the sources of financing for investment projects in the area of heating. Taking part in discussing the report were deputy ministers of housing and communal services O.Mazurchak and O.Romanyuk, experts of the Ministry of Finance, Deputy Mayor of Kramatorsk, representatives of international financial organizations, energy service companies, non-governmental organizations etc.
The report describes the most likely and reliable sources of funding the investment projects in the area of production, transportation, delivery, and consumption of thermal energy; a credit model of financing, which includes a commercial and bank credit as a source of financing of medium-term investment projects in the area of production, transportation, and supply of thermal energy; concession as the most suitable format for implementation of long-term investment projects in the area of production, transportation, and supply of thermal energy; the concept of local government incentives for attracting private investments for implementation of medium-term investment projects in the area of thermal energy use by means of establishing a revolving fund; models of attracting private capital for financing of long-term investment projects in the area of thermal energy consumption, the roles of apartment building co-owners’ associations and local government associations in this process.
According to the agenda of the roundtable, the participants have also discussed the following important issues:
- the most likely and reliable sources of financing investment projects in the heating sector;
- the concept of a revolving fund model for financing energy-efficiency projects; and
- the model of attracting private capital for implementation of capital repairs and energy-saving activities in multiunit apartment buildings.
The Institute of Budget is collaborating actively with MDI and Municipal Heating Reform (MHR) project in Ukraine as part of implementation of the tasks of the Municipal Finance Strengthening Initiative project supported by USAID, in particular, of its component intended for assisting the Ukrainian cities in realizing their investment projects of infrastructural development in the area of energy saving.
Presented at the roundtable was a report on findings of the research into the sources of financing for investment projects in the area of heating. Taking part in discussing the report were deputy ministers of housing and communal services O.Mazurchak and O.Romanyuk, experts of the Ministry of Finance, Deputy Mayor of Kramatorsk, representatives of international financial organizations, energy service companies, non-governmental organizations etc.
The report describes the most likely and reliable sources of funding the investment projects in the area of production, transportation, delivery, and consumption of thermal energy; a credit model of financing, which includes a commercial and bank credit as a source of financing of medium-term investment projects in the area of production, transportation, and supply of thermal energy; concession as the most suitable format for implementation of long-term investment projects in the area of production, transportation, and supply of thermal energy; the concept of local government incentives for attracting private investments for implementation of medium-term investment projects in the area of thermal energy use by means of establishing a revolving fund; models of attracting private capital for financing of long-term investment projects in the area of thermal energy consumption, the roles of apartment building co-owners’ associations and local government associations in this process.
According to the agenda of the roundtable, the participants have also discussed the following important issues:
- the most likely and reliable sources of financing investment projects in the heating sector;
- the concept of a revolving fund model for financing energy-efficiency projects; and
- the model of attracting private capital for implementation of capital repairs and energy-saving activities in multiunit apartment buildings.
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