Trainings in Crimea

Training on application of  innovative financial tools in Dzhankoj and Krasnoperekops’k
 

    MFSI project continues to hold training sessions in five pilot towns selected jointly with the Municipal Heating Reform project/MHR and Local Investment and National Competitiveness project/LINC under the USAID support, concerned applying innovative financial tools in order to implement infrastructure development projects. Regular trainings were held on May 23-24, 2011, in Dzhankoi and Krasnoperekopsk, the Autonomous Republic of Crimea.

   Experts from the Dzhankoi (25 attendees) and Krasnoperekopsk (24 participants) municipal councils, namely the heads of executive committees’ structural units as wel as specialists from sectoral departments and municipal council divisions took part in the training sessions.

    During the trainings the participants considered issues related to tools ensuring the coordination of strategic documents and development budget on the basis of the performance program budgeting in the budgeting process; development plans and funding sources for investment projects, in particular: cost cutting generated by energy saving, borrowings, providing municipal guarantees, the consolidation of local governments and private investors’ funds on the basis of public-private partnership tools.

    Specific attention was brought to recent changes in the regulatory and legal framework concerned with these issues. The Participants practiced by taking up investment project financial feasibility projects.

    “Implementation of the Energy Saving Policy in Infant School No. 38” is one of the most interesting and topical projects submitted by the participants that could be selected for further implementation in Dzhankoi, and in Krasnoperekopsk “Construction of a Mini Boiler House Operating from Biological Fuel for a Hospital” and “Buildings Heating System Balancing” projects merit attention.

    The implementation of similar projects will allow funds to be raised, experience gained and new private sector opportunities to solve actual economic and social problems connected to local government functions while decreasing risks for both the general public and private capital. The knowledge gained will also enable the extension of opportunities for implementing investment projects providing for attracting other financing sources, in particular, such as earnings from sales of assigned amount units used for “green” investment tools, grants, and loans from international financial organizations.

    The administrations of Dzhankoi and Krasnoperekopsk intend at an early date to approve the Municipal Energy Plans that were found feasible from the financial point of view and implement specific energy saving and environmental protection projects using the proposed sources.