Issues of Coalmining Industry and Region’s Socioeconomic Development Discussed in Volynska Oblast
28 October 2016
A roundtable Regional Problems of Extractive Industry and Implementation of Extractive Industries Transparency Initiative in Volynska Oblast was held at DP Volynvuhillia state-owned coalmining company based in Novovolynsk on 28 October.
The roundtable was intended to present the EITI standard to the Novovolynsk city community and discuss the participation of extractive industry companies in socioeconomic development of the region. The event was attended by representatives of the Novovolynsk municipal government, DP Volynvuhillia coalmining company, nongovernmental organizations, and representatives of mass media.
The event was arranged jointly with the EnergoTransparentnist Association as part of the Municipal Finance Strengthening Initiative (MFSI-II) Roll-out Project with regard to providing assistance in implementation of the Extractive Industries Transparency Initiative (EITI) in Ukraine component, with support from the United States Agency for International Development (USAID).
As Novovolynsk Deputy Mayor Oleksandr Hromyk has noted, the coalmining industry of the region is in a dire economic situation. The majority of DP Volynvuhillia coalmines are to face personnel redundancies, and the responsibility for social security of coalminers, their retraining and subsequent re-employment are to be borne by the local budget. In Mr. Hromyk’s opinion, the problems of coalminers will only be piling up without assistance of central government agencies and appropriate state programs of retraining for former coal industry workers.
According to the DP Volynvuhillia Director of Operations Valerii Khmelnytskyi, the company has prepared an investment project of modernization of
The event was arranged jointly with the EnergoTransparentnist Association as part of the Municipal Finance Strengthening Initiative (MFSI-II) Roll-out Project with regard to providing assistance in implementation of the Extractive Industries Transparency Initiative (EITI) in Ukraine component, with support from the United States Agency for International Development (USAID).
As Novovolynsk Deputy Mayor Oleksandr Hromyk has noted, the coalmining industry of the region is in a dire economic situation. The majority of DP Volynvuhillia coalmines are to face personnel redundancies, and the responsibility for social security of coalminers, their retraining and subsequent re-employment are to be borne by the local budget. In Mr. Hromyk’s opinion, the problems of coalminers will only be piling up without assistance of central government agencies and appropriate state programs of retraining for former coal industry workers.
According to the DP Volynvuhillia Director of Operations Valerii Khmelnytskyi, the company has prepared an investment project of modernization of
Coalmine No.10, which rather than relying on financing from the state budget, will attract investment funds and establish a Public Private Partnership. The project envisages creation of a comprehensive combined heat-and-power generation facility based at the Coalmine No.10, which would satisfy the region’s demand for heat and electricity.
After a presentation of the first Ukraine report based on EITI standard to the roundtable participants, difficulties were discussed, which are bound to emerge in the course of preparation of the second report, which will also cover the Ukrainian coalmining industry. It has been stated that out of the total 150 coalmines, 85 (or 57%) are located in the occupied eastern territories of Ukraine. In addition, 69 coalmines stopped production since the beginning of combat operations in the East, of which seven coalmines have been destroyed, and 62 placed on care and maintenance.
After a presentation of the first Ukraine report based on EITI standard to the roundtable participants, difficulties were discussed, which are bound to emerge in the course of preparation of the second report, which will also cover the Ukrainian coalmining industry. It has been stated that out of the total 150 coalmines, 85 (or 57%) are located in the occupied eastern territories of Ukraine. In addition, 69 coalmines stopped production since the beginning of combat operations in the East, of which seven coalmines have been destroyed, and 62 placed on care and maintenance.
Glyanec