Donor financing of low carbon projects in Ukraine and state participation

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1 Donor financing of low carbon projects in Ukraine and state participation

2 ODA portfolio, grants and soft loans Projects supported by grants: 292 >$4 bln Projects supported by DFI loans: 36 >$9 bln 115 Ongoing projects (grants) 292 projects Європейський союз Уряд США ФРН Sectors (grants) Енергетика 37,261,338 Освіта та наука 60,141,075 Урядування 72,609,444 >$4 млрд 77 Канада Агросектор 76,590,973 ОБСЄ Енергоефективність 82,695,016 ЄБРР 108,849,45 Охорона здоров'я 4 Чорнобильський фонд Укриття Національна безпека 552,989,31 Інші ,501,963,4 та оборона Ядерна безпека *65% від всіх проектів знаходяться в цих секторах ( в дол США)

3 International development coordination platform UKRAINE APU Central government bodies Local government (oblast, regional administration s) City, town, village, councils Global/Donors strategies and priorities National coordinator INTERNATION AL PARTNERS Donors- States (bilateral) European Commission IFIs Unified communication and coordination system between state and international partners Strategic planning of international assistance according to the country priorities One center in the country, which will monitor and report about use of aid and aid impact on reforms Civil society Verhovna Rada Cabinet of Ministers National development plan (sector strategies) International organisations (multilateral) Foreign development agencies (bilateral) National coordinator overseeing all aid, but other gov t bodies can administer particular types of aid Transparent, available and complete information for all participants on a single portal of international aid

4 openaidgovua

5 Sector Working Groups (GoU and international partners) in Ukraine Secrtor State partner Donor Status Energy Environment Security (MinEnergy) Efficiency (MinRegion) Ministry of Ecology and Natural Resources EU Germany Sweden Active Active Dormant Frequency of meetings Quarterly Monthly Anti-corruption Ministry of Justice UNDP/OECD Active Monthly Agriculture Ministry of Agriculture Canada Active Bi-weekly Decentralization Ministry of Regional Switzerland Active Monthly Law Enforcement Ministry of Internal Affairs EUAM Active Quarterly Healthcare Ministry of Healthcare UN WHO/ World Bank Active Monthly Financial Sector National Bank of Ukraine World Bank Active Quarterly Constitutional Reform Constitutional Commission US/CoE Dormant Public Administration Ministry of Regional EU Dormant Judiciary Judicial Reform Council US Dormant Public Procurement and Trade Germany Active Monthly State Owned Enterprise Governance and Trade EBRD Dormant National Defense and Security Ministry of Defense NATO Active Bi-weekly Deregulation and Entrepreneurship and Trade EU/Sweden Active Quarterly Taxation Ministry of Finance Germany/EU Dormant Administrative Services/egovernance and Trade Switzerland Active Quarterly Education Ministry of Education Czech Republic Active Monthly Transport Ministry of Infrastructure EU Active Quarterly Civil Society and Media Ministry of Information US/EU/Canada Dormant Humanitarian/Social Issues Ministry of Social Policy ECHO Dormant Culture Ministry of Culture Dormant Youth and Sports Ministry of Youth and Sports Dormant

6 ODA projects in #greengrowth #lct Project name Donor Term Description State partner FINTECH EBRD since late 2015 Investment support (grants) Technical support Policy support ( Partnership for Market Readiness World Bank since 2016 grant to support the design and introduction of Ukraine s national system of monitoring, reporting and verifying GHG ( Support to the establishment of an ETS in Ukraine GIZ since 2017 Establishing a national emission trading scheme and a green investment scheme Ministry of Environmental Protection, State Environmental Investment Agency Municipal energy reform in Ukraine USA (USAID) Promoting energy efficiency and energy saving, promotion of the renewable energy and decrease the greenhouse gases in the municipal households and and commercialization of bioenergy technologies in the municipal sector in Ukraine GEF Acceleration of the constant consumption of agricultural biomass in municipal heat and hot water in Ukraine by assisting in the creation of a favorable framework and Local Initiatives for a sustainable Ukraine (LINKUkraine) Norway/REC April 2015 March 2018 Integrating environmental and energy security issues into local development planning processes; building capacities of local authorities and identifying investment opportunities for prioritized environmental, energy efficiency and energy recovery projects; developing mechanisms for the sustainable use and management of natural resources, including energy security; fostering civic involvement and transparency in governmental decision making and Grant for Program Demo Ukraine Sweden Financing a small energy efficiency projects in the heating sector in Ukraine and Energy Efficiency in Municipalities German Federal Ministry for Economic Cooperation and (BMZ) Security of energy supply is of major concern for the Ukrainian population Increasing of energy efficiency at the local level is essential for energy security and an economic use of energy of Ukraine NEFCO Association of Ukrainian Cities Association Energy Efficient Cities of Ukraine "Green" modernization of the Ukrainian economy Support Program German Federal Ministry for Economic Cooperation and (BMZ) Using in-depth knowledge and new tools for the development of "green" economy by government agencies, small and medium enterprises, business associations

7 ODA projects in #greengrowth #lct Project name Donor Term Description State partner Ready for emissions trading in the EBRD region (PETER) EBRD To help governments that are not members of the EU to prepare for the introduction of mechanisms to regulate greenhouse gas emissions, including the possible introduction of emissions trading Creating a low carbon growth potential in Ukraine UNDP The main objective of the project is to develop low-carbon development model for Ukraine for the period years To achieve this, the government assisted with capacity building to reduce GHG emissions and adaptation The project developed a draft concept of low-carbon strategy for Ukraine Prepared a roadmap for implementing the ETS in Ukraine Improving the implementation of effective policies to improve energy efficiency in buildings at the national and municipal levels Germany The main objective of the project - the development of medium and long-term strategy for energy efficiency in buildings on the basis of the relevant EU Directive 2010/31 / EC The project assists in analyzing and developing national legislation on energy efficiency in buildings, The Ukraine Sustainable Energy Lending Facility EBRD USELF is a credit line of up to 140 million euros, the EBRD open to projects promoting the use of renewable energy in Ukraine Targeted projects cover all forms of electricity production from renewable energy sources, including hydro, wind, biomass, biogas and solar The demonstration, introduction and deployment in Ukraine of clean coal technologies and carbon capture and storage technology of carbon EU The project has developed a feasibility study on the introduction of clean coal technologies to existing coal power plants in Ukraine It was a series of workshops and meetings to disseminate information on clean coal technology ClimaEast: Support actions to mitigate climate change and adapt to its consequences in the countries of the Eastern Partnership and Russia EU Implementation of modern policies and strategies to combat climate change in the countries participating in the "Eastern Partnership", including Ukraine The project provides technical assistance on approximation of member countries to the EU requirements Capacity building of municipal services sector World Bank The project provided assistance to a number of public water utilities to improve service quality and increase efficiency, Ukraine District Heating Energy Efficiency Project World Bank The project aims to reduce losses and increase efficiency of companies providing district heating in different regions of Ukraine The project will improve service quality and efficiency of 10 Ukrainian district heating enterprises, which account for about 30 percent of the market heat Ukraine, providing services to approximately 3 million customers

8 Eastern Europe Energy Efficiency and Environment Partnership - E5P The initial focus of the E5P fund has been energy efficiency, reducing CO2 According to a recent report by the International Energy Agency, Ukraine uses around 32 times more energy per unit of GDP than the average in OECD countries This is because of a high concentration of energy-intensive sectors, inefficient district heating systems, old industrial processes and the poor quality of building stock Owing to insufficient investment in the district heating systems, more than half of the input fuel is wasted For the district heating investments, the E5P grants focus on individual heating substations to enable the residents to control their heat supply It is estimated that the currently approved E5P projects for Ukraine will collectively reduce CO2 by more than 536,103 tones per year and achieve gas savings of 120 million of m3 per year Project name IFI Total cost, mln euro Credit amount, mln euro E5P grant, mln euro Mykolayiv Vodokanal Water and 1 EIB Wastewater Rehabilitation 2 Zhytomyr District Heating EBRD DemoUkraina District Heating 1 & 2 / Poltava, Zhytomyr, Vinnytsia, Ivano-Frankivsk, Olexandria, 3 NEFCO Kamyanets-Podilsky, Kiev, Krivyi Riih, Konotop, Chernivtsy, Ternopil, Berdychev 4 Ternopil District Heating EBRD Zaporizhzhia District Heating EBRD Lviv District Heating EBRD Dnipropetrovsk Energy Efficiency EBRD Energy Performance Contracting 8 NEFCO in Public Buildings in Kiev Energy Efficiency in Public 9 NEFCO Buildings in Zhytomyr 10 Severodonetsk District Heating NEFCO Project 11 Lutsk District Heating EBRD Poltava District Heating EBRD Ukraine Residential Energy 13 Efficiency Financing Facility EBRD (UREEFF) 14 Chernivtsi District Heating project EBRD Lviv Wastewater Biogas EBRD / NEFCO 16 Chernivtsi Energy Efficiency in NEFCO Public Buildings 17 Ivano-Frankivsk Energy Efficiency in Public Buildings NEFCO