Construction of a cogeneration plant for energy supply of facilities of the Konotop Transport Department

Sector

Municipal infrastructure and services

Stream

Implementation of renewable energy measures at municipal facilities

Maturity level

Project Status

Preliminary Investment Feasibility Study

Entry into Portfolio

Local level of SPP

Investment Feasibility Study

Implementation

Completion

General information

Description of the project

The project involves the construction of an Energy Center on the premises of the Konotop Transport Department, consisting of a wood waste storage facility, a chip crusher, a storage bunker for finished chips, preparation and transfer of raw materials to the gasifier unit, equipment to ensure the functioning of the gasifier, final purification of the obtained generator gas, a container cogeneration module with communications for its functioning, as well as the transmission of electricity and heat to consumers, including the distribution of electricity between the DEPOT, tram traction substations and complete transformer substations for street lighting in the city.

The purpose of the project

Main Goal:

Introducing innovations and energy-efficient solutions

Secondary Goal:

Improving the condition of infrastructure

Description of the purpose of the project and ways to achieve it

Providing reliable and economical energy to the depot of the Konotop Transport Management Company, tram service and street lighting of the city of Konotop using the Energy Center for gasification of wood chips and obtaining electricity and heat from generator gas using highly efficient cogeneration equipment. Backup power supply of the specified facilities will be ensured during power outages, and the cost of electricity obtained from generator gas as a result of wood chips gasification will also be significantly reduced.

Problems and solutions resulting from project implementation

Today, in the context of energy challenges, there is an urgent need to provide the community's transport management with backup power sources. That is why the project envisages the construction of a cogeneration plant (Energy Center) at the transport management facilities.

Socio-economic context

Indicator

Value

Other functional

100 t

Other functional

500 kW

Number of people who will use the service

68000 human

Other functional

3500000 human

Number of IDP users

4500 human

Other functional

600000 m3

Strategic Case

Strategic feasibility of the project

Sector

Municipal infrastructure and services

Subsector

Urban planning and landscaping

Stream

Implementation of renewable energy measures at municipal facilities

Strategic document

Регіональна стратегія розвитку

Task

3.2.4 Increasing the share of renewable energy

Project objectives

Project objectives were not specified by the initiator

Project Sustainable Development Goals

Demand for the service and its dynamics

What methodology was used to estimate demand?

Моніторинг та аналіз даних споживання

[Response was provided in the Preliminary Investment Feasibility Study]

Has data from external sources been used in the demand assessment?

Yes

[Response was provided in the Preliminary Investment Feasibility Study]

Does the demand forecast take into account the latest demographic and economic forecasts?

Yes

[Response was provided in the Preliminary Investment Feasibility Study]

Indicator

Year

Demand

Annual demand for services/infrastructure

3500000 human

Economic justification

Analysis of the project's impact on ecology and climate change

Does the planned activity have a potential positive contribution to achieving climate or environmental objectives?

Climate change adaptation

[Response was provided in the Preliminary Investment Feasibility Study]

Climate change mitigation

[Response was provided in the Preliminary Investment Feasibility Study]

Is the proposed project expected to significantly harm any of the following climate or environmental objectives?

None of the options are applicable

Project sustainability and inclusivity

Identify potential gender risks of the project and indicate possible ways to overcome them:

None of the options are applicable

Does the project provide for improving women's access to services?

None of the options are applicable

Are civil society organizations representing women and vulnerable groups included in the consultation process?

[Response was provided in the Preliminary Investment Feasibility Study]

Alternative technical solutions

Technical Solution 1

Construction of a cogeneration plant for energy supply of facilities of the Konotop Transport Department

Technical Solution 2

Installation of a solar station for electricity supply of the Konotop Transport Department

Cost breakdownCost justificationCost justification

Project cost (preparation and implementation)70'100'000 UAH31'500'000 UAH

For preparation2'500'000 UAH1'500'000 UAH

For implementation67'600'000 UAH30'000'000 UAH

Project operation and closure cost1'000'000 UAH600'000 UAH

For operation1'000'000 UAH600'000 UAH

Average annual costs1'000'000 UAH600'000 UAH

Project duration, incl.30 months30 months

Deadline for developing a FFS6 months6 months

Implementation period24 months24 months

Service life360 months240 months

Target indicatorsDefined Defined

Technical Solution Status

Active

[The technical approach was selected for further detailed analysis or implementation.]

Rejected

[The technical approach was not selected for further detailed analysis or implementation.]

Commercial Justification

Supplier and contractor market assessment

Is the project likely to attract a sufficient number of bidders to ensure real competition that will encourage bidders to think innovatively and maximize the quality of their proposals?

Yes

[Response was provided in the Preliminary Investment Feasibility Study]

Is the project of interest to small and medium-sized enterprises?

Yes

[Response was provided in the Preliminary Investment Feasibility Study]

Will the project involve national or international suppliers and contractors?

Yes, only national

[Response was provided in the Preliminary Investment Feasibility Study]

Has an analysis of available procurement options been conducted for the technical solution?

Yes

[Response was provided in the Preliminary Investment Feasibility Study]

Financial justification

Total project budget

Total preliminary budget71'100'000 UAH32'100'000 UAH

Project cost (preparation and implementation)70'100'000 UAH31'500'000 UAH

For preparation2'500'000 UAH1'500'000 UAH

For implementation67'600'000 UAH30'000'000 UAH

Project operation and closure cost1'000'000 UAH600'000 UAH

For operation1'000'000 UAH600'000 UAH

For closing0 UAH0 UAH

Were the methodological recommendations approved by the Ministry of Finance of Ukraine applied when calculating the indicative budget?

Yes

[Response was provided in the Preliminary Investment Feasibility Study]

Average project cost per service recipient

Service UnitВартість на одного мешканця громади

Service Unit Cost1'031 UAH

Profitability of the project

Is the project expected to generate income?NoNo

Is the project self-sustaining?No

Availability of services

Has an analysis been conducted of the accessibility of services for consumers and their financial ability to pay the established tariffs?

Not applicable – the project does not provide for the provision of paid services or the establishment of tariffs

[Response was provided in the Preliminary Investment Feasibility Study]

Project Financing Mechanisms

Are funding sources and mechanisms identified?

Source and MechanismYesNo

Public-private partnership

Has a qualitative and quantitative assessment of the project's suitability for implementation through a PPP mechanism been conducted?

No, no assessment was conducted.

[Response was provided in the Preliminary Investment Feasibility Study]

Are there, after conducting an appropriate study, private investors interested in the possibility of implementing the project in the PPP format?

[Response was provided in the Preliminary Investment Feasibility Study]

Management Rationale

Team competencies

Determine which competencies/expertise required for successful project preparation and implementation can be provided by the project initiator's own project team (without involving external advisors)

Strategic justification - analysis of the strategic feasibility of the project

[Response was provided in the Preliminary Investment Feasibility Study]

Economic justification - economic analysis

[Response was provided in the Preliminary Investment Feasibility Study]

Project management - communication with stakeholders

[Response was provided in the Preliminary Investment Feasibility Study]

Project management - risk management

[Response was provided in the Preliminary Investment Feasibility Study]

Economic justification - social and gender analysis

[Response was provided in the Preliminary Investment Feasibility Study]

Project management - public consultations

[Response was provided in the Preliminary Investment Feasibility Study]

Business case - analysis of available procurement options

[Response was provided in the Preliminary Investment Feasibility Study]

Project management - legal support

[Response was provided in the Preliminary Investment Feasibility Study]

Strategic rationale - SDG compliance analysis

[Response was provided in the Preliminary Investment Feasibility Study]

Project management - working with international financial organizations (IFOs)

[Response was provided in the Preliminary Investment Feasibility Study]

Financial analysis - financial analysis

[Response was provided in the Preliminary Investment Feasibility Study]

Strategic rationale - demand analysis

[Response was provided in the Preliminary Investment Feasibility Study]

Business case - analysis of the market environment

[Response was provided in the Preliminary Investment Feasibility Study]

Does the team have experience implementing similar projects?

Partially, we have limited experience

[Response was provided in the Preliminary Investment Feasibility Study]

Identify which competencies/expertise required for successful project preparation and implementation need to be strengthened by engaging independent experts or consultants

Economic feasibility study - technical expertise

[Response was provided in the Preliminary Investment Feasibility Study]

Economic justification - environmental expertise

[Response was provided in the Preliminary Investment Feasibility Study]

Economic justification - economic analysis

[Response was provided in the Preliminary Investment Feasibility Study]

Is there an understanding of where to find relevant experts and consultants?

Partially, we are considering options

[Response was provided in the Preliminary Investment Feasibility Study]

Risk assessment

Operational riskDefinedUndefined

Results of the feasibility analysis

Project Preparation Program Engagement and Funding Needs

Is there ongoing cooperation or support within the framework of international technical assistance (ITA) or from other donor or government agencies?

[Response was provided in the Preliminary Investment Feasibility Study]

Does the project require preparation assistance from Project Preparation Programs (PPF)?

Development of a full feasibility study;

[Response was provided in the Preliminary Investment Feasibility Study]

Finalization of existing documentation for the preparation of a preliminary feasibility study

[Response was provided in the Preliminary Investment Feasibility Study]

Development of design and estimate documentation (DED);

[Response was provided in the Preliminary Investment Feasibility Study]

Updating existing documentation regarding the preparation of design and estimate documentation (DED)

[Response was provided in the Preliminary Investment Feasibility Study]

Updating existing documentation regarding the preparation of the feasibility study

[Response was provided in the Preliminary Investment Feasibility Study]

Need for financing

Does the project require additional funding for preparation?

Yes

[Response was provided in the Preliminary Investment Feasibility Study]

Project Approval History

DateDecision NumberPortfolioProject StatusDecisionReasonsMaturity level

02/12/2025SP-L-021225-0AFC4930Community SPPreliminary Investment Feasibility StudyInclude--

08/12/2025SPP-L-081225-82B8394FCommunity SPPPreliminary Investment Feasibility StudyInclude-77

Construction of a cogeneration plant for energy supply of facilities of the Konotop Transport Department

General information

Description of the project

The purpose of the project

Main Goal:

Introducing innovations and energy-efficient solutions

Secondary Goal:

Improving the condition of infrastructure

Description of the purpose of the project and ways to achieve it

Problems and solutions resulting from project implementation

Socio-economic context

Indicator

Value

Other functional

100 t

Other functional

500 kW

Number of people who will use the service

68000 human

Other functional

3500000 human

Number of IDP users

4500 human

Other functional

600000 m3

Strategic Case

Strategic feasibility of the project

Sector

Municipal infrastructure and services

Subsector

Urban planning and landscaping

Stream

Implementation of renewable energy measures at municipal facilities

Strategic document

Регіональна стратегія розвитку

Task

3.2.4 Increasing the share of renewable energy

Project objectives

Project Sustainable Development Goals

Demand for the service and its dynamics

What methodology was used to estimate demand?

Has data from external sources been used in the demand assessment?

Does the demand forecast take into account the latest demographic and economic forecasts?

Analysis of the project's impact on ecology and climate change

Does the planned activity have a potential positive contribution to achieving climate or environmental objectives?

Is the proposed project expected to significantly harm any of the following climate or environmental objectives?

Project sustainability and inclusivity

Identify potential gender risks of the project and indicate possible ways to overcome them:

Does the project provide for improving women&#39;s access to services?

Are civil society organizations representing women and vulnerable groups included in the consultation process?

Alternative technical solutions

Technical Solution 1

Construction of a cogeneration plant for energy supply of facilities of the Konotop Transport Department

Technical Solution 2

Installation of a solar station for electricity supply of the Konotop Transport Department

Commercial Justification

Supplier and contractor market assessment

Financial justification

Total project budget

Average project cost per service recipient

Profitability of the project

Availability of services

Project Financing Mechanisms

Are funding sources and mechanisms identified?

Public-private partnership

Team competencies

Risk assessment

Is there ongoing cooperation or support within the framework of international technical assistance (ITA) or from other donor or government agencies?

Does the project require preparation assistance from Project Preparation Programs (PPF)?

Does the project require additional funding for preparation?

Project Approval History

Does the project provide for improving women's access to services?